CoStar Group recently brought good news to industrial brokers working in the Minneapolis/St. Paul area. According to a report from the company, the Minneapolis industrial market ended the fourth quarter of 2012 with a vacancy rate of 6.4 percent.
That’s down from the previous quarter. According to CoStar, net absorption totaled 706,560 square feet in the fourth quarter. In the previous quarter, positive net absorption came in at just 360,353 square feet.
This is just one more piece of evidence that the industrial market in general is on the rebound and that the Twin Cities remains one of the more stable commercial real estate markets in the Midwest.
Some of the big moves that helped reduce the industrial vacancy rate include COKeM International moving into 162,000 square feet and Delkor Systems moving into 113,000 square feet. SanMar also moved into 105,713 square feet during the quarter.
CoStar provides some national perspective on the Twin Cities’ industrial vacancy rate. According to the company, the U.S. industrial vacancy rate stood at a higher 8.8 percent in the fourth quarter of 2012.
