Figures
Houston Industrial Figures - Q4 2024
January 2, 2025 5 Minute Read
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- Houston closed out Q4 with 4.8 million sq. ft. of positive net absorption, contributing to a year-end total of 21 million sq. ft of net new occupancy. With this strong tenant demand, vacancy dropped to 5.6% and is now in line with historical averages.
- For the year, absorption outpaced deliveries by 5 million sq. ft, which helped drive vacancy down. This reversed, by a significant margin, the trend seen in 2020 and 2023.
- The construction pipeline remains constrained, with 11.3 million sq. ft. underway and 2.4 million sq. ft. delivered, 70% of which is preleased. Economic uncertainty, land prices, and capital costs have tempered activity as only 1.5 million sq. ft. broker ground this quarter.
- The Port of Houston is set to close 2024 as one of its strongest years yet, handling 3,799,573 twenty-foot equivalent (TEUs) through November, a 9% increase year-over-year. November’s performance stood out with a volume of 369,261 TEUs, reflecting a remarkable 24% year-over-year growth.