Following a period of rapid industrial development, the Philadelphia region is now seeing a much-needed slowdown in construction activity. This easing has allowed demand to begin catching up with the influx of supply, helping to reduce vacancy rates across the metro area.
Since 2020, developers have delivered over 57 million square feet of industrial space in Greater Philadelphia—ranking among the largest expansions in the country. Southern New Jersey’s Burlington, Camden, Gloucester, and Salem counties contributed to more than half of that growth.
This surge pushed the region’s industrial availability rate from just 6.2% in 2022 to a high of 10.6% by mid-2024, creating challenges for landlords as increased competition and slower leasing made it tougher to fill space.
Now, conditions are beginning to stabilize. As of June, the availability rate dipped slightly to 10.2%, signaling that tenant demand is beginning to align more closely with the current pace of development.
Wolf Commercial Real Estate (WCRE), is a leading New Jersey, Pennsylvania, and New York commercial real estate brokerage, advisory and property management firm that specializes in healthcare, office, retail, land, industrial, and investment properties. For more information about New York health care, industrial, retail, office, land or other commercial properties, please call 856-857-6300 or send an email to info@wolfcre.com.
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