Q4 23 – Industrial Demand Cools
Though Pittsburgh’s Industrial real estate market remained stable throughout 2023, there are indicators that 2024 could bring some slight softening in vacancies, rents, and investment levels. The most important of these is a softening of the national  market.  CoStar’s national data shows that the second half of 2023 saw some of the lowest levels of industrial absorption in a decade, due in large part to economic headwinds like a slowing housing market and the increased cost of debt.

These challenges have caused major distributors like Bed Bath and Beyond, Big Lots, and Ashley Furniture to reduce their footprint. National vacancies jumped by nearly 100 basis points in 2023, and with roughly half a billion square feet of warehouse space currently under construction this trend will almost certainly continue through 2024.

Read Full Report Here: Q3 23 Industrial Market Report – Hanna Commercial