Class A warehouse availability in Pittsburgh is severely limited, with only two listings over 100,000 square feet, constraining tenant demand for modern warehouse space. While overall industrial availability is around 11.9%, most of it is older space that does not meet the needs of current operations. The lack of suitable supply will likely keep landlord conditions favorable over the next year as new developments are still some time away from coming online to address pent-up demand.

1. Lack of Class A warehouse availability is
constraining demand
Pittsburgh
• Industrial availability in Pittsburgh was 11.9 percent at the end of the second quarter, relatively
unchanged through the first six months of the year as expansions offset downsizings. Most of this
availability is older generation space though and is not compatible with modern warehouse operations.
Class A warehouse availability is severely limited and has been for several quarters. Across the region
there are only two Class A listings greater than 100,000 square feet. Tenant demand is pent-up and
added supply is still some time off, ensuring landlord-favorable conditions over the next year.
Source: JLL Research
Chart of the week: August 10, 2015
10%
12%
14%
16%
$4.00
$4.50
$5.00
$5.50
2011 2012 2013 2014 YTD
2015
Asking rents Total availability
Pittsburgh industrial fundamentals