A Tale of Two Industrial Winds

The industrial sector has undergone a seismic shift over the past five years, transforming from a stable yet unremarkable sector into a high-growth, frenetic superstar sector. Nonetheless, exponential growth is not forever, nor should it be, and as the industrial sector stabilizes, new opportunities and challenges emerge for the property type.

Nearshoring and reshoring have been top-of-mind for manufacturing and industrial commercial real estate investors alike. While globalization led to manufacturing in concentrated locations where there was a competitive advantage – think production in the lowest cost location – the global shut down of trade brought on by the pandemic revealed the need for more domestic manufacturing of critical intermediate and final goods.

Read the full article from Area Development here.