Industrial Development Continues to Dominate
- 3.2 million SF of absorption took place during Q3 2021 leaving limited existing options for occupiers seeking excess of 200,000 SF.
- Overall industrial rental rates have increased over 15% since the beginning of 2021.
- 12.25 million SF of industrial product is currently under construction representing a 62% increase since the beginning of 2021.
Charlotte Market Summary
Demand for industrial real estate did not slow within Q3 2021 as over 3.2 million square feet of product was absorbed. XPO, Masonite, Frito-Lay and Brothers Freight occupied a combined total of 1.5 million square feet within separate submarkets in the Charlotte region. Land demand remains high as developers continue to scout the region for sites to develop big-box industrial development; however, scarcity of sites suitable for development is becoming an issue. New developments announced during Q3 include: I-85 Commerce Center; a 657,000 square foot building being developed by NorthPoint Development within the Rowan County Submarket, Interchange Logistics Center; a 225,000 square foot building developed by Trinity Capital in Huntersville and Delta Industrial Park; an 876,587 square foot building developed by Trinity Capital in Gastonia.