Industrial and logistics real estate growth will remain strong throughout this year, although it probably will not progress at quite the same torrid pace it has enjoyed in recent years, according to recent predictions by industry professionals.
“Over the next couple of years, we expect the North American industrial market to remain one of the leading product types to watch” declares the global commercial real estate services firm of Cushman & Wakefield. “Economic indicators, with strong links to industrial fundamentals, point to continued growth in both 2020 and 2021.”
One trend driving the growth of warehouse space in North America is the growing demand for e-commerce. Online sales are projected to grow up to 30% in North America from 2019 to 2021. “There is no doubt that increasing space needs associated with online sales, including those that are business-to-business (B2B), will continue to put pressure on occupancy and rent growth levels across North America” C&W’s researchers declare.