CBRE has released its 2023 Industrial Figures report for the first quarter, indicating that New York City’s industrial real estate market remains healthy. Despite economic pressures such as rising interest rates and persistent inflation restraining consumer spending, demand for space has cooled to pre-pandemic levels while pricing is still moderating.
Leasing velocity decreased to 730,000 square feet in Q1 2023 – a quarter-over-quarter decrease of 52.0% and 25.6% lower than the three-year average – while availability rate dropped by 30 bps quarter-over-quarter to 6.5%. The Class A availability rate declined by ten basis points to 6.2%, with an average asking rent increasing 2.1% quarter over quarter and 13
