The industrial sector of Phoenix’s commercial real estate market is in strong growth mode, according to the 2019 U.S. Industrial Pipeline Report, recently released by nationwide commercial real estate listings platform COMMERCIALCafé, part of Yardi Systems.
Phoenix is the sixth most attractive market for industrial development this year, with 34 projects totaling 6.5 million square feet. In comparison, last year Phoenix took number 8, with 19 projects and 5 million square feet. The largest project scheduled for 2019 in Phoenix is Building 1 of the TEN Distribution Center. Owned by Pasternack Properties, it was completed in January and spans 1.1 million square feet. Interestingly, however, the report shows that the 10 largest projects in the country scheduled for 2019 all feature more than one building.
The Inland Empire, Chicago and Dallas-Fort Worth are the top three most attractive markets for industrial development in 2019. Overall, 304 industrial projects, totaling 104.6 million square feet, are expected to be delivered across the U.S. this year, compared to 270 projects and 105.7 million square feet brought by developers last year.