INDUS Realty CEO Sees Growing Demand as Supply Chains Adjust and Economy Continues to Grow
Jan. 19 2021
INDUS Realty Trust, Inc. (Nasdaq: INDT) President and CEO Michael Gamzon says the REIT’s focus on logistics real estate in high growth, supply-constrained markets with multiple drivers of demand positions the company well to respond to changes in supply chain strategies.
INDUS recently elected REIT status and changed its name from Griffin Industrial Realty. Speaking on the REIT Report, Gamzon said the company chose to convert to a REIT in part because it “aligned with the business we’re in,” as well as allowing INDUS to seek out capital in order to be an active developer and acquirer of assets.
INDUS’ core markets are: Hartford, Connecticut; Lehigh Valley, Pennsylvania; Orlando; and Charlotte, North Carolina. Gamzon described Lehigh Valley as “one of the best performing markets in the country.”
During the interview Gamzon also noted that:
- Industrial real estate is still in the “early days of growth.”
- While e-commerce has been a big driver of industrial demand, there’s also large demand for business-to-business delivery, such as auto parts.
- “All companies are really focused on their supply chain, speeding up delivery, and having inventory available for delivery. That’s really helped all the markets.”
- INDUS’ current development projects are expected to add 25% to the REIT’s total square feet.
- INDUS has the advantage of being small. “It doesn’t take a lot to move the needle for us.”