Combo breaker: Supply glut pushes industrial rental growth rate to 4.9%

Records all-time low since 2010.

The annual rate of increase in industrial rentals slowed to 4.9% in Q1, a far cry from the average annual growth rate of over 10% between 2010 and 2013.

A report by Fitch attributed this decline to an excessive supply of industrial spaces.

According to the report, “Fitch expects rental growth for industrial properties to weaken through 2014 – especially within the warehouse space – on account of a spike in new supply.”

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