Q3 2021 | Houston Industrial Market Report

HOUSTON - Nov. 4, 2021 - PRLog -- Key Takeaways

• Construction costs increased at a rapid pace
• Architects and engineers rethink designs due to material shortages
• Q3 quarterly absorption outpaced first two quarters of 2021 combined
• Vacancy dropped 90 basis points in Q3

Houston Highlights

Houston's Industrial market continued to gain momentum as leasing velocity reached 9.8 million square feet in the third quarter pushing the year-to-date volume to a historical record of 35.4 million square feet. The increase in demand for space continued to spur new development with over 16 million square feet under construction and an additional 47 million square feet proposed or in final the planning stage. Houston's industrial market recorded 11.6 million square feet of absorption in the third quarter, bringing the year-to-date total to 18.1 million square feet of positive absorption. The vacancy rate decreased 90 basis points over the quarter.

Executive Summary

Commentary by Chase F. Spence | Senior Vice President

Container Volume and Cost Increases
Houston container ports continue to see rapid volume growth with more than 10% for the 7th consecutive month. This is being driven by increased consumer spending and growth of imported raw materials such as steel. The increase is also a product of... To read the full report, click here: https://www.colliers.com/en/research/houston/q3-2021-hous...