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What are the factors that affect the value of industrial real estate?

The following factors can affect the value of industrial real estate:

  • Location: Industrial properties located in areas with good access to transportation, labour, and markets tend to be more valuable.
  • Property characteristics: The size, age, condition, and features of an industrial property can also affect its value. (Power, height, dock levels etc.
  • Economic conditions: The overall health of the economy can also impact the value of industrial real estate. When the economy is strong, demand for industrial space tends to be higher, which can drive up prices.
  • Supply and demand: The balance of supply and demand for industrial space can also affect its value. If there is more space available than there is demand, prices tend to be lower.
  • Government regulations: Government regulations can also impact the value of industrial real estate. For example, environmental regulations can make it more expensive to develop and operate industrial properties
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Swindon Press Room
Swindon Property is a leading commercial and industrial real estate organisation and the commercial associate for international real estate advisor, Savills, for sub-Saharan Africa.