CRE MARKETPLACE (pg.11): CONSTRUCTION COMPANIES/GENERAL CONTRACTORS ECONOMIC DEVELOPMENT CORPORATIONS
VOL.33 NO.3
THE LEADING NEWS SOURCE FOR INDUSTRIAL REAL ESTATE PROFESSIONALS & USERS
MAY/JUNE 2023
Cold Storage Sector Really Pretty Hot: Newmark Reveals Temperature-Controlled Development Pipeline at New Record
By Mia Goulart, Senior Staff Writer
T
o say cold storage is “heating up” would be an understatement. Chicago possesses one of the largest cold storage footprints at 12.4 million square feet—and it’s expected to keep growing, led by three primary drivers: (1) e-commerce, (2) industry consolidation and (3) aging inventory, based on Newmark’s March 2023 Industrial Insight Report.
It’s no secret that the pandemic accelerated the growth of e-commerce and last-mile operations, with many consumers turning to online grocery shopping and meal services. So much so, e-commerce grocery sales are expected to grow at a 6.5% CAGR over the next five years, outpacing the 2% expected for in-store sales. COLD STORAGE (continued on page 6)
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CHICAGO, IL PERMIT NO. 3223
Class B and C and The Current Industrial Market: What You Need to Know By Mia Goulart, Senior Staff Writer
C
lass A industrial buildings remain the golden child of the sector, yet middle-tier buildings are also capitalizing on today’s uncertain economy. While this may bring a momentary sense of relief to these buildings’ owners and landlords, it presents challenges for potential users. Simply, the industrial real estate market in Chicagoland is currently experiencing a shortage of available space—particularly that of Class B and C, which among other conseINDUSTRIAL (continued on page 10)