Industrial Sector to Hit Equilibrium Next Year

CHICAGO—Earlier this week at a conference hosted by BMO Capital Markets, James Connor of Duke Realty concluded a panel session by pointing out how well things are going in the industrial sector. Rents are on the upswing, new development has increased and occupancy and absorption remain high. And the good news is not just for developers.

“It’s a welcome sign for investors and encourages them to put their money into this very healthy asset class,” Erik Foster, an Avison Young principal, tells GlobeSt.com. And although some have raised the possibility that all this robust leasing activity might encourage overbuilding, there has been little sign of that happening.