Why Industry Clusters Are the Secret to a Thriving Industrial Property
If you own an industrial building in Hawaii, you already know the basics: location, condition, and lease terms matter. But there’s another, often-overlooked factor that can dramatically increase your property’s long-term value: fostering industry clusters among your tenants.
In my work with industrial landlords, I’ve seen time and again how the right mix of tenants can create a synergy that supports retention, boosts tenant success, and ultimately drives property performance. If your building supports a mix of warehouse, showroom, office, flex, or light manufacturing space, you’re perfectly positioned to benefit from this strategy.
Let’s explore what industry clusters are, why they work, and how you can attract them to your building.
What Is an Industry Cluster?
An industry cluster is a group of complementary businesses — often serving related markets or customer bases — that naturally benefit from being located near each other. Think of it as the industrial version of a shopping center, with a grocery store, pharmacy, and coffee shop: each business drives traffic for the others, and customers benefit from convenience and variety.
In industrial buildings, this can look like:
A furniture showroom next to an interior designer and a flooring distributor
A lighting distributor located between a contractor’s supply store and a stone countertop fabricator
A sporting goods manufacturer next to a martial arts studio and a sports equipment repair shop.
Clusters encourage cross-referrals, shared clientele, collaborative marketing, and word-of-mouth growth — without any additional expense for the landlord.
Why Clusters Make Smart Business Sense for Landlords
When you attract and cultivate complementary tenants, several benefits follow:
Increased Tenant Retention: Businesses that benefit from each other’s presence are more likely to renew.
Reduced Vacancy Risk: Happy tenants refer other businesses in their industry network.
Higher Rents and Asset Value: A dynamic ecosystem can support higher rents and property appreciation.
Improved Tenant Mix: Strategic leasing can prevent incompatible uses or disruptive operations.
A clustered environment also makes marketing your space easier. When you describe your building as “a hub for building professionals” or “a medical and wellness center,” prospective tenants immediately understand how they fit in.
Examples of Industry Clusters for Industrial Properties
Here are some proven and emerging clusters we’re seeing across Hawaii
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Plumbing supply
Electrical supply
Tile/stone/granite distributors
Lighting showrooms
Cabinetmakers
Door/window providers
Countertop fabrication
Paint suppliers
HVAC suppliers and repair
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Furniture showroom or custom builder
Interior designer
Rug/floor covering specialists
Decor lighting
Home staging services
Mattress store
Local furniture manufacturing
Home services, from reupholstery to knife sharpening to carpet cleaning
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Locally made products (honey, surfboards, clothing)
E-commerce storage
Shipping/logistics companies
Artisan producers with showroom needs
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IT services & computer repair
Accounting firms
Financial planners
Office furniture & supply showrooms
Marketing agencies
Insurance
Printing and shipping services
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Doctor/medical clinics
Dental office
Massage therapy
Medspa & skincare
Physical therapy
Sleep center or diagnostics lab
Acupuncture or chiropractic care
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Martial arts/Taekwondo studio
Sporting goods retailer
Golf equipment repair
Athletic training center
Physical therapist or sports medicine clinic
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Auto repair
Auto parts retail
Upholstery or custom detailing
Tint/wrap/paint protection
Auto upgrades, e.g. audio
How to Attract Industry Clusters to Your Building
If you’re starting with a blank slate or want to reposition your property, here are steps you can take:
Audit Your Existing Tenants: Are there any natural groupings or anchor tenants you can build around?
Define a Target Cluster: Choose a few focus areas based on your building’s layout and zoning.
Tailor Your Marketing: List your property as “ideal for medical/wellness professionals” or “perfect for building supply showrooms.” Your broker should reach out to tenants aligned with your chosen cluster target.
Focus on Compatibility: Screen new tenants for compatibility with existing businesses — will they share customers? Will they create noise or a smell that’s off-putting to adjacent businesses? Consider these factors before renewing existing tenants as well.
Leverage Broker Networks: Work with a broker who knows which businesses and industry clusters are growing and who is looking to relocate or expand. (This is where we come in.)
The Bottom Line
Creating industry clusters isn’t about getting lucky with the right tenant mix — it’s a leasing strategy that smart landlords use to build value. When tenants succeed, they stay longer, pay more, and refer others. In Hawaii’s competitive industrial market, that’s a long-term advantage you can’t afford to ignore.
Want to explore which clusters make the most sense for your building — or how to reposition your space for the future? Let’s talk. I’d love to help you unlock the full potential of your property.
