IRR-Seattle Mid-Year Viewpoint 2015 Local Market Report - Industrial
As it has for the past several years, the industrial market in the Seattle/Puget Sound region remains one of the strongest — and most consistent — performers among the various segments of the commercial real estate market.
The ports of Seattle and Tacoma are major drivers for warehouse space demand, and in 2015 they began steps in forming an alliance to compete for a larger share of the marine cargo business. Commissioners for both ports are convinced that unified management/operation of the combined ports’ marine cargo terminals will grow jobs and attract more cargo to the region — especially as the state is under increased pressure from the growing Prince Rupert port in British Columbia and the anticipated opening of a wider Panama Canal. Together, the two ports combined are the third-largest port for container shipments in North America, and represent 48,000 jobs. However, the 2015 West Coast labor dispute that caused four months of vessel and container backlogs has resulted in declining usage and a shift in growth prospects to Canadian and East Coast ports.