BOSTON, Nov. 9, 2015 /PRNewswire/ -- Greater Boston's industrial real estate market remains strong, with more than 2 million square feet of absorption during the past 12 months, according to "indSTATus – Q3 2015," a research report from Transwestern | RBJ that highlights leasing activity in warehouse, flex and manufacturing properties. Despite negative absorption in the flex and manufacturing sectors, the warehouse market posted healthy positive absorption for third quarter.
"The industrial market has greatly benefited from the strength of the overall Massachusetts economy, which has been outperforming the national average for the past few years," said Northeast Research Director Chase Bourdelaise. "Since 2012, Massachusetts has had a consistently declining unemployment rate, steadying at 4.6 to 4.7 percent the past two quarters, helping to solidify the industrial sectors."
- Tenants absorbed 205,000 square feet of space.
- Vacancy dropped from 11.8 to 11.4 percent, tying its lowest point on record in 2001.
- Asking rates hit their highest point since 2008, at $5.78 per square foot.
- Asking rates in the flex market increased to $8.69 per square foot from $8.56 last quarter.
- Negative absorption of 162,000 square feet pushed vacancy to 15.3 percent from 14.8 percent.
- This was only the second quarter in the past 15 quarters that absorption has been negative.
- Negative absorption of 99,000 square feet drove vacancy to 11.0 percent from 10.3 percent.
- Asking lease rates moved up to $7.66 from last quarter's $7.22.
- The sector has had 272,000 square feet of positive absorption during the last 12 months.
Download the full "indSTATus – Q3 2015" report at http://twurls.com/boston-ind-q315.
In addition to "indSTATus," Transwestern | RBJ publishes 10 other quarterly research reports: "officeSTATus," which focuses on Greater Boston's office market and individual "marketSTATus" reports on nine crucial submarkets. The firm's biotechnology-focused report, "bioSTATus," is released twice a year. In total, the firm produces 46 reports per year, in addition to custom research projects for clients.
Transwestern is a privately held real estate firm of collaborative entrepreneurs who deliver a higher level of personalized service – the Transwestern Experience. Specializing in Agency Leasing, Management, Tenant Advisory, Capital Markets, Research and Sustainability services, our fully integrated global enterprise adds value for investors, owners and occupiers of all commercial property types. We leverage market insights and operational expertise from members of the Transwestern family of companies specializing in development, real estate investment management and research. Transwestern has 34 U.S. offices and assists clients through more than 180 offices in 37 countries as part of a strategic alliance with BNP Paribas Real Estate. Experience Extraordinary at transwestern.com and @Transwestern. For updates from the Boston office, follow @TranswesternBOS.
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SOURCE Transwestern | RBJ