CINCINNATI—As reported yesterday in GlobeSt.com, the US industrial market set records for activity in the first quarter, and Cincinnati was one of the stand out regions. According to a market report from Cushman & Wakefield, the metro area saw about four million square feet of absorption, almost as much as the Inland Empire and beating Chicago by a wide margin. By comparison, Cincinnati's cumulative net absorption was five million square feet for all of 2016.
“We are in the midst of a market with strong development activity and strong leasing activity has come together at the same time,” Thomas McCormick, senior vice president of C&W, tells GlobeSt.com. In the past few years, developers have finished about eight million square feet of new space, much of it for the large bulk distribution sector, and tenants have absorbed about 90% already.
Greater Cincinnati has now experienced 23 consecutive quarters of positive net absorption. The vacancy rate fell by nearly 125 bps from 4.2% at the end of the first quarter of 2016, and is now under 3% market-wide for the first time in over 15 years.
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
