Seven Ways to Prepare for an Industrial Warehouse Property Search

Industrial warehouse space in the current market is hard to come by, so when you find it you need to be ready. To help your search along, we recommend considering these nine ways to prepare for your industrial property search.

Timing is Everything!

1. Gone are the days of leisurely exploring industrial options. In today’s market, be prepared to start early and for your search to last longer.
2. If you discover a property coming on the market, find out exactly when it will be available so that you can begin crossing your t’s and dotting your i’s. Knowing when the property will be available helps determine if it will fit the timeline for when you need space.

Be Prepared.

3. Knowing how much and what kind of space you need before beginning your search is imperative. This includes office requirements as well. Do you want a kitchen and breakroom? How many restrooms do you need? How many private offices? And how big?

Rising Costs

4. If you haven’t been in the market for space in a while, you’re going to found that things have changed. Since 2020, construction costs and lease rates have been increasing at a rapid pace. We are seeing inflation in all aspects of our life and industrial real estate is no different.  

It’s a Landlord’s Market.

5. Though new leases typically come with a built-in tenant improvement budget, that may change or lessen as the current market favors landlords.

Be Flexible.

6. With warehouse properties in high demand, it may not be possible to get everything on your wish list. Decisions will need to be made about what is most important. Being open to different locations might open up additional opportunities.

Move Fast.

7. Tenant demand is high and availability of space is limited, so industrial spaces are leasing quickly. Rates are continuing to increase as demand grows. The sooner the lease is signed, chances are you will get a better rate than if you wait.

Choose Wisely.

Selecting a broker who understands the climate of the market and how to navigate it is critical. There are many considerations and skills involved in negotiating a lease and finding a space that will meet your needs. Making the right choice in representation will make all the difference in getting through the process as smoothly as possible.