Current Industrial And Flex Market Conditions H2 2021
With unprecedented high demand, the short list of available properties is rapidly changing. New opportunities continue to come on the market, but do not last long. Factors impacting this tight market are: On-shoring of manufacturing, e-commerce (last mile), Pandemic/lock downs, and the raising of the Bayonne Bridge providing huge impetus to area shipping. The impact of e-commerce grabbing large blocks of Industrial space began several years ago, only to be greatly accelerated by lockdowns during the Pandemic. New Jersey is experiencing relentless demand, resulting in record high rent pricing and an all-time low availability rate. E-commerce and logistics users have represented 51% of total leasing volume and will remain strong throughout the immediate future. Thus, smaller tenants face a harder time finding flex/industrial space due to a severe lack of available space.
