The East Bay’s industrial market is thriving. Low vacancy rates, strong rent growth and heavy demand have led to new projects and millions of square feet to deliver over the next two years. Expansion plans from Tesla, Amazon, FedEx, UPS and Apple helped spark much of the growth, while an extremely active Port of Oakland has helped make the region more desirable.
“The last couple of years [have] been a good run for Bay Area industrial, including the larger distribution market of Tracy and Stockton,” Colliers International SVP | SIOR Kevin Hatcher (above with his family) said.
Hatcher said the industrial market is reporting 15% to 20% year-over-year rent growth in recent years. From 2010 to 2016, the Bay Area’s rent growth was among the top industrial markets in the country.