Puget Sound Market Q2 Review: Momentum Picks Up

In this episode of the Industrial Advisors Podcast, hosts Bill Condon and Matt McGregor review the industrial real estate market performance in the Puget Sound region for the first half of 2024. They discuss the trend of rising vacancies across submarkets and explain the differences in reporting methods that affect absorption figures. Despite a year-to-date negative absorption of 1.365 million square feet, the hosts express optimism for a strong second half, driven by several large deals nearing completion. They cover market segments with the lowest and highest vacancy rates, noting increased activity in the 10,000 to 25,000 square feet category. The hosts also highlight trends in capital markets, including a surge in user transactions and the prevalence of cash deals. They discuss construction trends, noting a lack of new starts in Q2, and provide insights into specific market challenges, particularly in South Seattle. The episode concludes with a positive outlook for leasing and investment activity in the latter half of 2024. 00:30 Q2 Review and Market Trends 00:44 Vacancy Rates and Absorption 02:13 Submarket Analysis 02:48 Size Ranges and Vacancy Insights 05:07 Capital Markets Update 07:42 Construction and Future Outlook 11:52 Seattle Market Focus 13:33 Conclusion and Predictions You can find every episode of this show on Apple Podcasts, Spotify or YouTube, For more, visit industrialadvisors.com