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US Warehouse Market - More Downside Yet In Store

October 9, 2009

Analysis of:Worst May be Over for Warehouse Market | nreionline.com

The major warehouse space demand drivers are in decline. Unemployment is up, the dollar is down, credit is tight, container trade is shrinking and consumers are starting to save.Construction of new speculative distribution facilities has come to a virtual halt, but the large supply of new space added to inventories during the easy money binge of the last several years will take several years to fill. Older buildings will compete with new space putting significant downside pressure on rents.

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