Why is Industrial Booming in The Midwest?

The election is over. I am writing this on Nov 1, for publication and posting on Nov 7. So I don't know the outcome of this election, but I am sure of this fact.

INDUSTRIAL IS STILL BOOMING IN DEMAND IN MICHIGAN.

But why?

- Onshoring? Tariffs? Amazon? Just in Time Inventory Controls? Home Building demand? Logistics? Cannabis indoor grow? Self storage? Shifts in retail? Conversion of warehouse to office/creative spaces?

I would caulk all these as valid reasons for the demand. 97.4% occupancy in SE Michigan equates to 0% availability of good, useable industrial space. Rising rents.

But the rents would need to be $7-8 NNN to support any real increase in new construction and supply. This is the key reason for the high occupancy. We still can't afford to build new space for middle market users. The existing space is subprime (low ceiling heights etc.).

There is new construction, in Pontiac alone there is nearly 4 million square feet of new warehouse space being built - Amazon's Silverdome site is 3.2 million sf of this new supply!

The future looks bright for industrial.

Ask DIRT. We've got industrial deals for your gain.