Riverside-San Bernardino Industrial Investment Forecast
Extraordinary Demand Amid Unrelenting Stock Expansion Piques the Interest of More Outside Investors
Hub market enters 2022 on strong footing following record year for absorption. One of the nation's largest industrial metros by inventory Riverside-San Bernardino is an epicenter for 100000- to 200000-square-foot-plus lease executions. Recently ardent demand from logistics firms suppliers and e-commerce companies for sizable spaces at regionally lower rents translated to the absorption of 29 million square feet last year slashing vacancy below 2 percent. Mid and large-scale commitments have been most frequent near Ontario International Airport and in Riverside County along Interstate 215 activity that has intensified development in these areas. During 2022 developers are expected to finalize a total of 25 million square feet throughout the Inland Empire roughly 60 percent of which was unaccounted for at the onset of the year. This wave of speculative space will outpace near-term demand; however the metro still registers one of the largest annual absorption tallies nationally with vacancy ending the year at a scarce 2 percent.