In recent years, industrial demand in the Puget Sound region of Washington State has been insatiable. Driven by our two major ports, Washington is the most trade dependent state in the country. Major companies are REQUIRED to do business here and consequently need high-quality distribution warehouse space to support their operations. Barring periodic market shifts (i.e. COVID-19), the fundamentals of the Puget Sound industrial market are as strong as ever.
Pierce County has seen the most significant growth of industrial development in recent years, far outpacing every other county in the state. There are a few primary contributors to this continuing trend:
- Availability and pricing of developable land
- Migration of residents from northern counties to Pierce County
- Growing population and workforce
Companies who are long time operators in King County are quickly learning that most of their employees live south of their current operational facilities. Despite our rapid growth in recent years, Pierce County still offers more affordable land values, rental rates, and overall cost of living. Most importantly, the Pierce County industrial market has grown organically out of necessity as we are the final frontier of available developable property in the greater Puget Sound region.
POST-COVID INDUSTRIAL BOOM?
It’s impossible to say today what the lingering effects of COVID-19 will be. One safe assumption: e-commerce sales are well positioned to grow significantly.