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By Vytas Norusis, MAI, Executive Vice President
Industrial Outdoor Storage (IOS) has evolved from a niche asset class into a strategic investment target for institutional capital. In 2025, demand surged as e-commerce growth and supply chain resilience strategies drove the need for well-located outdoor storage sites. Scarcity of zoned land and entitlement hurdles pushed valuations higher, while tenant diversification broadened the sector beyond trucking to include construction, utilities, and renewable energy operators. Looking ahead, IOS fundamentals remain constructive, with continued institutional interest and selective rent growth expected into 2026.
