Dallas, TX

Bigger and Bolder: Large Warehouse Leases Fueled U.S. Industrial & Logistics Market in H1 2022

Atlanta led with 12 of the largest 100 leases in the year’s first half, followed by Chicago (11) and Indianapolis (9)

August 15, 2022

Large warehouse with someone working a forklift

Megawarehouses are in style – in a big way, according to a new report from CBRE. Warehouse users signed leases for 37 facilities of 1 million sq. ft. or larger in the U.S. in the first half of this year, up from 24 in the first half of 2021.

This was a key finding in CBRE’s analysis of the 100 largest industrial & logistics leases cinched in this year’s first half. Overall, the average size of the 100 largest leases edged close to seven digits  931,860 sq. ft., up from 800,149 a year ago.

The activity points to expansion in the industry, particularly for traditional retailers and wholesalers. Eighty-five of the top 100 leases are new leases rather than renewals. Traditional retailers and wholesalers accounted for the largest share – 40 leases. Runner up: Third-party logistics firms at 30 leases.

“The industrial & logistics market preformed solidly in the first half of the year despite headwinds challenging the broader economy,” said John Morris, CBRE’s President of Industrial & Logistics in the Americas. “We have seen a falloff in leasing by smaller users – those in 25,000 sq. ft. of less – likely due to the economic environment. But the largest users are forging ahead, picking up most of the slack.”

The markets in which the largest 100 leases occurred are a mix of industrial & logistics mainstays like Atlanta, Chicago and California’s Inland Empire, and a few that don’t always see a very large volume of activity, such as Indianapolis, Savannah, Ga., and California’s Central Valley.

Leading Markets for Top 100 Industrial Leases in H1 2022

To read the full report, click here.

About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.