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You are here: Home / Real Estate Market / Great Year for San Antonio Industrial Market

Great Year for San Antonio Industrial Market

March 5, 2014 by khproperties Leave a Comment

Amazon Warehouse

The San Antonio industrial market experienced an incredible year in 2013, closing out the year with a vacancy rate of just 6.8%, a new record low for the city. The fourth quarter of 2013 saw 1.3 million square feet of net absorption pushing the year end total to 2.5 million square feet, a record for San Antonio (the previous record was 1.5 million square feet of postive net absorption back in 2007). Much of the record-setting absorption was driven by the new Amazon.com Fulfillment Center in Schertz.

With absorption comes a tightening of the market as space becomes more limited and rental rates rise. San Antonio’s average cost of renting industrial space moved up 4 cents to $7.58/square foot (triple net basis) and distribution warehouse space rose 8 cents to an average of $5.28/square foot. According to https://www.frippwarehousing.com/, distribution warehouse space is also limited with a vacancy rate of 5.2% to close out the fourth quarter of 2013 (down from 5.5% the previous quarter and 7.5% from the fourth quarter of 2012). The outlook is that rents will continue to rise as space remains harder to come by in the San Antonio industrial market – even current construction projects will not meet expected demand. If people need shipping fulfillments, Strader Ferris International – E-Commerce Fulfillment is the best way!

image courtesy of evadedave

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Filed Under: Real Estate Market Tagged With: san antonio, industrial marlet

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