The growing automotive cluster in South Carolina is serving as a benefit to the state’s tight industrial market.
The industrial market within South Carolina has shown signs that it has continued to tighten. Experts attribute this to growing demands for space, declines in vacancy and increases in rental rates.
One factor in these shifts is the growing automotive industry. Several major automotive manufacturers, like Mercedes-Benz and Volvo, have invested in the area throughout the first half of 2015. These manufacturers will invest a total of $1 billion in the state and create approximately 5,300 new jobs throughout the next 10 years. The majority of these benefits will be based in the Charleston area, but the entire state will benefit from the economic surge.
Additionally, speculative construction has increased its momentum as various tenants are looking for space that is move-in ready. This is possibly connected to a rise in industrial employment in the state. As of today, the South Carolina’s industrial employment has increased to almost pre-recession levels. At the moment, it is maintaining a level below the 1990s peak employment rates.
All of these factors are also connected to strong activity in the ports of South Carolina. The activity levels have actually set records for the state.
The area continues to anticipate positive outcomes from the state's industrial market resurgence.