Industrial real estate cap rates in the U.S. 2012-2023 with a forecast until 2026
The cap rate for industrial and logistics real estate in the United States grew in 2023, after hitting a record-low in 2023. In the fourth quarter of 2023, the cap rate was 5.35 percent and by the end of 2026, it was forecast to decline to 4.85 percent. Cap rates measure the expected rate of return on investment properties and are calculated by dividing the net operating income of the property by the current asset value. While a higher cap rate indicates a higher rate of return, it is also associated with higher risk, such as declining property values.