Industrial Real Estate and the Eastern PA Market Region
Thanks to a combination of low vacancy rates, increased barriers to entry, demand by occupiers and the institutional capital community’s ever-increasing appetite for industrial product, Eastern Pennsylvania’s Industrial markets continue to thrive. Although the specific submarkets have unique nuances associated with local economic drivers, highway networks, taxation, labor base, and other issues, the overall demand by tenants and capital community alike is driven by elementary economic rules of supply and demand met by supply chain demand drivers. As the worldwide population each year buys a greater percentage of its goods online, this geography offers a unique ability to reach almost half of the U.S. population within a one-day truck drive, and a one-day or two-day delivery service from the two major parcel delivery providers: UPS and FedEx.Four SubmarketsTechnically, this thriving Eastern Pennsylvania market is comprised of four distinct submarkets: the Lehigh Valley, Northeastern, Central and Southeastern Pennsylvania. Their areas may be broken down as follows: the Lehigh Valley is the general vicinity of Easton through Bethlehem and Allentown and along I-78 past Hamburg.