U.S. industrial markets maintain record pace in 2016
The U.S. industrial sector absorbed 63.6 million square feet of space in fourth quarter 2016, which propelled net absorption for the year to a record-setting 282.9 million square feet, according to Cushman & Wakefield.
As of January 2017, the industrial sector has registered 27 consecutive quarters of net occupancy gains, placing this expansion among the longest ever. It also is among the strongest, with net absorption for the past three years totaling 825.5 million square feet, surpassing the strongest period of occupancy growth in the prior cycle, 726.8 million square feet from 1997–1999.
Jason Tolliver, head of industrial research for the Americas at Cushman & Wakefield, says the U.S. industrial market is positioned well heading into 2017 and he expects more of the same. Tolliver notes economic data reflect an increasingly confident consumer and, given solid labor markets and firmer wage growth, consumer spending should power industrial absorption, particu