Accelerated rent growth nationwide in the industrial real estate sector might not be so much tied to inflation, but rather vacancy rates, according to a new report from Cushman & Wakefield.
Miami’s industrial market, which includes all of Miami-Dade County, is the nation’s top performer for annual rent growth, according to a JLL report.
Year-over-year, the Miami industrial market experienced a 53 percent jump in rent, more than Los Angeles, which had the second highest rent hike at 45 percent, and New York/New Jersey, which had the fourth highest rent growth at 26 percent, the report shows. Industrial markets close to ports like Miami, New York and Los Angeles remain attractive for investors looking to secure long-term income growth, despite recent interest rate hikes, JLL found.
It may be 2022, but many of the forces that drove the economy in 2021 are still in the driver’s seat.
The long-term upward trend of e-commerce is stronger than ever. The supply chain that gets products from websites to consumers is still not performing well. Inflation is rising, and the Federal Reserve probably will soon raise interest rates. Luckily, there’s an investment that may benefit from each of these forces — specifically, industrial real estate, which includes properties such as warehouses, manufacturing facilities, and even marijuana growing facilities.
