Nick Siegel, Senior Vice President with Chicago-based Bridge Development Partners LLC, says that it is harder than ever to find new land sites and available Class A buildings for industrial use. “We still see a situation where tenants do not have a lot of options to choose from.”
For Bridge, everything the developer builds is on a speculative basis. But a lot of the buildings end up being leased before construction is completed, according to Siegel. “You could call it ‘spec-to-suit,’ where a tenant comes along early in the process and wants to make some minor modifications to our planned building,” he explains.