CRE Investors May Surpass 2019 Record for Industrial Deals
2021 investment sales volume for industrial real estate is expected to exceed 2019’s record of $120 billion, according to a newly released LightBox-SIOR Industrial Investor Sentiment Report. Further, 71.7% of respondents surveyed expect investment levels to increase in 2022, with another 24.3% expecting levels to stay the same next year.
“As e-commerce continues to transform our economy, investors are looking for every opportunity to gain entry or expand their positions in the industrial sector,” said Tina Lichens, SVP, broker operations, LightBox. “The industrial sector is attracting significant amounts of domestic and foreign capital and is well-positioned to withstand supply chain disruption or other volatility that might occur.”
Although supply chain disruption, rising construction costs and material and labor shortages represent key headwinds for the sector, they’re not adversely impacting investor appetite, according to the LightBox-SIOR report. The e-commerce momentum that has driven industrial demand growth is expected to continue, the report states.
Pictured: Elion Logistics Park 55, part of a $1-billion partnership between Brookfield and Elion Partners.
Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces.
Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications.
Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).