Tight Vacancies Fuel Rise of Landlord-Favorable Logistics Markets to 39%
GTLL•A new analysis of 135 global logistics markets shows tenant-favorable conditions will fall from 52% in 2026 to 33% by 2029, while landlord-favorable markets climb to 39% from 26% as vacancies tighten and development costs surge. GTLL stands to benefit from stronger rent growth and leverage as supply remains constrained.
1. Report Highlights
An analysis of 135 logistics markets reveals tenant-favorable conditions shrinking from 52% in 2026 to 33% by 2029, while landlord-favorable markets expand to 39% from 26%. Vacancy rates are tightening as new supply lags and development costs climb.
2. Market Dynamics
Rising construction costs and limited land availability are constraining new warehouse development, shifting negotiating power to landlords. This trend is most pronounced in core markets where strategic locations command premium rents.
3. Implications for GTLL
As a logistics real estate landlord, GTLL is positioned to leverage stronger rent growth and enhanced occupancy from tighter supply. Improved leveraging capacity on existing assets could boost cash flows and support expansion plans.
