MADISON COUNTY: SUBMARKET UPDATE
Written by: Hannah Williams, CPRC
Hannah specializes in research capabilities, providing support for the Colliers Columbus Office, Industrial, Retail, and Multifamily Groups. She is responsible for executing data reports, maintaining a commercial property database, reporting quarterly trends, performing data analysis and utilizing statistical information to predict future behavior in the market. She also assists the marketing and research director on special projects and corporate initiatives. Keep reading to get Hannah’s take on what’s happening in the Madison submarket.
The Madison industrial market had a strong first quarter, recording 1,677,290 square feet of net absorption. This was the highest absorption of any submarket in the first quarter and caused vacancy in Madison to drop from 11.7 percent to 7.29 percent. Core5’s 1.1 million-square-foot warehouse at 70 Enterprise Pkwy was the only completion of the quarter and is currently available for lease. One project remains under construction in the submarket – a 517,220-square-foot build-to-suit warehouse being developed by Duke. Overall asking rates in the Madison submarket are some of the highest in the region, currently around $4.50 NNN per square foot due to the Class A availability currently on the market. Madison continues to be a hot spot for development as it is home to fast-growing industrial hub, West Jefferson.
Tenants in the Market
Colliers | Columbus reports that 25 industrial tenants accounting for over 1.8 million square feet are looking for space in the West submarket, which includes Madison – 15 of which require 20,000 square feet or more. Additionally, 50 tenants accounting for over 3.55 million square feet are looking for space in multiple markets including the Madison submarket. This number is expected to grow as more tenants, investors and developers gain interest in the Columbus region and Madison county.