Southeast Industrial Labor Report_Q1 2024

RALEIGH-DURHAM, NC

ABSORPTION, NEW SUPPLY, & VACANCY RATES

0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10%

-0.5 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

MSF

ABSORPTION, NEW SUPPLY & VACANCY RATES

Overall Net Absorption Construction Completions Overall Vacancy Rate

2018

2019

2020

2021

2022

2023

DEMOGRAPHICS

Population

2,362,118

Projected Population Change (5-Year)

8.3%

Working Age Population (Ages 18-64)

1,491,199

• Raleigh-Durham maintains the highest median household income in the region, 18.4% above the Southeast average.

Labor Force

1,318,331

Median Household Income

$77,769

• The Raleigh-Durham industrial market recorded an uptick in vacancy in 2023, rising by 270 bps annually. New deliveries, which totaled nearly 1.9 msf, did not factor heavily into vacancy with only 19.5% remaining vacant by year-end. Occupancy losses in 2023 can be contributed to older Class B spaces which came back to market to close out the year. • Developers continue to seek opportunities in the surrounding counties around Raleigh Durham as land for industrial becomes harder to find due to the rising popularity of Life Sciences and multifamily in the urban core.

Educational Attainment: % of Total Pop. Age 25+ with High School to Associates Degree

37.2%

Target Blue Collar Demographic Volume

155,829

Target Blue Collar Demographic Concentration

0.8

MATERIAL MOVING OCCUPATIONS

PRODUCTION OCCUPATIONS

INDUSTRIAL LABOR

2024 Employment Volume

29,227

56,768

Worker Concentration

0.8

0.9

Projected 5-Year Employment Growth

7.3%

4.7%

Average Wages

$21.69

$22.16

Source: Cushman & Wakefield Research, Economic Research Institute, Experian

Wage Index

102

101

Demographics include Durham-Chapel Hill Metro, Raleigh Metro, Mount Airy Micro and Sanford Micro

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Cushman & Wakefield | Southeast Industrial Labor Report