Q1 2022 Airport I-85 South Industrial Submarket Report

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ATLANTA INDUSTRIAL REPORT

Airport/I-85 South Industrial Submarket

Q1 2022

Record-Breaking Absorption and Vacancy Rate in Q4 for Airport/I-85 South

ABSORPTION, DELIVERIES AND VACANCY RATE 9.0%

14,000,000

8.0%

12,000,000

Atlanta’s second-largest industrial submarket saw positive absorption of 1,502,964 square feet in Q1 of 2022, bringing the submarket’s running 12-month total to nearly 10 million square feet. Airport/I-85 South is still a development hub, with 6 buildings totaling 3,619,515 square feet delivering in Q1, and over 12.1 million square feet of product delivering since the start of 2021. Most of these Q1 deliveries were spec product, thus raising the submarket’s vacancy rate, even in the face of positive absorption. The submarket is not scarce for activity though, with over 3 million square feet of leases signed in Q1. More new product is on the way as well, with over 8.1 million square feet currently under construction.

7.0% 10,000,000 6.0% 8,000,000

5.0%

6,000,000

4.0% 3.0%

4,000,000 2.0% 2,000,000

1.0%

0

2017

2018

2019

Absorption

2020

Deliveries

2021

0.0%

2022 YTD

Source: CoStar

Vacancy Rate

Inventory SF

Vac Rate Q1 ‘22

Vac Rate Q4 ‘21

Net Absorp Q1 ‘22

Net Absorp Last 12 Mos

Deliveries Last 12 Mos

SF Under Construction

Avg Rent (NNN)

<250,000 SF

54,350,914

5.0%

4.1%

(258,606)

1,610,156

1,320,980

1,731,583

$5.45

“BIG BOX” >250,000 SF

88,196,740

5.1%

3.4%

1,761,570

8,339,866

7,186,738

6,458,444

$3.87

142,547,654

5.1%

3.7%

1,502,964

9,950,022

8,507,718

8,190,027

$4.42

AIRPORT/I-85 S IND

Total

AIRPORT/I-85 SOUTH INDUSTRIAL RECENT LEASES Tenant

Property

Owner/Developer

Sign Date

Owens Corning

8095 McLarin Rd

Clarion Partners

Mar 2022

1,044,288

Renewal

DG Distribution

1057 Coweta Industrial Pky

Crow Holdings

Apr 2022

1,001,000

New Lease

200 Metcalf Rd

TA Realty

Apr 2022

909,509

New Lease

Spreetail

SF

Lease Type

AIRPORT/I-85 SOUTH INDUSTRIAL RECENT INVESTMENT SALES Property

Price

SF

$/SF

Date

Buyer

Prologis Orchard Hills Bldg 200

$135,000,000

1,514,040

$89.17

1/13/2022

Stonemont Financial Group

280 Bridgeport Blvd - Bldg A

$58,500,000

562,650

$103.79

2/25/2022

Eaton Vance Real Estate

3435 Jonesboro Rd SE

$30,400,000

201,989

$150.50

3/4/2022

Fundrise

Lincoln Property Company Atlanta tracks industrial buildings that are 25,000 sf or greater.

Lincoln Southeast Industrial Available Listings

Forsyth 400 Commerce Center Forsyth 400 Commerce Center Bldg 100 Bldg 200 2705-2715 Ronald Reagan Blvd, 2705-2715 Ronald Reagan Blvd, Cumming, GA Cumming, GA

Airport West 500

Joe Frank Harris Pkwy SE

Conyers Logistics Center

3625 Naturally Fresh Blvd, Atlanta, GA

Joe Frank Harris Pkwy SE, Emerson, GA

2107 Eastview Pky, Conyers GA

141,986 SF

110,197 SF

218,370 SF

306,376 SF

201,600 SF

Delivering Q3 2022

Delivering Q3 2022

Delivering Q3 2022

Delivering Q2 2023

Existing

Need More Market Intel?

Spencer Papciak Research Manager 678.498.7676 spapciak@lpc.com

Turner Fortin Leasing Associate 404.863.9931 tfortin@lpc.com

Lincoln Property Company Southeast 3405 Piedmont Road, Suite 450 Atlanta, GA 30305 404 266 7600

The information contained herein has been obtained from the owner of the property or from a source deemed reliable. While Lincoln Property Company has no reason to doubt its accuracy, we do not guarantee it.

lpcsoutheast.com


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