INDIANAPOLIS—Cushman & Wakefield's annual State of Real Estate^® Indianapolis event has become one of the most important occasions of the year for anyone interested in the regional economy. This year it was bigger than ever, with more than 1,200 attendees gathering last week at the Murat Theatre in Old National Centre. IN Governor Eric Holcomb spoke at the event, which highlighted the overall strength of the metro region's industrial, office, multi-family and retail sectors.

The industrial market may be the most important sector the region, as it has come to play a key role in the nation's product distribution chain. According to senior director Bryan W. Poynter, it shattered records in 2016, withnet absorption of 8.3 million square feet. Additionally, 11.2 million square feet of new leases were signed, which is more than the 2014 and 2015 totals combined. The market saw its lowest vacancy rate in 36 years at 3% – down from 5.8% at the end of 2015.

“The industrial market was tight heading into 2016 and tightened even further throughout the year as historic leasing demand dramatically outpaced new supply,” he tells GlobeSt.com. After no new buildings were delivered in the third quarter of 2016, developers produced four newly constructed industrial warehouses totaling 635,000 square feet in the fourth quarter.