CommercialEdge: New Jersey continued to lead Northeast in industrial sales

CommercialEdge recently released its October industrial market report analyzing key trends, including the decrease of transactions through September, as U.S. industrial sales totaled $40.3 billion, a significant drop from last year’s $65.4 billion.

In the Northeast, New Jersey still leads in sales volume, with $1.85 billion in industrial transactions year-to-date through September. The market also recorded the highest sale price in the region, with properties trading at an average of $232 per square foot.

The Cranford-Union submarket has been the most active for sales year-to-date through September, with $638 million traded across 29 sales. The I-287 South submarket is just a little behind, also logging 29 sales in 2023, totaling $601 million.

Other key findings from the report include:

  • Philadelphia registered the second-highest sale volume in the region, with $663 million in transactions at an average of $117 per square foot;
  • New Jersey and Boston remained the most expensive in the Northeast in terms of in-place rents, with lease rates reaching $9.94 per square foot and $9.86 per square foot, respectively;
  • Philadelphia continued to lead in development, with 16 million square feet of space under construction as of September, accounting for 3.8% of total stock;
  • National industrial in-place rents averaged $7.51 per square foot in September, up 7.4% year-over-year;
  • The national vacancy rate stood at 4.6%, up 20 basis points month-over-month;
  • Nationwide, nearly 536 million square feet of industrial space was under construction;
  • Industrial transactions totaled $40.3 billion through September, at an average sale price of $135 per square foot.

To view the report in its entirety please click here.