Skip to main content Skip to footer

2022 Q1 Salt Lake County Industrial

Download Report
AdobeStock_SLCoIndustrial

“Unprecedented: ¬≠¬≠this word describes the state of high construction activity, low vacancy rates, achieved rent rates, preleasing commitments, low cap rates and record cost per square foot on investment sales in the Salt Lake County industrial market. Salt Lake is truly on the radar for logistics, manufacturing and investing. The concern for existing users is real, as sticker shock for rent, labor and construction costs is putting the pinch on operations.” - Randy Atkin, Vice President, CCIM

While absorption rates have almost been cut in half since the first quarter of 2021, indicating a significant lack of available space, construction remains strong. Even though high construction costs and supply chain delays have created some market instability, industrial product remains in high demand for e-commerce, manufacturing and cold-storage tenants.

Key Takeaways

·The vacancy rate dropped from 2.98 percent in the first quarter of 2021 to 2.20 percent currently.
·Lack of available space has forced year-to-date absorption down 1.8 million square feet from this same time last year.
·Construction has almost doubled since this same time last year, from 5.8 to 9.9 million square feet.

SitecoreImage

2022 Q1 Salt Lake County Industrial

Download Report
Related Experts

Megan Donnell

Research Manager

Salt Lake City - Millrock

View expert