Boston Industrial Figures Q1 2023

Being a key indicator of market health, leasing activity this quarter demonstrated the resilience of Greater Boston industrial assets to start 2023. Although not at the record pace of 2021 and the early half of 2022, the Greater Boston industrial market continued to benefit from quarterly leasing activity of more than 2.94 million sq. ft. In comparison to the latter half of 2022, total recorded leasing volume improved mostly due to heightened tenant demand and continued supply constraints. Total leasing transactions increased by approximately 28% quarter-over-quarter (q-o-q), in comparison to the 2.27 million sq. ft. of transactions accounted for in the fourth quarter of 2022. Continued strong market fundamentals created a healthy environment for industrial leasing, with only slight hints toward a potential softening of the overall Greater Boston market further into 2023 due to big block spaces now delivering to the market vacant (over 300,000 rentable sq. ft.).