TAG Industrial Watch: September 24, 2022
Once again, the Federal Reserve bumped up interest rates to a range of 3% to 3.25% in an effort to stave off inflation. Unfortunately, with the Consumer Price Index pacing at more than 8%, the Fed’s efforts will likely be in vain as real interest rates remain negative. As long as real interest rates remain in negative territory, people will be incentivized to spend today, versus save and pay more in the future. The Fed’s rate hikes may be far from resolving the inflation problem, but they are close to pushing an economy, which is already in a textbook recession, over the edge. While this is bad news for the overall economy, industrial landlords who can see this development still have a golden opportunity before the investment community wakes up. Industrial property valuations are at record highs and demand remains strong. However, this environment could quickly change if an economic crisis unfolds before the Fed defeats inflation. I N D U S T R I A L N E W S Fed Hikes Rates Again, Raising Risk of Recession Economist’s View: CRE And The Question Of Forecasting Should Investors Looking For Distress Strike Amazon’s Logistics Pullback Grows To Affect 66 Warehouses Aging US Warehouses Are Driving Record Development R E G I O N A L N E W S Lineage Logistics Inks Full-Building Lease In Houston Likewise Partners Announces New Fund And Acquisition Urban Logistics Completes Dallas-Fort Worth Campus Denver Commercial Real Estate Leaders See Growing Market Post Pandemic Private Investor Buys O’Hare Industrial Building For Redevelopment |