Raleigh-Durham Industrial News

The Raleigh-Durham industrial market is currently posting some of the nation’s strongest fundamentals. In fact, this research-focused part of the state is growing faster than some major U.S. cities. As of the third financial quarter of 2019, just 1.7 percent of the industrial space in Raleigh is empty—a far lower rate than the five percent national average.

The Urban Land Institute ranked the Triangle No. 2 on its list of U.S. markets to watch for overall real estate prospects in 2020, and it’s easy to see why: steadily increasing asset values are drawing strong investor interest to the Triangle market. In fact, during the third financial quarter of 2019, industrial sales in the Triangle soared to $578 million.

Approximately one million square feet of space was delivered within the past 12 months, nearly all of which has been spoken for. Overall vacancy rates fell to just over four percent, while warehouse and distribution space vacancy rates dropped to a record low of 3.2 percent. Increasing demand for space from tenants has led to several new speculative projects throughout the Triangle region.

Industrial Market Highlights

Eastgate 540: A Charlotte-based development and investment firm recently broke ground on what will eventually become a 280,000-square-foot industrial building located within Eastgate 540. This 30-acre industrial park in a suburb just west of Raleigh was sold for $14.3 million in May 2019. All in all, a total of one million square feet of industrial space is slated for development at Eastgate 540.

Greenfield North 1201: A national developer has begun construction on a 165,291-square-foot speculative industrial warehouse in Garner, a suburb of Raleigh. Dubbed Greenfield North 1201, the property will make for a welcome addition to Greenfield North Business Park (currently 100 percent leased). Construction is scheduled to finish in July 2020.

Garner Business Park 70: Construction has begun on Garner Business Park 70, a four-building 625,000-square-foot industrial park off U.S. 70. A Cincinnati-based real estate firm plans to open the first of four buildings on the 50-acre industrial park campus in mid-2020. The property’s access to a major thoroughfare and proximity to the state capitol make it a prime location for warehouses, distribution centers and other industrial uses.

Interested in investing in North Carolina commercial real estate? Ground + Space is a leading commercial real estate brokerage firm based in North Carolina that specializes in single-tenant and retail NNN investmentsContact us today to find out more about our current listings or sign up for our mailing list to stay in-the-know on all that North Carolina has to offer.

Triangle News: October 2019

The constant influx of new and expanding businesses in the Triangle has led to an increase in the number of jobs now available in the area. This, in turn, has spurred the development of Class A office, retail and restaurant space to meet the needs of a rising workforce population, not to mention an influx of new single- and multi-family housing communities.


East Raleigh’s Continued Development: The city of Raleigh recently received a rezoning request that would allow for the development of a multi-story apartment community east of Interstate 440. The plans proposed call for a 204-unit multi-family complex with buildings up to four stories. This development would help add residential development to a part of the city scheduled for continued economic development. If this rezoning request is approved, the apartment community will join a long list of other single- and multi-family developments in the Triangle, all of which are set to meet the large demand for housing as the area’s population continues to soar.

Glenwood Avenue Project Begins Taking Shape: A Raleigh-based developer has begun construction on 3800 Glenwood, a five-story building with a mix of office and restaurant space set to open in 2020 just south of Interstate 440. This 118,000-square-foot building will feature 109,000 square feet of Class A office space and an additional 9,000 square feet of ground-floor restaurant space. Other features of the property include structured parking with a covered walkway for pedestrians, rooftop amenity space, artwork by North Carolina artisans and much more. 3800 Glenwood is part of the larger Glenwood Place master development plan, which spans a total of 40 acres.

Hilton-brand Hotel Coming to PNC Arena: Local sports fans will have a new place to stay overnight near the PNC Arena thanks to a new Hilton Garden Inn planned for a site across from the home of the Carolina Hurricanes and the N.C. State basketball teams. Current plans call for a 135,00-square-foot, seven-story hotel complete with 194 parking spaces, a conference center, a rooftop restaurant and bar, a grand ballroom and multiple meeting rooms. The Hilton Garden Inn Wade Park is just one of many new hotel projects scheduled for the Triangle area, outpacing development in the rest of the country. Although hospitality industry growth is beginning to slow across the nation, local occupancy rates continue to rise with increased demand.

Triangle Town Center Area’s Newest Addition: The Pointe at Town Center is one of the many new multi-family developments in the works in and around Raleigh. This 636,000-square-foot apartment community will include a mix of 484 senior living and affordable family apartment options. Plans include a mix of one-, two- and three-bedroom apartments spread across a total of 11 buildings. The undeveloped site sits just south of Triangle Town Center, which features tenants like Barnes & Noble, Macy’s, Dillard’s, H&M and North Carolina’s only Saks Fifth Avenue. This apartment community will help aid the demand for affordable housing options in the Triangle market.

Warehouse District Turned Retail and Dining Hub: Two Raleigh-based real estate firms have joined forces on another mixed-use revitalization project in the city’s Warehouse District. The project—known as the West Cabarrus Warehouses—calls for the renovation of two industrial buildings that will transform the area into a retail and dining hub, complete with the largest outdoor seating and live entertainment courtyard in the downtown area. Developers hope the project will add to and benefit from the constant activity around the Warehouse District.

West Raleigh’s Newest Apartment Community Breaks Ground: Construction has begun on West Raleigh’s newest apartment community, Clairmont at Trinity. A Virginia-based developer has plans to build a 153-unit complex on a 7.8-acre parcel near the Interstate 40 and 440 interchange along Trinity Road. The upscale community will feature a mix of studio, one- and two-bedroom apartments and is scheduled to open in summer 2020. Apartments will boast a wide variety of amenities like garden tubs, private patios and balconies, walk-in closets and complimentary washer/dryer units. The community will also feature outdoor seating areas, a dog park, a resort-style pool, a parking garage, bike storage and much more.


TopGolf Eyes Plans for Expansion in Bull City: A 46.3-acre parcel in Durham is slated to be the future home of a TopGolf-anchored mixed-use development. A South Carolina-based developer plans to build the TopGolf facility—which could cost upwards of $15 million—along with several other complimentary commercial spaces. Current proposals for the mixed-use center show plans for a 40,000-square-foot fitness facility, two hotels, 150,000 square feet of office space, a restaurant, a Sheetz gas station and an iFly Indoor Skydiving facility. (Sheetz and iFly Indoor Skydiving are currently under contract.)

Chapel Hill

New Development Proposed Near Bustling Mixed-Use Hub: A new mixed-use development has been proposed for Chapel Hill, long known as a high barrier-to-entry market. The town’s tax base is primarily residential, making this an ideal opportunity for Chapel Hill to attract more office and commercial development. Initial concept plans for Bella Vista at Meadowmont Village Center feature a 150,000-square-foot building featuring mostly office space, plus room for ground-floor restaurant and retail space. The proposed site is across from the UNC Finley Golf Course and is currently occupied by a parking lot.

Interested in investing in North Carolina commercial real estate? Ground + Space is a leading commercial real estate brokerage firm based in North Carolina that specializes in single-tenant and retail NNN investmentsContact us today to find out more about our current listings or sign up for our mailing list to stay in-the-know on all that North Carolina has to offer.