ATLANTA
The Atlanta Industrial market continues to move towards normal vacancy range, rising to 7.5% with 33 MSF of newly-delivered buildings. While net absorption fell to -2.3 MSF in Q4, overall it remained positive 2.9 MSF for the year. There is a flight to newer buildings, with those built before 1995 losing 4.02 MSF of tenants, and those built after gaining 6.76 MSF. Overall rental rates averaging $9.04 are double the rates from 2019, $4.61. Finally, 27 MSF of space is U/C, the lowest amount under construction since Q1-2021 – but still 75% higher than in Q1-2018.
TOP NEW LEASE
TOP DELIVERY
TOP SALE
INDUSTRIAL
VACANT SF HARTMAN V CZARNOWSKI – 7545 HARTMAN IND WAY – 569,674 SF
COMMERCE CNTR MDH PARTNERS – CASS WHITE RD 1,218,620 SF
WHITE LOG CNTR #100 KOHLBERG KRAVIS ROBERTS 793,563 – $52.4M / $66 PSF 58.4 MSF
MARKET: WINTER 2023
BUSCH
CASS
% VACANT 7.5% QRT NET ABSORPTION (2.3 MSF) DELIVERED SF 13.2 MSF UNDER CONS. SF 27.3 MSF QUOTED RATES SALES PRICE
$93 / PSF
$9.04
0% 1% 2% 3% 5% 6% 7% 4% 8% 50 MSF 40 MSF 30 MSF 20 MSF 10 MSF - MSF 2018 2019 2020 2021 2022 2023 NET ABSORPTION NET DELIVERIES VACANCY RATES NET ABSORPTION, DELIVERIES, & VACANCY RATE
OCCUPIED VS VACANT
ABOUT SKCR
SK Commercial Realty is a full-service real estate brokerage selling, buying, and leasing office, industrial, medical, retail, and land properties. We offer project consulting services, property management, accounting, and investment services. SKCR is committed to our clients, partners and employees, our industry, and the community.
We have been providing effective real estate solutions to clients throughout the southeast since 1985. Each transaction is treated with the same level of care and attention no matter the size or type, and each is managed by an experienced and knowledgeable team of brokers. SKCR has developed and acquired over 5,000,000 square feet of property, and has also grown to accomodate over 25 brokers and a team of nearly 20 staff accountants, managers, architects, marketing professionals, and leadership roles. SKCR has won the Cobb County Small Business of the Year award several times, making them the leading independent commercial real estate brokerage in the county.
Learn more by visiting www.skcr.com or calling 404.252.1200.
Source: CoStar data comprised of metro Atlanta industrial market buildings 20,000 RSF and greater. Report by Scott Crooks and Claire Blevins. Copyright 2023. Submarket Inventory SF Total Vacant SF % Vacancy Qrt Net Abs. Delivered SF Under Cons. SF Quoted Rates Central Atlanta & Chattahoochee 22,832,781 1,922,330 8.4% (319,594) - 220,863 $13.46 GA 400 North 27,633,356 1,158,911 4.2% 310,747 133,752 62,500 $13.57 I-985 & North I-85 84,580,621 10,941,489 12.9% 17,461 4,158,899 6,899,970 $7.09 I-85 DeKalb & Gwinnett 141,157,845 5,702,530 4.0% (317,188) 845,950 1,064,595 $10.39 I-75 North 88,959,482 10,794,556 12.1% 520,168 4,810,300 1,977,518 $9.73 I-20 East 74,793,975 5,057,341 6.8% 211,407 1,205,890 2,405,974 $7.93 I-75 & I-85 South 224,349,126 14,704,040 6.6% (1,582,788) 1,512,729 10,867,446 $9.32 I-20 West 118,907,629 8,150,360 6.9% (1,107,863) 572,595 3,789,225 $8.51 Totals 783,214,815 58,431,557 7.5% (2,267,650) 13,240,115 27,288,091 $9.04 Northern Submarkets Inventory SF Total Vacant SF % Vacancy Qrt Net Abs. Delivered SF Under Cons. SF Quoted Rates Ware/Dist >1995 192,090,311 22,635,439 11.8% 958,927 9,948,901 10,187,446 $8.57 Ware/Dist <1995 141,373,158 5,993,256 4.2% (595,877) - - $10.16 Flex Product 31,700,616 1,891,121 6.0% (151,456) - 38,000 $14.67 Northern Totals 365,164,085 30,519,816 8.4% 211,594 9,948,901 10,225,446 $9.26 Southern Submarkets Inventory SF Total Vacant SF % Vacancy Qrt Net Abs. Delivered SF Under Cons. SF Quoted Rates Ware/Dist >1995 241,458,095 18,386,641 7.6% (893,168) 3,291,214 17,062,645 $9.50 Ware/Dist <1995 165,296,933 9,070,173 5.5% (1,563,907) - - $7.20 Flex Product 11,295,702 454,927 4.0% (22,169) - - $13.04 Southern Totals 418,050,730 27,911,741 6.7% (2,479,244) 3,291,214 17,062,645 $8.81 50M (8.4%) (4.2%) (6.8%) (12.9%) (12.1%) 150M OCCUPIED SF VACANT SF 100M 200M 250M CENTRALATL& CHATTAHOOCHEEGA400N I-85DEKALD&GWINNETT I-75N I-20E I-75& I-85S I-20W I-985& I-85N (4.0%) (6.6%) (6.9%) Northern Southern