INDUSTRIAL MARKET REPORT
Q3 MARKET SNAPSHOT
Q3 CONSTRUCTION & DELIVERIES
MILLION
Q3 TRENDS & HIGHLIGHTS
• DEMAND FOR LARGE-FORMAT INDUSTRIAL SPACE IS RISING, BUT HIGH VACANCY PERSISTS AS DEVELOPERS OFFER INCENTIVES TO ATTRACT TENANTS.
• DEMAND FOR SMALL-FORMAT INDUSTRIAL IS STRONG AMID TIGHT SUPPLY.
• INSTITUTIONAL INVESTMENT SALES ARE LIMITED, AND OWNER/USERS ARE EMERGING AS THE PREFERRED BUYERS.
• LEADERSHIP CHANGES WITHIN THE SCSPA WILL BE IMPACTFUL IN THE NEAR FUTURE.
• TARIFFS ARE DRIVING CORPORATE GLOBAL REALIGNMENT TOWARD ONSHORING.
• MILITARY BUILD-UP IS CREATING OPPORTUNITY IN INDUSTRIAL.
ECONOMIC OPTIMISM FUELS SURGE IN USER DEMAND
RECAP & OUTLOOK OF DEMAND & SUPPLY FOR LARGE AND SMALL FORMAT INDUSTRIAL SPACE
Large Format Buildings:
• After 24 months of sluggish demand and steadily rising vacancy rates, bulk warehouse space is finally seeing renewed interest from 3PL tenants, global manufacturers, and defense contractors seeking space throughout the region.
• Corporations appear optimistic about future growth, with the market stimulated by external factors such as onshoring-driven demand, M&A consolidations, a shift toward higher-quality space, and new government incentives introduced through the “Big Beautiful Bill.”
• The final wave of large-format distribution centers has wrapped with Rushmark’s Jedburg project. This has lead to a pause in new construction to allow the market to absorb high vacancies, with future development expected along I-26 from Jedburg to I-95.
Small Format Buildings:
• Throughout most of 2025, steady demand for 10,000 – 100,000 SF spaces has been driven by manufacturing growth from OEM’s like Boeing and Mercedes, as well as an increased need for construction materials tied to housing and largescale projects.
• Over the past 24 months, strong demand has driven vacancies and
Located along Patriot Blvd, this infill site is centrally located and offers two (2) buildings totaling 180,200 SF of Class A manufacturing and/ or distribution space for
infill spaces to historic lows. This has prompted developers to pursue 100,000–200,000 SF shallow bay projects, that can accommodate these tenant sizes. With the market demand expected to persist, tenants are advised to plan early and adjust value expectations.
INDUSTRIAL BUILDING SALES
• After years dominated by large institutional investors, high vacancy rates have shifted the market. This has created opportunities for local and regional owner/operators to purchase industrial buildings.
• With interest rates becoming more favorable and larger buildings remaining vacant longer, it’s an ideal time for buyers looking to purchase.
DELIVERED
NEW CONSTRUCTION PROJECTS IN THE PIPELINE & RECENTLY
INDUSTRIAL OPPORTUNITIES
BERKELEY CHARLESTON TRADEPORT 3
Summerville/Jedburg
±299,922 SF Available
Summerville/Jedburg
±324,792 SF Available (2 Buildings)
INDUSTRIAL ADVISORS
HAGOOD MORRISON, SIOR, MBA, CRE Executive Vice President hagood.morrison@bridge-commercial.com
PETER FENNELLY, MCR, SIOR, SLCR President peter.fennelly@bridge-commercial.com
SIMONS JOHNSON, SIOR, MCR, CCIM Executive Vice President simons.johnson@bridge-commercial.com
JOHN BEAM, SIOR Vice President john.beam@bridge-commercial.com
WILL CROWELL, SIOR Vice President will.crowell@bridge-commercial.com
Summerville/Jedburg
±534,081 SF Available (2 Buildings)
