PA Distribution Markets Roar

Pennsylvania is becoming a distribution mecca, CBRE research whiz Ian Anderson tells us. Leading the charge are the Lehigh Valley (as we reported last week) and Central PA, two of the strongest markets in the country, which experienced record-breaking demand for warehouse space last year and are on pace to repeat that this year.

More than 10M SF of industrial space is set for delivery in greater Philly this year, Ian points out, which is the most we’ve seen since before the recession. Of the 20 properties coming online, 17 are big box (200k SF or larger), which serve the largest distribution, logistics or light manufacturing operations. The region’s availability rate still isn’t as low as it was before the recession, though it’s headed downward, Ian says.

Lehigh Valley Industrial Park Inc.

Major users are interested in finding major space: late last year, for instance, Wal-Mart decided to open two distribution facilities in the market this year, the 1.2M SF Majestic Bethlehem facility and a 1M SF facility in the Lehigh Valley Industrial Park (pictured). Ian adds that Chester and Montgomery counties lead the light industrial market in the region, with the two highest asking rates in the region other than the Lehigh Valley.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's Philadelphia Newsletters
Related Stories

PMC Proposes 31-Story Apartment Building In Center City West

Power Availability Becomes New Requirement For Shifting Bay Area Industrial Base

After Departing Trump Admin, HUD's Former Philly Head Joins Local Planning Commission

EXCLUSIVE: Industrial Outdoor Storage Investor Continues Buying Spree In Metro Atlanta

Olde Richmond Project Lands $20M Construction Loan: The Philadelphia Deal Sheet

Amazon Building 1.2M SF Distribution Facility In Aurora

To Rein In Costs, Philly Affordable Housing Players Look To Become 'Less Reliant On Consultants'

Starwood, Realterm Fund Record Industrial Outdoor Storage Loan

Shapiro Turns On Pennsylvania Data Centers With Restrictive Executive Order

Rexford To Sell $1.2B Industrial Portfolio As Part Of Plan To Increase Dispositions

Fake-Plant Maker Shuttering Hialeah Warehouse, Moving To Lakeland

Judge Approves $70M Sale Of Philly's Largest Office Complex