Weekly Market Insight 12.21.09

Percent Change Prior Month, Seasonally Adjusted Wholesale inventories, one of the less “glamorous” economic indicators, increased in October for the first time in 14 months. Businesses have been paring inventories at a furious pace since fall 2008 when the credit markets seized up and the recession worsened. With businesses not replenishing their inventories, production activity slowed and workers had their hours cut or were laid off. The cycle appears ready to swing the other way now as sales rose 1.2 percent in October, the sixth consecutive monthly gain. With sales rising and minimal inventories, companies will need to increase production, and there will be more goods flowing through corporate supply chains. This trend will support demand for industrial space, both manufacturing and warehouse-distribution space. Courtesy of Robert Bach, SVP, Chief Economist, Grubb & Ellis. For a free consultation of your commercial real estate needs please contact Sean Thompson at 406-539-0082 or sean.thompson@grubb-ellis.com OR Joe Cobb at 406-579-2999 or joe.cobb@grubb-ellis.com.  www.MTcommercialRE.com