Our latest quarterly report on Southeastern Wisconsin’s commercial real estate market offers a deep dive into evolving trends, especially within the industrial sector. This report provides essential market data and insights, giving clients the tools they need to tackle current challenges and capitalize on emerging opportunities in this ever-changing landscape.
The Industrial market in South East Wisconsin is continuing the trend of strong performance. The vacancy rate of 5.5% can be misleading. A few select markets such as Racine and Kenosha are experiencing higher vacancy due to older building stock and a high concentration of new construction. Vacancy rates in the counties surrounding Milwaukee remains stubbornly low with rates under 1% in some of the areas. This has lead to a surprising increase in new construction during Q3. There are currently 25 tracked projects under construction in the market. A few of these projects remain as speculative projects which will be a welcome addition for companies looking for space. The average lease rate remains essentially unchanged this quarter. The average lease rate has increased by over 6% compared to Q3 2023.
