Industrial Market Research + Announcements Newsletter
Market Update
The newsletter was published during the early COVID-19 pandemic phase. The author notes significant impacts on factory output, shipping, inventory levels, and supply chains, alongside the Federal Reserve's emergency rate cut. Industrial real estate markets move slowly, so full effects would take months to materialize.
The region experienced robust rent growth: approximately 8% annually from 2014-2018, then moderating to 3-4% in 2019, with similar growth anticipated for 2020. Low inventory for sale and modest lease inventory suggested modest slowdown could benefit affordability, though growth prospects remained positive.
Blackstone Insights
Blackstone's $19 billion acquisition of GLP represented one of history's largest private real estate purchases. The author highlights that Blackstone executives view ecommerce as "in its infancy with robust room to grow," suggesting substantial future market potential. Details available via Leading Voices podcast interview with Ben Harris.
Prologis Forecast
Prologis research emphasizes that "the closer you are to the urban core, the more pronounced your rental growth rate will be." This fundamental principle would become increasingly divergent in coming years.
Appraisal Institute Presentation
The author presented Los Angeles and Orange County industrial market analysis to 150 appraisers, emphasizing broker-appraiser relationships for understanding value drivers in investment sales.
New Hire & Executive Interviews
Grant LaBounty joined as full-time staff. The author launched "Industrial Insights," a content series featuring interviews with architects, supply chain consultants, material handlers, and environmental specialists supporting industrial real estate transactions.
Book Project
The author began writing a comprehensive guide for business leaders navigating industrial building leasing and purchases, targeting completion by December 2020 across hardcover, Kindle, and audiobook formats.