The Houston industrial market yielded 2.6 million sq. ft. in net absorption for Q1 2020, led by consumer goods.
Under construction product broke 22.0 million sq. ft. in Q1 2020.
Three major build-to-suit projects account for over 21.0% of current construction, including distribution centers for Ross (2.2 million sq. ft.), Medline (1.3 million sq. ft.), and Dollar Tree (1.2 million sq. ft.).
Vacant deliveries increased the vacancy rate by 77 basis points from the previous quarter to 6.6%.
New starts have slowed over the last two consecutive quarters and are down 987,717 sq. ft. from Q4 2019.