Industrial Vacancy Drops to All-Time Low
The stunning vigor of Chicago’s industrial market continued into the first quarter of 2022, demonstrated by near-record new leasing volume and impressive demand which pushed the overall vacancy rate down 53 basis points to 4.91 percent, the lowest rate ever recorded. The previous record of 5.39 percent was recorded during the third quarter of 2000.
- The overall vacancy rate dropped by more than 50 basis points for the second quarter in a row, breaking the 5 percent threshold for the first time in the market’s history.
- Despite the record low vacancy rate, demand stayed strong, totaling an impressive 11.7 million square feet during the first quarter of 2022.
- The only potential disruption to the remarkable recent activity in the market is the lack of available space, but developers are building to meet that demand.