REDNews Features CenterPoint’s SVP of Investments Rives Nolen
Posted By Staff Writers On January 5, 2022 @ 1:22 pm
Read what Rives had to say about the state of the Houston industrial real estate market, where he sees it heading in the new year and more in the feature article, “‘It’s everywhere’: Demand for Houston industrial space on the rise.”
To say that 2021 was a busy year for the team at CenterPoint Properties is an understatement.
“The market is stronger on the demand side than I’ve seen in my 20-year career,” says Rives Nolen, CenterPoint’s Senior Vice President of Investments. After several years of lagging new supply, Nolen shares that the demand for industrial space in Houston is outpacing new construction this year.
“Our vacancy rates are still not quite on par with the rest of the country, but I think with the demand that we’re seeing right now, things are moving in the right direction,” he says.
Heading into 2022, he anticipates the market will continue in that direction, lowering vacancy rates and inflating rents.
“In terms of supply and demand, we are seeing more balance and the vacancy rate is trending back toward historical levels,” says Nolen. “We need another year like 2021, and we’re likely going to get that in 2022.”
He also expects continued demand for larger industrial footprints, a trend Nolen says began nearly a decade ago. The average deal size in Houston this year is roughly double what it’s been historically.
“We started noticing larger deals in the market around 2012,” says Nolen. “Since then, it’s steadily increased, and that really accelerated over the past three years or so.”
About CenterPoint Properties:
CenterPoint is an industrial real estate company made up of dedicated thinkers, innovators, and leaders with the creativity and know-how to tackle the industry’s toughest challenges. And it’s those kinds of problems—the delicate, the complex, the seemingly-impossible—that we relish most. Because with an agile team, substantial access to capital, and industry-leading expertise, those are exactly the kinds of problems we’re built to solve. For more information on CenterPoint Properties, visit centerpoint.com, follow @centerpointprop on Twitter or engage with us on LinkedIn.