One of the hottest and most competitive sectors of New York City’s real estate market is the industrial space market. Prior to Covid New York City’s warehouse market was already very strong, but then it got even stronger as Covid boosted online shopping and consumers intensified their shift to buying products online from warehouses as opposed to buying products in person from brick and mortar stores. And it’s not just NewYork City’s warehouse market that has become red hot, the entire national industrial space / warehouse market has become incredibly strong throughout the country.
Warehouse space otherwise known as industrial space is the ideal property type for many types of businesses and you’ll commonly see warehouse space utilized by e-commerce companies, wood-shops, design and fabrication, wholesale distributors, moving companies, factories, general contractors, supply storage, film / tv / video / photo studios, event space businesses, and many other types of business’ too. Warehouses are very versatile and can be used by many different types of industries.
Whether you’re a tenant looking to lease warehouse space, or a buyer looking to purchase warehouse space there are still good opportunities to be had but you’ll need to be very proactive in your property search. We highly recommend your first step is to find an experienced industrial space commercial real estate broker to assist you in your search. Corbett & Dullea is one of the most active players in today’s NYC industrial space market.
If you’re looking for warehouse space in New York City then you’ll most likely be looking in one of the outer boroughs and not Manhattan. Most of the city’s warehouse space is located in Brooklyn, Queens, the Bronx, and Staten Island with the highest volume of industrial space being found in Brooklyn or Queens. Manhattan basically has little to no warehouse space available. And there are specific neighborhoods within those boroughs where you’ll find the most warehouse space, and below you can find a guide to the top warehouse space neighborhoods in the city.
– East Williamsburg, Bushwick, Greenpoint, Navy Yard, Gowanus, Red Hook, Sunset Park, Canarsie, and East New York
– Long Island City, Astoria, Maspeth, College Point, Ozone Park, and Jamaica
– South Bronx, Hunt’s Point, Parchester, Kingsbridge, Wakefield
So if you’re in the market to rent or buy a warehouse space in New York City the million dollar question is how much should you expect to pay.
– Well if you’re going to lease a warehouse then the average price per square foot is around $25 per square foot. However in some neighborhoods such as East New York and Canarsie in Brooklyn, or certain parts of Jamaica in Queens you can potentially find warehouse space closer to $18 / $19 per square foot. Conversely if you’re looking in some of the hotter neighborhoods like Williamsburg or Long Island City you might find yourself paying closer to $30 per square foot.
– Now if you’re looking to purchase a warehouse then the average price per square foot for New York City is around $600 / $700 per square foot. Again these prices can vary a lot depending on what neighborhood you’re in, the condition of the property and other factors too. In some areas you can find warehouses for as cheap as $350 / $400 per square foot, while in other areas you’ll find warehouses as expensive as $1000 per square foot. However the average price per square foot for New York City industrial space tends to run around $600 / $700 per square foot.
The warehouse market is very competitive these days, and if you’re looking to lease or buy warehouse space in New York City then you need to have an experienced commercial real estate broker working with you on your search. Corbett & Dullea has been successful in helping our customers buy or lease New York City warehouse spaces for two decades and we have the experience and market knowledge to help you get the best deal possible for your new warehouse. Call us today to get started on your search for the perfect warehouse location for you and your business.