Surge in demand has led to new projects statewide.
The industrial sector in Florida is looking quite industrious going into the last three quarters of 2020.
Three markets — Tampa Bay at No. 11, Jacksonville at No. 16 and Orlando at No. 18 — are in the top 20 of the 2020 U.S. Industrial Pipeline report from real estate industry blog CommercialCafé. Overall, the report, using data from Yardi Matrix projects industrial property completions will increase by 29% in 2020 over 2019, to 186 million square feet across 627 properties.
“Healthy consumer demand, historically low interest rates and a shakeup in global supply chains are driving the need for more manufacturing and warehouse space — provided the recent pullback is short-lived,” the report states. Another caveat: The data is through Feb. 27, several weeks before the coronavirus scare and mass national event cancellations.
Although Florida’s trio did well in the survey, those regions pale in comparison to some of the giants on the list. The Inland Empire region in California, for example, is projected to lead the nation in industrial completions with nearly 26 million square feet of space across 84 projects — roughly 400 football fields. That’s up 66% over last year, according to the report. Dallas isn’t far behind, with a projected 23.5 million square feet of industrial projects in the pipeline, in 75 projects.
The largest project in Florida this year, meanwhile, is the Amazon Distribution Center in Deltona, Volusia County. That project, according to the CommercialCafé report, is scheduled for delivery in October and will add 1.4 million square feet to the industrial inventory.