Market conditions indicate slower growth in industrial real estate sector

The industrial real estate sector is likely heading for slower growth, according to a forecast published by the Deloitte Center for Financial Services.

The sector, composed of warehouses, distribution centers, flex spaces, and other industrial buildings with storage facilities, has seen sustained demand over the past five years. But potential marketplace shifts including growing e-commerce demand, market oversupply, rising interest rates, and a higher cost of capital will likely mean slower growth, the report says.

While warehousing continues to be robust, the looming deceleration in demand growth is going to put pressure on owners to become more creative in how they use and buy industrial real estate, Deloitte says. More than 30% of U.S. warehouse buildings are more than 50 years old, and the average age of all warehouse properties is 34.

With the cost of capital rising and supply ballooning, retrofitting spaces, identifying new warehousing models, and developing smarter facilities will become necessary.

Learn how MG2’s Sustainable Materials Evaluation System helps clients, prospects, and staff choose the most environmentally feasible materials for their building projects. Candon Murphy, LEED GA, Assoc. IIDA, Design Lab Manager and Materials & Sustainability Specialist with MG2, speaks with BD+C Executive Editor Rob Cassidy.

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Standards | May 9, 2022

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Higher Education | May 5, 2022

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Legislation | May 4, 2022

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Planning for hospital campus access that works for people

This course defines the elements of hospital campus access that are essential to promoting the efficient, stress-free movement of patients, staff, family, and visitors. Campus access elements include signage and wayfinding, parking facilities, transportation demand management, shuttle buses, curb access, valet parking management, roadways, and pedestrian walkways.

Codes and Standards | May 3, 2022

American Institute of Steel Construction updates environmental product declarations

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Codes and Standards | May 2, 2022

Developer Hines, engineer MKA develop free embodied carbon reduction guide

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