Industrial Market Remains Strong During Economic Uncertainty
COVID-19 continues to provide unique challenges and opportunities to the industrial market in Q2. The vacancy rate remained at 6% after dropping to 6% in Q1 from 6.5% in Q4 2019. Annual absorption in Q2 rose from -326,836 to -58,593 with 268,243 square feet of industrial space positively absorbed between Q1 and Q2. The industrial manufacturing sector continues to churn out personal protective equipment (PPE) and medical supplies. With COVID-19 cases in the U.S. on the rise again, manufactures are likely to see an increased demand for PPE and, we hope sooner than later, a vaccine to be mass manufactured and distributed. Global supply chains have revamped product lines to reduce stress in the supply chain and provide supplies to those who need them most.