Over 1,800 companies re-shored production in 2021, setting a new record for re-shoring activity, notes The Reshoring Initiative. These companies are looking for logistics facilities, warehouses and distribution sites.
Availability was close to 31 million sq. ft. in August 2022, according to real estate data fir CoStar. The last time there was close to this much empty space, office values plunged, causing billions in commercial real estate loans to sour.
Newmark's Lisa DeNight and Kyle S. Roberts discuss how the time it is taking to build new industrial facilities has lengthened along with other major trends from the logistics real estate segment.
As interest rates rise and the outlook for the economy at large remains uncertain, CRE investors who depend on debt have had to reassess their strategies. That’s impacting the property types they might consider for acquisition.
Funds and REITs that built up massive war chests are taking steps to make deals despite current uncertainties over optimal real estate pricing.
