CBRE|Triad has released its fourth quarter 2018 industrial MarketView report for the Triad market. The market remains healthy with over 1.5 million square feet of industrial space trading hands and over 500,000 square feet of positive net absorption.
In the fourth quarter, strong absorption drove down vacancy rates bringing the 2018 year end rate to 5.9 percent. Average industrial asking rates in the Triad decreased slightly from the third quarter to $4.91 per square foot. Average flex asking rates decreased to $6.13 and the fourth quarter warehouse asking rate decreased to $3.69.
Total industrial absorption was 520,802 square feet in the fourth quarter, bringing the 2018 total to negative 382,982 square feet. For the year total, the Triad posted 382,982 square feet of net absorption after weathering large consolidations from Ralph Lauren and Mohawk that drove adsorption down earlier in the year.
During the fourth quarter, over 1.5 million square feet of industrial product traded hands as investment sales activity continues to be strong.415 Westcliff in Greensboro was purchased by STAG industrial and Samet’sI-85/I-40 Logistics portfolio was purchased by the institutional investment group Ares. CBRE|Triad continues to track the McConnell Center portfolio and the Pope portfolio, both of which were being marketed in Q4.
The CBRE|Triad Industrial MarketView highlights flex and warehouse vacancy rates, lease rates and net absorption for the overall Triad market, as well as individual submarkets in the Triad. The report provides information on vacancy compared to lease rates, as well as unemployment statistics. The MarketView also highlights top lease transactions from the quarter.
CBRE|Triad releases the Industrial MarketView at the completion of each quarter throughout the year. For a copy of the full report please contact Andrew Dixon, market researcher at [email protected].
CBRE|Triad is a CBRE affiliate office serving the Triad Region. The firm assists real estate owners, investors and occupiers by offering strategic advice and execution for property leasing and sales; property, facilities and project management; corporate services; debt and equity financing; investment management; valuation and appraisal; research and investment strategy; and consulting. The local office closed more than $342 million in sales and leasing transactions in 2018. For more information about the Triad office, visit our website, www.cbre.us/triad.
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CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.us.