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.