The US industrial market continues its wild upward swing after a banner 2020, a year in which it fared better than any other CRE segment. Overall, the country has experienced 43 consecutive quarters of positive industrial absorption, with occupancy gains the third highest on record last year. And while core markets have continued to gain popularity, opportunities for both investors and occupiers are increasingly popping up in secondary emerging regions, according to Colliers.

Austin leads the way in emerging markets, with overall vacancy coming in at 7.3% at the end of last year, down from 8.6% in 2019, and occupancy gains of 2.3 million square feet, led by big leases by FedEx and Amazon. The average industrial asking rate was $10.70 at year's end. More than five million square feet of industrial space was also underway in the region at year's end to meet rising e-commerce and manufacturing demand, with the high-profile NorthPark35 and Plum Creek Industrial Center set to deliver in a few years. Colliers experts note that e-commerce continues to pick up traction in Austin and predicts demand will likely outpace supply well into this year. 

Next up is Columbus, the second largest city in the Midwest and the 14th largest in the US. The city is located within a 10-hour drive of 46% of the nation's population and is a "true multimodal logistics hub," according to Colliers, with record-breaking development, net absorption, and investment sales activity. Vacancy has decreased continuously over the last decade, from 10.2% in 2010 to 4.7% in 2020, and the vacancy rate is expected to decrease further this year as new product is leased up. The city saw the highest net absorption on record last year at 10.7 million square feet, and more than 12 million square feet of new construction was delivered. Asking net rents are $3.89 per square foot, with total sales volume at $1.2 billion last year.