TAG Industrial Watch: May 25, 2024

Today’s economic sentiment feels eerily similar to what took place during the spring of 2008. At that time, polls showed that most Americans believed that the economy was in recession. However, experts denied these recession allegations mostly because Gross Domestic Product (GDP) was in positive territory (for example, initial reporting of annualized GDP growth for Q1 2008 was 0.6%). Eventually, those GDP numbers were revised lower (final revision for Q1 is -1.7%) and that recession that apparently only existed in the minds of everyday people had officially started months earlier in late 2007. Fast forward 16 years and history seems to be repeating itself.

A recent poll shows that 56% of Americans believe that the U.S. economy has fallen into recession (CNBC). With Q1 GDP slipping for the second consecutive quarter to just 1.6%, it will not be surprising to see if the trend continues and if previous reports are revised lower. Industrial investors who heavily depend on financing may be tempted to wait for potentially lower interest rates from the Federal Reserve. However, as TAG demonstrated last week, significantly lower rates may not come to fruition in the near future, especially if the economy turns out to be in recession.

I N D U S T R I A L   N E W S

Most Americans Falsely Think The
U.S. Is In Recession, Poll Shows
CNBC – May 22, 2024
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Borderlands Mexico: Mexican Ports’ 2024
Cargo Volumes Up 18% Through April
Freight Waves – May 22, 2024
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Expect Long-Term Demand For Cold
Storage Along Southern Coast
GlobeSt.com – May 9, 2024
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Amazon Logistics Manager Says EVs Are ‘Past The
Tipping Point’ And Industrial CRE Needs To Take Notice
Bisnow – April 23, 2024
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Prologis, Blackstone Double Down On
Data Centers, But Hurdles Remain
Commercial Property Executive – May 20, 2024
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R E G I O N A L   N E W S

PGIM Finances $74.5M For Chicago
Rail-Served Industrial Portfolio
Connect CRE – April 26, 2024
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RL Cold Kicks Off Minneapolis Cold Storage Facility
Commercial Property Executive – May 15, 2024
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Terreno Realty Buys $365M Industrial Portfolio
GlobeSt.com – May 3, 2024
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Microsoft Plans Artificial Intelligence
Data Hub In Wisconsin
CoStar – May 8, 2024
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LaPour Acquires Prime 6.3-Acre Parcel
For New Infill Industrial Project
Mile High CRE – May 16, 2024
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