June 2024
Industrial amenities, features and upgrades can be smart business decisions for Western-based owners and tenants.
By Lukas Huberman
The industrial sector has experienced significant growth over the past several years — one that’s included a 55 percent increase in asking rental rates since 2020, according to a recent JLL report. That said, increasing vacancies, declining absorption and slowing rental rate growth indicate now may be the time for industrial owners and tenants to carefully consider their next moves.
Tenants are evaluating their leases with deeper scrutiny as they come up for renewal, prioritizing long-term business outcomes. Some may consider pursuing lower rents despite initial upfront costs, while others may
explore newer construction at similar rates as rents moderate.
