Of the ten largest industrial projects underway in the US this year, Amazon accounts for eight of them, with a total footprint of 28.3 million square feet—an area about the size of New York City's Central Park, according to CommercialEdge.
At the same time, investment sales prices are on a steady climb for industrial products, averaging roughly, as of June 2021, $94 per square foot. Unless Amazon is a tenant. In that case—and since the beginning of last year, buildings with Amazon as a tenant accounted for 7% of all sales volume—investors will gladly pay a premium for the asset, according to CommercialEdge, of $145 per square foot.
Developers have taken notice of the activity.
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