Spokane is a city in eastern Washington State that boasts a distinctive economy and demographics that are suitable for business operations.
However, industrial space vacancy has become tight here over the years, which makes it difficult for companies to expand into Lilac City.
A little background
Historically, the vacancy rate for industrial properties in Spokane has always remained low, but now, it’s well below five percent, which means that businesses have a very limited pool of commercial real estate (CRE) properties to pick from.
In addition to inflation, numerous other reasons are contributing to this shortage of commercial space.
The major driving factors behind the lack of industrial space in Spokane are rising costs of building materials and labor shortage, which are both halting new constructions. Moreover, a good portion of space has been taken up by emerging marijuana businesses, as Spokane is a great place to invest for companies operating in this specific industry.
The lack of industrial space in the Spokane area has opened the door for commercial real estate investors to earn lucrative returns. If we glance at Spokane employment by industry, construction & manufacturing and wholesale & retail are among the leading sectors in the city.
To be more precise, Spokane has a diversified economy comprising advanced manufacturing, agriculture, aerospace, logistics & distribution, along with finance, insurance, life sciences, and health service industries.
Moreover, the area has a diverse range of commercial properties and amenities for expanding businesses. Hence, commercial real estate investors can enjoy solid returns by investing in industrial spaces in Spokane.
The forecast suggests that the market value of CRE in Spokane will rise at a steady pace over the years, which means that investors are likely to benefit from capital appreciation, aside from the income potential that comes from leasing industrial spaces.
Now is perhaps the best time to invest in industrial properties in the Spokane area. You may also consider other options like multi-family homes, as their prices also continue to climb at a steady pace.
Just make sure you have access to the right type of financing so you’re able to capitalize on opportunities and make the most out of your investments.
About Global Capital Partners Fund
Global Capital Partners Fund is a leading private lending firm that helps investors in Spokane, WA finance their commercial investments by providing hard money loans.
The quick processing times and flexible terms allow commercial real estate investors to take advantage of excellent real estate opportunities in a competitive market.