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Industrial Real Estate Sales Reach New High in 2021
Preliminary fourth-quarter data show that industrial real estate sales volume reached a new record in 2021 totaling $160.3 billion, a 37.7% increase over the pre-pandemic high in 2019, according to Lisa DeNight, Newmark’s director of industrial research. 2021’s volume was driven by an elevated number of single-assets and portfolio trading, along with record pricing on a per-square-foot basis.
More warehouse assets traded at north of $300 per square foot in 2021 than in the previous five years combined, DeNight reported. “In the next few years, as half a billion square feet of industrial space delivers, investor opportunities will grow. Also entering the competition are some major occupiers of industrial space, including Amazon, that have indicated an appetite for owning more of their industrial footprint.”
Although 2022’s industrial expansion will be “slightly more conservative” than in 2021, DeNight forecasted that “demand for modern industrial space will remain elevated above pre-pandemic levels.”
- ◦Sale/Acquisition
