Spec Off Deck: Omens Forewarn The End Of Industrial Domination The pace of industrial growth in the U.S. has soared over the last 18 months, but a community of bone-tired developers may soon get a breather as banks scale back lending and early indicators of a drop-off in demand begin to materialize. There were a record 717M SF of industrial projects under construction in the U.S. in the third quarter, and robust tenant demand has thus far kept vacancy rates in the low single digits, according to data from Cushman & Wakefield. Inventory remains tight, eradicating any near-term fears of overbuilding, per the report. But mounting hesitancy to underwrite new projects, especially among large institutional banks, has made it much harder to get a construction loan, signaling a meaningful decline in supply added to the pipeline over the next few months. 
“When you shut down lending, particularly in commercial real estate, it’s going to affect the economy,” Hillwood Investment Properties President Tal Hicks said. “And that’s what we are feeling right now.”Hicks, along with Link Logistics Real Estate Vice President of Development…  Read the full story here. | 
