Industrial Real Estate in Columbus, OH

Cap rates for industrial properties in Columbus vary by submarket, property class, and occupancy levels. The overall Columbus market average cap rate is approximately 6.5%. Class A properties typically trade at lower cap rates than value-add opportunities.

Industrial has benefited from structural demand drivers including e-commerce growth (which requires 3x more logistics space than brick-and-mortar retail), supply chain reshoring and nearshoring trends, inventory stockpiling following pandemic-era disruptions, and limited developable land in infill locations. These factors have driven vacancy rates below 4% nationally and pushed rent growth well above historical averages in most markets.

Bulk warehouses are large-scale distribution centers (typically 200,000+ SF) located along major transportation corridors, used for regional storage and distribution. Last-mile facilities are smaller (20,000-150,000 SF), located closer to dense population centers, and serve the final leg of delivery to end consumers. Last-mile properties typically command higher rents per square foot due to land scarcity and proximity to customers but offer lower overall NOI given their smaller footprint.

Intel's semiconductor complex is expected to create 3,000 direct jobs and up to 10,000 construction jobs, with thousands more in the supply chain. The New Albany area is already seeing industrial and commercial development to support the fab. Housing demand in eastern Franklin and Licking counties will increase significantly. The broader impact is elevating Columbus's profile among institutional investors who previously overlooked the market.

Columbus multifamily has delivered strong risk-adjusted returns due to steady population growth, a large university-driven renter base, and moderate new supply relative to demand. The Short North, German Village, and Clintonville neighborhoods attract young professionals, while suburban apartments in Dublin, Westerville, and New Albany serve families. Rents remain affordable relative to national averages, providing room for growth.