Industrial Real Estate Trends In 2024

Strong Demand for Industrial Real Estate.

Canada's industrial real estate, especially in warehousing and fulfillment, is witnessing robust demand, primarily fueled by e-commerce growth. This surge necessitates expanded storage and distribution capacities. With the national availability rate for industrial properties being low, there's a notable increase in occupancy and rent prices, signaling a dynamic market ripe for investment and growth opportunities.

Innovation in Industrial Space

Interest in innovative industrial spaces, like vertical or multilevel developments, is growing. These creative solutions address the demand and high costs in industrial real estate, offering efficient space utilization. Despite challenges in accommodating larger vehicles, such designs showcase progressive thinking and adaptability, vital for long-term industry success.

Cross-Over with Retail Market & Last-Mile Delivery

The lines between industrial and retail real estate are blurring, with a shift towards industrial sites near customers for efficient e-commerce delivery. This convergence offers new strategic investment opportunities and could streamline the supply chain by integrating retail and industrial operations. Additionally, this trend aligns with evolving consumer behaviors, further driving demand for strategically located industrial properties.