Houston Gateway to industrial stats 1Q 2016

HOUSTON – Commercial Gateway​, the commercial division of the Houston Association of Realtors (HAR), has released its area industrial reports for 1Q 2016.​​

Houston’s industrial market continued to expand with positive direct net absorption of 723,030 sf during the first quarter despite manufacturing slowdowns and overall economic uncertainty, according to statistics released by Commercial Gateway.

This quarter’s absorption represents the 25th consecutive quarter— over six years—of positive absorption, with seven quarters recording more than 2 million sf each.

The first quarter’s net absorption clearly represents a slowdown, although slightly lower than last quarter’s 792,552 sf, but considerable lower than the previous years.

IKEA is looking to build up to a million-sf distribution facility.

Several other major announcements for large build-to-suits and speculative projects have resulted in several large deals recorded during 2016.

Construction activity is still high with many projects underway and many other proposed properties announced. Currently, 64 buildings representing almost 10.1 million sf are underway. ​​​

The graph below features the top three submarkets by square feet.