Sacramento industrial market poised for another strong year

Sacramento’s economy remained strong in the first quarter with signs of continued expansion across all major industries, according to Cushman & Wakefield. The need for strong logistics infrastructure will only increase and expand as a competitive advantage for industrial occupiers. 

The metropolitan area recorded a 40-basis point (bps) decrease in the unemployment rate over the past year as total employment increased by 27,100 jobs. During this economic cycle, the market has seen significant job growth in the construction and transportation industries.

Record low vacancy combined with continued high levels of demand have led to rapid growth in asking lease rates, which finished the quarter at $0.68 per square foot per month on a triple-net basis. However, this number is likely inflated by landlord’s seeking cannabis