MARKET DRIVERS
THE INLAND EMPIRE Industrial Market remains one of the most distinguished in the country, but it is evident that the market has started to diminish. Although it is unclear how long this slowdown will endure, businesses should be mindful of it as they prepare.
THE INDUSTRIAL SECTOR in the Inland Empire is experiencing strong demand for many different kinds of reasons. The continued growth of e-commerce is one of the primary factors influencing demand for industrial space. Due to the rise in online shopping, businesses need more warehouse space to store and distribute their products. This demand will continue as firms need more space to operate and grow in the Inland Empire. The Inland Empire is a desirable region, giving businesses and families easy access to the Los Angeles market and the rest of the country.
ECONOMIC OVERVIEW
IN 2023, the Inland Empire will have an adjusted unemployment rate of 3.4%, less than the 3.8% national adjusted unemployment rate.
THE INDUSTRIAL MARKET is expected to be productive in 2023. The demand for industrial space is anticipated to remain substantial, and any new supply will be steadily absorbed. Rents are likely to rise while vacancy rates are likely to stay low. One of the lowest in the nation, this area has a low vacancy rate.
NEAR TERM OUTLOOK
THE INLAND EMPIRE is one of the largest industrial marketplaces in the nation, and that status is expected to continue in 2023. Businesses seeking industrial space in the Inland Empire should plan ahead, as space for class A product is limited.
THE INDUSTRIAL MARKET in the Inland Empire will be supported by the continuous expansion of the e-commerce sector, which is predicted to stimulate demand for warehouse and distribution space. The local economy is creating jobs and driving up demand from businesses for industrial space. Due to its ideal location, businesses supplying the Los Angeles and Southern California markets can readily operate in the Inland Empire.
Click here to subscribe to Kidder Mathews market research.