Jacksonville Industrial Investment Forecast
Advantageous Position and a Growing Populace Spearhead Industrial Demand in Jacksonville
Regional in-migration drives leasing. Jacksonville's geographical location provides relatively quick access to most of Florida and a significant portion of the Eastern Seaboard via same-day round trips. Furthermore in-migration to Florida has surged since the onset of the pandemic and the trend is expected to continue with the state's population projected to rise by an average of 300000 residents in each of the next five years. In conjunction with this population expansion industrial demand in Jacksonville is skyrocketing with tenants absorbing nearly 3 million square feet in 2021. Although the rise in development this year is expected to place upward pressure on vacancy in the short run several factors indicate the recent demand surge can be sustained long term. The metro offers lower rental rates relative to other major markets within the state. Additionally the Port of Jacksonville is undergoing dredging efforts to make it the deepest port on the East Coast. The project will conclude this summer and is likely to lure additional tenants to the area.