Chicago Industrial Set a New Bar in 2021
By all metrics, 2021 was the best year on record for Chicago’s industrial market, in many instances by a wide margin. Demand – as measured by net absorption – totaled a staggering 44.9 million square feet, a figure 69 percent greater than the previous record of 26.6 million square feet recorded in 2016.
- Chicago’s industrial market demolished long-held records in 2021 for development, new leasing activity, net absorption, and is approaching an all-time low vacancy rate.
- Developers delivered more space than in any previous year, yet tenants’ appetite for new product continued to exceed the pace at which developers could build it.
- The unprecedented demand witnessed during 2021 will carry into 2022, but tenants will face challenges finding space.