High-tech warehouses high on shopping lists
Category Industrial
High-tech warehouses high on shopping lists
2018| ALISTAIR ANDERSON
High-tech warehouses and distribution centres are fast becoming the most sought-after property assets in SA, with listed counters and private groups positioning themselves to benefit from future growth in online shopping and companies establishing supply chains.
Industrial vacancy rates have dropped sharply across SA, largely thanks to the logistics sector supporting rental growth on lease renewals. It indicates growing demand for well-located high-spec warehousing and distribution centres.
The latest industrial vacancy report of the South African Property Owners' Association (Sapoa) shows that as at the end of December the overall national vacancy rate was 3.3%, down from 5.3% at the end of December 2016.
Sapoa data show that high-tech industrial vacancies were as low as 1.1% at the end of December 2017, up slightly from 0.7% at the end of December 2016. Vacancies at warehouses were 4% on average at the end of December 2017 compared to 5.3% at end-December 2016.
The national office vacancy rate as recorded by Sapoa was 11.5% at the end of March.
Abridged, original article
Author: ALISTAIR ANDERSON
