Atlanta Industrial Boom Reaches Record Heights
Construction and Development Trends Atlanta's industrial landscape is experiencing significant changes due to new construction and development patterns. Recent data show a slowdown in the pipeline, with only 5.7 million sq. ft. of new construction deliveries expected in the first half of 2025. This figure is considerably below the historical 5-year average. Despite this, the construction pipeline remains strong at 17.2 million sq. ft., although it's declining by 15% year-over-year. The elevated vacancy rates across the market, influenced by previous years' construction, create challenges for absorbing new space efficiently. The expansion of industrial spaces is still ongoing, especially in northern suburbs like Duluth and Suwanee. Here, there is an increased demand for smaller industrial spaces. Leasing activity has notably dropped by over 40% when compared to previous years. This downturn reflects unpredictable market conditions. Vacancy Rates and Rental Dynamics As the i...