Retail sales in the U.S. have remained steady over the last four quarters; however, e-commerce sales continue to trend upward, representing 8.1% of all sales during the second quarter. Online sales have climbed markedly over the last year, up 15.8%. Meanwhile, the trade, transportation, and utilities sector has increased by 17,600 jobs over the last 12 months.
The e-commerce boom, along with the growing presence of logistics companies, have continued to propel the New Jersey Industrial market, mainly due to the need to quickly deliver products to one of the most populous regions in the country. In turn, overall net absorption reached 13.2 million square feet (MSF) for the year, marking a new annual high with one quarter left in the year. The third quarter vacancy for warehouse space continued to tick lower to 4.5%, and asking rents once again ascended as modern, quality space options for large warehouse users remain scarce along the New Jersey Turnpike Corridor.
Source : Cushman & Wakefield