The Northeast industrial real estate market is like the Sahara at high noon: hot and getting hotter.
Leasing volume during the last quarter topped 30.1 million square feet, the highest quarterly level in the market’s history, according to a JLL report covering New York City’s outer boroughs, Long Island, New Jersey, Pennsylvania and Delaware. To put that leasing volume into perspective, the 12-quarter average is 21.4 million square feet.
The market is so competitive that tenants are signing leases for warehouses and distribution centers still being built. More than 50 percent of warehouses currently under construction in the region are already leased, according to the report.
More than half of under-construction industrial space in the Northeast is already leased.