1、Industrial23Q1U.S.NationalHeadlineMarket Indicators Market Graph Q1 2023 OccupanciesHistoric ComparisonVacancy Rate 4.0%UnderConstruction621.8MSFOverall AskingLease Rates(NET)$9.58/SFKey TakeawaysIndustrial demand growth cooled during the first quarter from the robust pace set in the last two years

2、amid slower economic growth.Construction activity remained elevated,with 621.8 million square feet underway,equating to 3.6%of total inventory.The vacancy rate ticked up 30 basis points in the quarter to 4.0%,although it remains well below its historical average.YOYFORECASTYOYFORECASTYOYFORECASTYOYF

3、ORECAST3.5%Unemployment Rate 1.1%GDP-Quarterly%change yr/yr 3.48%U.S.10 Year Treasury Note 23Q122Q422Q1Total Inventory(MSF)17,346.117,231.216,916.0New Supply(MSF)131.1141.297.2Net Absorption(MSF)73.8123.5118.2Overall Vacancy 4.0%3.7%3.8%Under Construction(MSF)621.8657.2576.5Overall Asking Lease Rate

4、s(NET)$9.58$9.07$7.96Following nine straight quarters in which net absorption exceeded 100 million square feet,demand for industrial space moderated in the first quarter of 2023 to 73.8 million square feet.While completions rose 34.9%year-over-year to 131.1 million square feet,deliveries declined mo

5、destly from peak levels reached in the prior two quarters.The vacancy rate increased 30 basis points from the end of 2022 to 4.0%but remained well below its historical average level of 6.2%since 2010.U.S.industrial market fundamentals softened in the first quarter of 2023.Higher interest rates and u

6、ncertainty about the economy led to more modest levels of net absorption,and steady completions outpaced demand.While the vacancy rate ticked up from a cyclical low in 2022,it remains well below historical average levels.Asking rents also continued to expand,given still-tight market conditions.Howev