Real estate company Jones, Lang LaSalle, or JLL, released its findings about the state of the local industrial and office markets. This comes weeks after several large acquisitions in both urban and suburban sales, including,According to the report, office vacancies have shown signs of stabilization in the first half of the year with 20% of the total stock still unoccupied.
On the other hand, the industrial market has maintained a low vacancy rate and is now at 3.5%, JLL reported. It said that there has been 27.8% growth since the end of 2020, but there has been a lack of new construction. Leasing has also been down and JLL attributed to the lack of new construction to “market tightness,” which has lead to increased rent and a “landlord favorable market.”
Despite this and interest rate challenges, it determined that investment opportunity is still “active” in Northeast Ohio. One example it used was Royal Oak Trust acquiring Riddle Sport’s 347,000 square-foot-facility in North Ridgeville for $36.5 million. And just like with the office market, JLL is optimistic about the industrial sector believing it will continue to have low vacancies and consistent tenant demand. But it added that developers will most likely continue to focus on leasing current inventory, construction pricing and interest rates before creating new construction.$47 million deal reached to renovate vacant Hough high-riseIf you purchase a product or register for an account through a link on our site, we may receive compensation.