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Supply Chain Graphic of Week: US Warehouse Vacancies at Record Lows


Amid Rising Inventories, Warehouse Space tough to Find


Aug. 4,  2022



Lots of inventory - and no place to  put it.


That sums up the situatiodn right now, as many companies have loaded up on inventory to protect against shipping delays and supply disruptions, while US warehouse construction can't keep up.


As shown in the graphic below this week from the Wall Street Journal, based on CBRE data, vacancies at US industrial properties (mostly warehouses), vacancies are at record low levels of around 3% on average nationally:




Source: Wall Street Journal


Developers completed 78.6 million square feet of new industrial space in the second quarter, down 6.9% from the previous quarter because of materials shortages, according to CBRE. A record 626.6 million square feet is under construction - but it may not be enough.


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