Oakland Q1 Industrial Market Report & Forecast
I-80/I-880 Corridor Opens 2014 With A Promising First Quarter
Coming off of an overall extremely positive 2013, the I-80/I-880 Corridor Industrial Market started 2014 with a very promising first quarter. For the first time in nine quarters vacancy rates slightly increased from a mark of 6.4 percent across all product lines at the end of 2013 to 6.8 percent currently. A misleading statistic in that all industrial and R&D/flex vacancy rates remained the same in the first quarter, but warehouse vacancy rose a full point prompting the increase in overall vacancy.
The new Oakland facility is the first to be completed of the speculative developments planned for the I-80/I-880 corridor. Approximately 1,300,000 square feet in additional development is currently in progress, and another 3,000,000 planned to break ground at some point in 2014. Of the projects currently in progress, the Cherry Logistic Center in Newark (575,000 square feet), is closest to being completed and is rumored to be very close to finalizing a lease for the entire building to a Fortune Fifty company.