Demand for Warehouse Space Continues to Drive a Growing Industrial Market
The Omaha industrial market continues to grow and benefit from demand for warehouse space and experienced 30,996 square feet of positive absorption in the second quarter of 2021, bringing the year-to-date absorption to 362,956 square feet, marking three straight quarters of positive absorption. The market experienced only one quarter of negative absorption in the third quarter of 2020. The vacancy rate increased 40 basis points from 3.5 percent in the first quarter to 3.9 percent in the second quarter, marking 29 straight quarters of vacancy below 4 percent. For the second quarter in a row, average asking rents are above $7.00 per square foot, on a triple net basis. Almost 375,000 square feet of new construction of industrial space was delivered to the market in the second quarter bringing the year-to-date delivered space to 544,546 square feet and an additional 3,209,793 square feet of industrial space is currently under construction.