Industrial Outpaces Other Commercial Sectors in Latest Outlook from Ten-X

Industrial Outpaces Other Commercial Sectors in Latest Outlook from Ten-X

It’s always interesting to see lists of the hot places to buy or sell this type of real estate asset or that – as long as you keep it in perspective.
Lists like the one just released by Ten-X Commercial, a leading national online, end-to-end transaction platform for commercial real estate, are circulated with a national/international audience in mind, so these are what we call “the 30,000-foot view.” They’re based on solid analysis, yet they only go so far. These can’t take into account an individual investor or entity’s specific needs, goals or overall investment strategy. That is where a specialist like Platinum Commercial Holdings, LLC comes in. We get to know our clients and their unique needs so that we can dig beneath these high-level views and find the best markets for your development, relocation or expansion plans.
With that said, let’s take a look at some of the highlights from Ten-X’s latest U.S. Industrial Market Outlook:
• For the sixth straight year, in 2017 rent growth accelerated.
• Industrial’s rent growth overtook the other three major commercial real estate sectors.
• Vacancies are now at their lowest levels on record.
• Ten-X projects vacancies will tighten to an even 7 percent by the end of this year.
• Using a recessionary model to forecast possible effects of a downturn, the analysts projected 2019-2020 to be a time of decreasing demand and rising vacancies, but with a relatively quick recovery.
• The top 5 “buy” markets are all in California: Los Angeles, San Jose, Oakland, San Francisco and San Diego.
• The top 5 “sell” markets: Dallas, San Antonio and Houston, Texas; Cleveland, Ohio; and Baltimore, Maryland.
Click here for further insight into the “buy” and “sell” markets from Ten-X.