“All systems are a go for industrial in 2019- despite tariffs, waning supply, and consistent interest rate spikes. The same market experts who predicted stable activity, higher pricing, and higher cap rates for 2018 say they predict even more so in 2019. Adaptation of the industrial sector to meet the needs of real estate professionals has made the United States the best bet for capital, both foreign and domestic.

Office conversion projects might be on the horizon for industrial. While still quite far off, one project in San Diego may be sparking ideas to meet industrial demand. Some retail spaces (that meet specific industrial needs/features) may even be options for conversion as well. This would help solve key obstacles like industrial availability and the shift to more current technology and function. And more attractive industrial buildings in prime locations would just be the cherry on top.”