Inland Empire Industrial Slows in Q3 Yet Remains Stable

The Inland Empire Industrial Market experienced a slowdown in the third quarter, but is still fundamentally stable, reported Kidder Mathews. Various challenging factors, such as a reduction in consumer spending, sluggish international trade, and an increase in the supply of new industrial space, contributed to negative net absorption and rising vacancies.  

However, Kidder Mathews said that because of proximity to major ports, a large and expanding population and a diverse economy, the market is anticipated to remain balanced toward the end of 2023 and into 2024. A rise in interest in sustainable industrial growth is one of the key trends, as is the growing requirement for e-commerce and last-mile logistics space. 

“The Inland Empire’s economy is still resilient, adaptable, and crucial to California’s economic growth,” reported Kidder Mathews. “However, various factors, including interest rates, the state of the economy, and the ongoing supply-demand imbalance, could impact the market.” 

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