NORTHEAST OHIO INDUSTRIAL REAL ESTATE MARKET STRONG

7/7/2008 1

Team Northeast Ohio (Team NEO) released its latest quarterly Northeast Ohio Economic Review today with a focus on the region’s industrial real estate market. Findings include a strong demand for industrial real estate in contrast to the housing market, with total amount of occupied space for industrial square feet larger than any time since 2000 and vacancy rate at second lowest point in the last five years.

Click here to download the report

The report indicates:

  • The industrial real estate market is strong, and demand is growing in Northeast Ohio.
  • The Cleveland Plus region is the 6th largest industrial market in N. America.
  • Northeast Ohio has a total amount of occupied space for industrial square feet larger than any time since 2000.
  • The region is using more than 11 million more industrial square feet than we used in early 2004.
  • Northeast Ohio’s vacancy rate is similar to the U.S.
  • Vacancy rate for the Cleveland Plus region is at 8.4%, the second lowest point in the last five years.
  • Demand for manufacturing space remains strong.
  • Vacancy rates for manufacturing space are the lowest they have been since 2003.

In addition, every issue of Team NEO’s quarterly Northeast Ohio Economic Review provides updates of basic economic indicators for the 16-county economy including: current estimates of the region’s annual growth rate, as defined by Gross Regional Product (GRP), and up-to-date information regarding Northeast Ohio’s total employment and unemployment rate.  This quarterly report indicates the following:

  • Northeast Ohio’s economy expected to continue with modest growth in 2008.
  • Seventh consecutive year of growth expected.
  • Cleveland Plus region has grown in 14 of the last 15 years.
  • Northeast Ohio’s employment numbers reflect typical decrease from Q4 to Q1
  • Region experiencing typical seasonal pattern in employment with highest in Q3 and lowest in Q1.
  • Q1 2008 total employment lower than Q1 2007, but on par with Q1 2006
  • Northeast Ohio unemployment rate reflects seasonality impact.
  • Rate is just under 6.5%.
  • Rate change mirrors Ohio and national changes.

Team NEO publishes the Northeast Ohio Economic Review on a quarterly to provide a holistic picture of Northeast Ohio’s economy.  It is the only regular source of collective economic data for the 16-county region.  The next two installments will review the overall climate of commercial real estate.  While this issue reports the state of industrial real estate, the next edition, to be released in September 2008, will focus on office space for the region.

Check out our library of Northeast Ohio Economic Reviews

Team NEO unites the region to accelerate economic growth by serving as the central point for business attraction. The organization is a non-profit joint venture of the region’s largest metro chambers, privately funded to market to the 16 county-area and assist companies in expanding to Northeast Ohio.  In 2007, Team NEO attracted 95 new qualified investment leads, closed $46 million in new annual payroll and created a nearly $100 million regional economic impact. 

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