2019 is shaping up to be another great year in the commercial real estate market.
According to the Urban Land Institute’s Emerging Trends in Real Estate 2019 report, the top two prospects for growth in the commercial/multifamily subsectors are ‘fulfillment’ and ‘warehouse’. Among the factors fueling this demand is the rise of e-commerce and the space it requires as well as the construction boom. The industrial market in Atlanta is no exception as it is a national distribution hub and nearby the growing of the Port of Savannah. Strong demand is evidenced by the consistent decline in months to lease. We expect the industrial market to remain strong in 2019 as large tenants search for conveniently located modern warehouses and smaller industrial assets inside the perimeter become more valuable for their prized last-mile connectivity. Epic Partners is currently targeting land for a fulfillment center in the I-85 Northeast Submarket of Atlanta.
Another trend we have been seeing is the compression of the modern-day office. There has been an increased demand for smaller suites now that less space is required per employee compared to previous years. Cushman & Wakefield reported that across the US, space per employee has decreased 8.3% since 2009.
The degree of densification is directly related to the overall increase of rental rates in Atlanta. In this increasingly digital world, more work can be achieved with less physical space helping companies combat the rising urban rental rates. EpiCity has helped clients at Armour Junction get the most from their in town loft office space.