New supply won’t have major impact on industrial rental growth
US Commercial Property
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New supply won’t have major impact on industrial rental growth

Despite a higher construction pipeline for distribution warehouses, we think that a high share of pre-let space, coupled with strong demand, means vacancy will only be 20bps higher over the next few years as a result. In turn, we don’t expect it to have a large impact on rents, though it does pose some downside risk to our forecast.
Sam Hall Assistant Property Economist
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