#2. Industrial

- U.S. property type index in June 2021: 287 (310.0% higher than in 1996)

- U.S. property type index in June 1996: 70

Industrial real estate has been one of the hottest segments of the entire market for 25 years—right around the time that people first started hearing about a company called Amazon. Since the mid-1990s, e-commerce has been to industrial real estate what tech was to office real estate—but unlike office space, the pandemic has only increased demand for industrial buildings.

Demand for gargantuan, 200,000-plus-square-foot facilities hit a record high in 2020, according to CBRE, as giants like Home Depot and Gap opened massive new warehouses and distribution centers to accommodate the continued growth of online sales. In July, demand for industrial space topped 664 million square feet nationwide, according to The Business Journals, most of which could be traced to e-commerce. For context as to just how high demand has risen in the red-hot industrial market, Amazon alone is spending hundreds of millions of dollars to transform office space, derelict malls, and even golf courses into warehouses and distribution centers, according to CNBC.

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