New York Industrial Market Report

Elevated development activity to continue in the near term. The industrial construction boom is still underway in New York. Supply additions in 2022 are expected to increase inventory by more than 1.0 percent for the third time in the last five years. During the two decades prior, the rate of expansion never exceeded 0.6 percent. Developers are focusing on larger distribution centers, with the majority of the space set to be delivered this year stemming from a single Bronx-based project. Furthermore, the active pipeline as of June approaches 5.8 million square feet, indicating the pace of construction will dramatically accelerate in the near term.