The Myrtle Beach area isn’t what comes to mind when most people think “industrial market.” No BMW plant. No port. No major interstate running through it. But here’s the thing — it doesn’t need any of that to support a strong industrial market.
What Myrtle Beach has is a permanent population that’s been growing 30-plus percent per decade and 20 million tourists per year. All those people need stuff. And stuff needs to be stored, moved, and distributed from somewhere. That somewhere is mostly along Highway 501.
-
Highway 501 Proximity and Access: Calculate actual 501 access from your property. Logistics buyers need direct corridor access. Backroad properties lose that premium. -
Property Type and Zoning: Industrial zoning for warehouse/distribution vs. retail zoning for service commercial vs. tourism retail are different buyer conversations. Know your actual use category. -
Tenant Sector: Logistics and distribution tenants (long-term NNN leases) vs. service retail (shorter terms, higher turnover) vs. seasonal tourism retail. Tenant type determines buyer profile. -
Site Logistics Capability: Warehouse buyers need dock-height bays and truck turning radius. Confirm configuration meets industrial use requirements.
Highway 501: the logistics spine
Drive Highway 501 from Conway to Myrtle Beach and count the warehouses. Building supply distributors. Restaurant equipment companies. Pool and spa suppliers. Roofing materials. HVAC wholesale. Flooring distributors. This corridor handles the supply chain for one of the fastest-growing metro areas in the country. It’s not sexy logistics — nobody’s shipping iPhones from here. But it’s essential logistics, and the demand for it grows every time a new subdivision or hotel goes up.
What attracts 501 corridor and logistics buyers
- Direct Highway 501 access for distribution and warehousing tenants
- Industrial zoning with dock-height bays and truck access
- Multi-tenant warehouse or flex properties (diverse tenant base)
- Long-term lease stability (not expiring renewal risk)
- Clear site logistics configuration (not constrained access)
What gives Myrtle Beach industrial buyers leverage
- Locations away from Highway 501 main corridor (loses logistics premium)
- Retail or office zoning instead of industrial (use misalignment)
- Single-tenant buildings with expiring leases (re-tenanting risk)
- Site constraints (limited dock space, tight truck turning radius, parking limitations)
- Beachfront seasonal tourism dependency (margin volatility vs. logistics stability)
The Highway 501 widening project — $65.1 million — is designed to handle more traffic and improve commercial access along the corridor. That’s good news for property owners. Better road infrastructure means more efficient logistics, which means tenants are willing to pay more to be here. Road improvements don’t just move traffic. They move property values.
| Highway 501 Industrial Snapshot | Details |
|---|---|
| Primary Users | Distribution, building supply, contractors |
| Typical Building Size | 5,000-50,000 SF |
| Vacancy | Low — limited new construction |
| Widening Project | $65.1M, improved access |
| Demand Driver | Population growth + tourism supply chain |
The construction connection
Horry County is building constantly. New homes, new hotels, new commercial buildings. All of that construction activity needs warehouse space for materials and equipment. Lumber yards, concrete suppliers, insulation distributors, tile warehouses — they all need industrial space in the Myrtle Beach area. And when the building cycle is as strong as it’s been here, those tenants aren’t going anywhere. They’re locked in because their customers are locked in.
I talked to a guy who owns a 15,000 SF warehouse on 501 near Conway. Two tenants — a flooring distributor and a cabinet supplier. Both have been there eight years. Both serve homebuilders across the Grand Strand. His occupancy hasn’t dipped below 100% since 2017. That’s the kind of industrial deal I like. Not complicated. Just a good building on a good road with tenants who need to be there.
What’s different about Myrtle Beach industrial
The buildings here tend to be smaller than what you see in Charlotte or Greenville. There’s not a lot of 200,000 SF distribution centers. It’s mostly 5,000-30,000 SF buildings serving local and regional distribution. Which actually works out well for sellers because that size range has the deepest buyer pool. Institutional investors might not look at a 12,000 SF warehouse, but local investors and small operators will fight over it. Less competition from big players means more realistic valuations and faster closings.
Clear height is less of an issue here than in major industrial markets. Most of the distribution is consumer goods and building materials, not palletized freight that needs 32-foot clear. Sixteen to twenty feet works for most tenants. So if your building is older with lower ceilings, it’s probably fine for this market. Don’t let that hold you back from exploring a sale.
The I-73 factor
I-73 right-of-way acquisition is 95-99% complete. If and when that interstate gets built, it connects Myrtle Beach to I-95 and the broader interstate network. That would be a huge boost for industrial property in western Horry County. Suddenly you’d have real interstate access, which opens up the market to regional distribution tenants who currently can’t justify the location. Worth watching closely.
I buy industrial buildings and flex space along Highway 501 and in the Conway area. Leased or vacant. The key is location on the corridor and building functionality. Everything else is just math.
For more on infrastructure projects shaping this market, check out my article on top infrastructure projects in the Myrtle Beach metro.
Seller takeaway
Myrtle Beach’s Highway 501 logistics corridor is growing while beachfront tourism is saturated. If you own industrial or logistics property in the 501 corridor and want to position it against actual distribution demand, call Roth Capital at 704-600-3839.
Got a warehouse or industrial building on 501? Let’s talk about what it’s worth today. 704-600-3839.
Ready to explore your options?
Tell us about your property. We will follow up within one business day.
Recent Comments