Page 5 - Las Vegas LVQR Market Research Report Q1 2024

Industrial
Las Vegas 24Q1 Key Takeaways
Net absorption was 1.95 million sf in 24q1
Vacancy increased to 4.8%
Asking rates decreased to $1.12 PSF NNN

YOY YOY Under YOY Overall Asking YOY
Vacancy Rate Net Absorption Construction Lease Rates (NNN)
4.8% FORECAST 1.95M SF FORECAST 11M SF FORECAST $1.12/ SF FORECAST

Inventory Expansion Brings Higher Vacancy

Southern Nevada’s industrial market added 5.74 million square feet to inventory in the first quarter of 2024. Net absorption was
1.95 million square feet this quarter, down from one quarter ago and from one year ago. Industrial vacancy increased to 4.8%.
The weighted average asking rental rate decreased to $1.12 per square foot (psf) on a triple net (NNN) basis.

Market Indicators Market Graph

6.74% 2.85% 4.192% 7,000,000 6.0%
Unemployment GDP - Quarterly % U.S. 10 Year
Rate change yr/yr Treasury Note 6,000,000 5.0%

Historic Comparison 5,000,000 4.0%
23Q1 23Q4 24Q1 4,000,000 3.0%
3,000,000
Total Inventory 2.0%
(in Millions of SF) 155.7 163.7 169.5 2,000,000
New Supply 1.91 3.54 5.74 1,000,000 1.0%
(in Millions of SF)
0 0.0%
Net Absorption 1.96 2.26 1.95 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
(in Millions of SF)
2021 2022 2023 2024

Total Vacancy 1.5% 2.9% 4.8% Absorption New Supply Total Vacancy

Under Construction 6.64 17.50 10.87 New completions in the first quarter of 2024 brought with them
(in Millions of SF) an increase in vacancy to 4.8%

Overall Asking Lease
Rates (NNN) $1.21 $1.28 $1.12

Recent Transactions

Lease Lease Lease Lease Lease Lease
Colliers | Salt Lake County| 21Q1 | Office Report
4490 Nexus 2821 N Marion 2970 N Lamb 4123 W Patrick 3585 E Patrick 5475 S Wynn
87,007 SF 67,584 SF 67,584 SF 41,925 SF 39,188 SF 35,217 SF