The Dallas-Fort Worth area has widened its lead as the country’s top industrial building market.
More than 50 million square feet of new warehouse, distribution and logistics buildings were under construction in the D-FW area at the end of 2021, according to a new report from Cushman & Wakefield.
The Pennsylvania market was second with about 34 million square feet of warehouse building, according to the commercial property firm report.
The D-FW area accounted for almost 10% of the more than 560 million square feet of industrial space being built nationwide.
“We are seeing unprecedented low vacancy and incredibly high demand for industrial space across the United States,” Carolyn Salzer, Americas head of logistics and industrial research for Cushman & Wakefield, said in the report. “Demand is outpacing supply by a wide margin — almost 50% — and new leasing activity totaled 879.9 million square feet, a new record.”
Along with D-FW and Pennsylvania’s Interstate 81 corridor, other warehouse building hot spots were in the Atlanta area and southern California.
“Developers are setting new records on the pipeline yet falling short of meeting demand for space when it comes to deliveries due to pandemic-related issues, particularly for warehousing and e-commerce facilities,” Salzer said. “Until significant new supply is able to be delivered at the rate of demand, we expect tenants to continue to struggle finding the space they need. The market is as competitive as…