New York City Industrial Market Report
E-Commerce Leasing Provides Some Stability as Market Recovers During a Lull in Construction
Amazon bolsters leasing market during time of disruption. Amid broader uncertainty that curbed space demand for some tenants, Amazon continues to be the dominant industrial lessee in New York. The company has moved into 1.2 million square feet since January 2020, with another 1.3 million square feet in future commitments. Regional and non-distribution businesses have faced challenges, though. As such, more space was vacated than occupied last year. Net absorption improved in early 2021, however, as climbing import volumes into the Port of New York and New Jersey aid demand for storage and distribution facilities. A broader economic improvement will also foster new small-business space needs down the line.