Savills’ Data Proves Puget Sound Industrial’s Hotness
Seattle is rockin’. Not in the Jimi Hendrix sense (though, luckily, that scene persists), but more of the strikingly hot industrial market – across Puget Sound, according to deep-dive data from Savills.
Top takeaways from the report include:
Seattle industrial rents grew at a rate of 12 percent in 2021 from the previous year, outpacing the average growth rate over the past five years
The vacancy rate dropped to 4.9 percent compared to 5.7% in Q4 2020
The market saw 2.3 million square feet of positive net absorption in Q4 2021
Net absorption totaled 7.1 million square feet for the year, nearly 3 million square feet more than the prior year
North Seattle recorded the highest regional rents at $15.88 per square foot, followed by the Eastside submarket at $14.88 per square foot
Leasing activity in Seattle was propelled by strong tenant demand for newly delivered industrial space. The Seattle region tallied nearly 20 million square feet of leasing for the year, 25 percent more than last year’s total.