11/19/13: Industrial Space Demand Up
We are hearing in the trade publications that demand for industrial space is up in the Chicago area. According to a September 9, 2013 Crain’s article by Ryan Ori, the current vacancy rate for industrial is 9%, a rate we haven’t seen in 5 years. When the demand goes up, the developers kick into gear and provide more supply. The article said, “more than 8 million square feet is underway or close to kicking off.”
Jones Lang LaSalle reported that nationwide, industrial demand has increased for 13 consecutive quarters and further stated the Chicago market has led all others during that period.
It is interesting to note that the article said, “Chicago is the second-largest industrial market on the continent with more than 1.1 billion square feet, second only to the southern California market.”
It doesn’t seem to us like this demand has reached McHenry County, but Kane and Lake are starting to benefit from it.