Cincinnati remains tightest U.S. industrial market outside of California
Cincinnati, OH, January 26, 2016 – The Greater Cincinnati industrial market continued to see new speculative bulk product hit the tight market, resulting in the availability rate to increase from 4.9 percent to 5.3 percent. The increase is the result of new bulk warehouse completions totaling almost 1.5 million square feet in Q4 2015, according to CBRE’s Industrial MarketView for Cincinnati.
Cincinnati continues to be one of the five tightest industrial markets in the country behind four markets in California, according to CBRE’s U.S. Industrial & Logistics MarketView Snapshot for Q4 2015.
“The fundamentals of the Greater Cincinnati/NKY industrial market are still very solid,” said Tim Schenke, vice president in CBRE’s Cincinnati office. “We expect strong leasing activity in 2016 to fill up the new speculative developments and rental rates will continue to rise as demand outweighs supply.”
Other highlights from the report include:
- Strong leasing activity coupled with low availability has spurred 6.4 million square feet of new construction in 2015, the most new construction seen in Greater Cincinnati since 2001.
- Average asking net lease rates increased to $3.87 per square foot, increasing 11.2 percent year-over-year.
- Gross absorption totaled nearly 2.0 million square feet in Q4 2015 with positive net absorption of 641,922 square feet and over 3.6 million square feet of net absorption for the entire year.
CBRE’s Cincinnati office provides a complete spectrum of commercial real estate services including Asset Services, Brokerage Services, Corporate Services, Debt and Equity Financing, Facilities Management, Industrial Services, Investment Sales, Office Services, Project Management, Research and Valuation and Advisory Services.
To access the report, click here. To speak to a CBRE expert, please contact Joe Ludwig at +1 513 369 1305 or joe.ludwig@cbre.com.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.