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June 2020

Norfolk Industrial Real Estate Summary: Leases, Sales, and Construction Stats

Ashley Capital gathers the latest statistics for leases, sales, and construction in Norfolk’s industrial real estate sector. Every quarter the largest deals are listed in order to illustrate the current state of the market.

Needless to say the most recent quarter has been affected by the current pandemic, and the true outcome of the shift in economics won’t be seen for a quarter or two.

Norfolk Industrial Real Estate 2020

Top Norfolk Industrial Real Estate Lease Statistics

12 Month Deliveries in Square Feet: 231,000
12 Month Net Absorption in Square Feet: 796,000
Vacancy Rate: 2.7%
12 Month Rent Growth Rate: 3.9%

Top Norfolk Industrial Leases (Past 12 Months)

1) Property: 2600 International Pky
Submarket:
Lynnhaven
Leased SF:
175,508
Quarter:
Q2 2019
Tenant: Pugs Gear
Tenant Rep: Not Listed
Leasing Rep:
JLL

2) Property: 5401 Virginia Regional Dr
Submarket: 
South Suffolk
Leased SF:
127,500
Quarter:
Q4 2019
Tenant: Not Listed
Tenant Rep:
Not Listed
Leasing Rep: Colliers International

3) Property: 5816 Ward Ct
Submarket:
Airportustrial Park
Leased SF:
111,000
Quarter:
Q3 2019
Tenant: USPS
Tenant Rep: JLL

4) Property: 1440 London Bridge Rd
Submarket:
Lynnhaven
Leased SF:
100,000
Quarter:
Q4 2019
Tenant:
U-Play USA LLC
Leasing Rep: John Lee & Associated

5) Property: 3050 Elmhurst Ln
Submarket: Portsmouth
Leased SF:
80,000
Quarter:
Q4 2013
Tenant:
Not Listed
Tenant Rep: Not Listed
Leasing Rep: Cushman & Wakefield

Norfolk Industrial Real Estate Sales 2020

Top Norfolk Industrial Sales Statistics (Past 12 Months)

Sales Comparables: 157
Average Cap Rate:
8.1%
Average Price/ SF: 
$66
Average Vacancy at Sale: 6.5%

Top Norfolk Industrial Property Sales

1) Property: Rubicon NGP-Suffolk, VA (116 Lake View Pky)
*Rating:
4
Year Built: 
1993
Building SF:
403,737
Vacancy:
0%
Price (PSF): 
$79,200,000 ($196)
Cap Rate: 
Not Listed

2) Property: Preferred Freezer Services (2700 Trade St)
*Rating: 4
Year Built: 2007
Building SF: 174,088
Vacancy: 
0%
Price (PSF): $38,009,517 ($218)
Cap Rate: Not Listed

3) Property: 1960 Diamond Hill Rd
*Rating:
4
Year Built: 
1974
Building SF:
267,000
Vacancy: 
37.5%
Price (PSF): 
$27,609,353 ($103)
Cap Rate: 
Not Listed

4) Property: 2115 Portlock Rd
*Rating: 4
Year Built: 1997
Building SF: 229,500
Vacancy: 
0%
Price (PSF): $25,766,002 ($112)
Cap Rate: Not Listed

5) Property: 1920 Campostella Rd
*Rating:
4
Year Built: 
1980
Building SF:
224,620
Vacancy: 
0%
Price (PSF): 
$23,227,014 ($103)
Cap Rate: 
Not Listed

*Rating is 1-5, 5 being the best

Norfolk Industrial Real Estate Construction Stats 2020

Norfolk Industrial Construction Projects Statistics

Properties Currently Under Construction: 12
Total Size in Square Feet:
4,639,742
Percent of Inventory:
4.5%
Preleased: 99.2%

Top Norfolk Industrial Projects Under Construction

1) Property: Amazon Warehouse (2020 Northgate Commercial Dr)
Rating*:
4
Building SF:
3,800,000
Stories: 
5
Completion:
Q1 2022
Developer/ Owner:
Amazon.com

2) Property: 411 S Birdneck Rd
Rating*:
4
Building SF:
540,000
Stories:
1
Completion:
Q2 2020
Developer/ Owner:
Global Technical Systems

3) Property: 5501 Aluminum Ave
Rating*:
2
Building SF:
75,742
Stories:
Not Listed
Completion:
Q3 2020
Developer/ Owner:
Liebherr Mining & Construction

4) Property: PointOne Building 2 (1230 Corporate Landing Pky)
Rating*:
2
Building SF:
31,000
Stories:
1
Completion:
Q2 2020
Developer/ Owner:
Not Listed

5) Property: PointOne Building 1 (Corporate Landing Pky)
Rating*:
2
Building SF:
31,000
Stories:
1
Completion:
Q2 2020
Developer/ Owner:
Not Listed

*Rating is 1-5, 5 being the best

Data Sources: Ashley Capital & CoStar