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Mega Big-Box Signings Dominate 2024 Top 100 Industrial Leases

January 30, 2025 3 Minute Read

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Record online sales helped to fuel more big-box leases of 1 million sq. ft. or more in 2024 (49) than in 2023 (43). However, the average size of the top 100 industrial leases last year fell slightly to 968,000 sq. ft. from 987,000 sq. ft. in 2023. Forty of the top 100 were renewals, 10 more than in 2023.

A less diverse mix of tenants accounted for the top 100 leases compared with 2023. The share by traditional retailers/wholesalers rose to 38 from 30, while that of third-party logistics (3PL) operators declined by one to 28. The food & beverage, auto and building materials sectors all had a smaller share of the top 100 compared with 2023.

Figure 1: Industry Share of Top 100 Industrial Leases in 2024

Figure 1 bar chart

Source CBRE Research, 2024.

Three markets—Dallas-Ft. Worth, Inland Empire and the PA I-78/81 Corridor—accounted for nearly 40% of the top 100 leases. Occupiers focused their expansion or retention of facilities in these key logistics hubs, reducing their activity in emerging markets compared with the previous year.

Demand for mega distribution centers is expected to stabilize in 2025 as occupiers re-evaluate their inventory needs five years after the pandemic. Robust construction will provide ample opportunity for companies to move out of older, smaller facilities and consolidate their operations into new, larger Class A buildings. As a result, first-generation facilities are expected to make up a greater share of the top 100 industrial leases in 2025.

Figure 2: Leading Markets for Top 100 Lease Transactions in 2024

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Source CBRE Research, 2024.

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