Philadelphia Industrial Market Outlook (CoStar, March 2023)
- E.R.Cornwell
- Mar 14, 2023
- 1 min read
We want to thank CoStar for this article showing us that Philadelphia, as a Mid-Atlantic Industrial Market, is currently one of the strongest. The key takeaways to this article are:
Philadelphia's industrial market has the capacity for any additional volume created by capacity constraints in New York and North Jersey.
Market rents are significantly lower than Boston / New York / DC areas for warehouse and dock facilities.
Philadelphia does serve the most dense populations in the US within one-day drive from offloading.
Smaller sub-markets like Bucks/Montgomery/Delaware Counties are supporting the Philadelphia area by meeting increased demand - creating opportunity for development and increasing rents.
Although supply-side metrics are solid, one has to consider a potential softening in the market due to the amount of space being developed and the lag-time to delivery. However, data shows that 25% of the projects currently under construction are pre-leased, so that may not move the market too much in favor of the Tenant.
If you are looking to invest or move into the Philadelphia, or surrounding sub-markets, allow our team of professionals to help you find the right space for your operations.
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