Flexe Institute Market Watch: July Supply Chain and Macroeconomic Data

June 27, 2023

Get the latest in supply chain and macroeconomic data impacting shippers.

Market Watch Collage Jan 23

The latest in warehousing key metrics provides a high-level look at the industry.

Key Takeaways

  • 3.7% unemployment rate
  • 8.4% cost of capital rate
  • 4.6% vacancy rate
  • $11.55 annual market rent per square foot
Macroeconomic indicators june 2023

Increasing cost of capital and federal funds rate drive business costs. The increasing unemployment rate and declining consumer sentiment suggest a possible recession.

Supply chain changes yoy

Ocean-to-road spot rates decreased. Parcel rates increased. The PMI shows decreased manufacturing activity, another recessionary indicator.

Warehousing june 2023

Industrial Real Estate Vacancy Rate #

Lease rates are increasing, so the market is not ideal for long-term, fixed CapEx initiatives.

Industrial Real Estate Vacancy and Market Rent Rates

Industrial Real Estate Net Absorption #

Texas, Illinois and Pennsylvania warehousing demand and rates increased, driving secondary market popularity.

Industrial Real Estate Net Absorption

Industrial Real Estate Construction Pipeline #

Q1 marked the end of seven growth quarters in the national construction pipeline. Past construction and increasing vacancy will decrease future lease rates.

Industrial Real Estate Construction Pipeline

Sources: #

Macroeconomic indicators section

New York University, Damodaran Online

Bureau of Labor Statistics Database

Federal Reserve Economic Data Database

University of Michigan Survey of Consumers

Supply chain YoY Section

Investing.com

Statista

Port Authority NY/NJ

Port of Long Beach

Port of Los Angeles

DAT Freight & Analytics

Warehousing industry section

CoStar Database

Bureau of Labor Statistics Database

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