Boston Metro warehouse and manufacturing properties were in good demand throughout 2016, and the momentum is expected to continue through 2017, according to Chase Bourdelaise, Research Director for Transwestern Northeast. Here are highlights from the analysis he recently shared with Bisnow magazine, along with our own insights!
Warehouse vacancies in the Boston Metro are currently trending at 8.8%, up just a notch from the record-low of 8.7%, established in the prior quarter. The warehouse market saw 147,000 square feet absorbed during the fourth quarter of 2016, representing the 18th quarter in a row of positive absorption.
Bourdelaise offers several reasons why he expects low vacancies to stick around:
- Population is increasing in the Boston Metro
- Consumer purchasing power is on the rise nationally
- The Boston Metro economy is healthy and expanding
- Domestic manufacturing is on the rise
- There is increasing demand for skilled machine operators in high-tech production
Consistent economic growth in the Boston Metro has helped the warehouse and industrial sectors see positive absorption for the past few years. As the economic heart of New England, the Boston Metro is a strategic distribution location, connecting the eastern U.S. to hubs in the Midwest and Mid-Atlantic areas.
We have seen strengthening absorption of warehouse and industrial space throughout suburban areas of the Boston Metro. Small and mid-sized properties have been selling and leasing well! And with small business growth in the Boston Metro outpacing the national average, it’s reasonable to expect consistent demand throughout the upcoming months.
When you are ready to begin, relocate or expand your business, team up with an experienced commercial real estate broker at Jay Nuss Realty Group, LLC! Whether you are thinking of buying or leasing Boston Metro commercial real estate, we can help you find the ideal property. Please contact us today for expert guidance!