Terreno Realty’s shares have performed well but still appear modestly undervalued—by roughly 7%—suggesting that while the landfill-to-logistics strategy adds credibility to the story, its long-term value will depend on consistent execution rather than any single completed building.
The transaction reflects a growing trend across South Florida, where developers are adding residential projects to underused office parking lots.
With vacancy stabilizing and new supply slowing, the U.S. industrial market is entering 2026 from a position of strength.
Conventional wisdom suggested profits would be squeezed, prices would climb, and economic activity would slow. That outcome, however, never fully materialized.
While site selection has traditionally focused on proximity to ports, highways and labor pools, energy readiness is now just as critical. The rise of electric vehicle fleets, automation and data-intensive operations is making reliable, scalable power essential to operational continuity.