Projected negative absorption and new supply cast uncertainty (credit: San Antonio Industrial Supply).
SAN ANTONIO—The industrial sector continues to benefit from many of the technology-driven shifts that are challenging the retail and office sectors. Those shifts include rising consumer dependence on e-commerce and mounting demand for data centers to support cloud computing.
According to Ten-X‘s latest US industrial market outlook, the top five buy and sell markets for industrial real estate assets indicates that San Antonio, along with Dallas, Baltimore, Suburban Maryland and Columbus, OH are the five markets where investors should consider selling industrial properties. While many of these markets boast solid economies and currently healthy industrial sectors, large supply pipelines and other factors leave them exceptionally vulnerable in the event of an economic downturn.