{"id":45453,"date":"2025-08-28T14:48:48","date_gmt":"2025-08-28T11:48:48","guid":{"rendered":"https:\/\/www.commercialcafe.com\/blog\/?p=45453"},"modified":"2026-04-21T11:35:59","modified_gmt":"2026-04-21T08:35:59","slug":"national-industrial-report-august-2025","status":"publish","type":"post","link":"https:\/\/www.commercialcafe.com\/blog\/national-industrial-report-august-2025\/","title":{"rendered":"Industrial Sales Remain Level Despite Headwinds"},"content":{"rendered":"<p><span style=\"color: #0bbfeb;\"><strong>Key Takeaways:<\/strong><\/span><\/p>\n<ul>\n<li><span class=\"TextRun SCXW165919064 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun CommentStart SCXW165919064 BCX0\"><strong>2025 industrial sales are on<\/strong><\/span><strong><span class=\"NormalTextRun SCXW165919064 BCX0\"> a similar<\/span><span class=\"NormalTextRun SCXW165919064 BCX0\"> pace with 2024\u2019s <\/span><span class=\"NormalTextRun SCXW165919064 BCX0\">$74.3<\/span><span class=\"NormalTextRun SCXW165919064 BCX0\"> billion<\/span><\/strong><\/span><span class=\"TextRun SCXW165919064 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW165919064 BCX0\">, up 14.7% from 2023<\/span><span class=\"NormalTextRun SCXW165919064 BCX0\">,<\/span><span class=\"NormalTextRun SCXW165919064 BCX0\"> but down from the all-time high of <\/span><span class=\"NormalTextRun SCXW165919064 BCX0\">$129.8<\/span><span class=\"NormalTextRun SCXW165919064 BCX0\"> billion<\/span><span class=\"NormalTextRun SCXW165919064 BCX0\"> recorded in 2021.<\/span><\/span><\/li>\n<li><span class=\"TextRun SCXW162983494 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW162983494 BCX0\">In-place rents averaged <\/span><\/span><strong><span class=\"TextRun SCXW162983494 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW162983494 BCX0\">$8.63 per square foot nationally in July<\/span><\/span><\/strong><span class=\"TextRun SCXW162983494 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW162983494 BCX0\">, up three cents from June and increasing by 6.1% year-over-year.<\/span><\/span><span class=\"EOP SCXW162983494 BCX0\" data-ccp-props=\"{}\">\u00a0<\/span><\/li>\n<li><span class=\"TextRun SCXW137659622 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW137659622 BCX0\">The <\/span><\/span><strong><span class=\"TextRun SCXW137659622 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW137659622 BCX0\">national industrial vacancy rate<\/span><\/span><\/strong><span class=\"TextRun SCXW137659622 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW137659622 BCX0\"> in July 2025 stood at <\/span><\/span><strong><span class=\"TextRun SCXW137659622 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW137659622 BCX0\">9.1%<\/span><\/span><\/strong><span class=\"TextRun SCXW137659622 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW137659622 BCX0\">, up 10 bps from last month and 270 bps annually.<\/span><\/span><span class=\"EOP SCXW137659622 BCX0\" data-ccp-props=\"{}\">\u00a0<\/span><\/li>\n<li><span class=\"TextRun SCXW53308642 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW53308642 BCX0\">There was <\/span><\/span><strong><span class=\"TextRun SCXW53308642 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW53308642 BCX0\">340.2 million square feet<\/span><span class=\"NormalTextRun SCXW53308642 BCX0\"> of industrial space under construction<\/span><\/span><\/strong><span class=\"TextRun SCXW53308642 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW53308642 BCX0\"> nationally in July, while completions so far this year total <\/span><span class=\"NormalTextRun SCXW53308642 BCX0\">170.5 million square feet<\/span><span class=\"NormalTextRun SCXW53308642 BCX0\">.<\/span><\/span><span class=\"EOP SCXW53308642 BCX0\" data-ccp-props=\"{}\">\u00a0<\/span><\/li>\n<li><strong><span class=\"TextRun SCXW90994152 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW90994152 BCX0\">Los Angeles <\/span><\/span><\/strong><span class=\"TextRun SCXW90994152 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW90994152 BCX0\">had the<\/span><\/span> <span class=\"TextRun SCXW90994152 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW90994152 BCX0\">second-largest <\/span><span class=\"NormalTextRun ContextualSpellingAndGrammarErrorV2Themed SCXW90994152 BCX0\">drop in<\/span><span class=\"NormalTextRun SCXW90994152 BCX0\"> vacancy rate nationwide,<\/span><\/span><span class=\"TextRun SCXW90994152 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW90994152 BCX0\"> down <strong>150 bps annually<\/strong><\/span><\/span><span class=\"EOP SCXW90994152 BCX0\" data-ccp-props=\"{}\">.<\/span><\/li>\n<li><strong><span class=\"TextRun SCXW64735145 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW64735145 BCX0\">Cincinnati, Kansas City and Columbus<\/span> <\/span><\/strong><span class=\"TextRun SCXW64735145 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW64735145 BCX0\">recorded<\/span><\/span><strong><span class=\"TextRun SCXW64735145 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW64735145 BCX0\"> negative lease spreads<\/span><\/span><\/strong><span class=\"TextRun SCXW64735145 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW64735145 BCX0\"> with leases from the last 12 months being cheaper than in-place leases.<\/span><\/span><\/li>\n<li><strong><span class=\"TextRun SCXW23503184 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW23503184 BCX0\">Dallas-Fort Worth <\/span><\/span><\/strong><span class=\"TextRun SCXW23503184 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW23503184 BCX0\">took the lead in<\/span><\/span><strong><span class=\"TextRun SCXW23503184 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW23503184 BCX0\"> year-to-date industrial transactions at <\/span><span class=\"NormalTextRun SCXW23503184 BCX0\">$2.3<\/span><span class=\"NormalTextRun SCXW23503184 BCX0\"> billion<\/span><\/span><\/strong><span class=\"TextRun SCXW23503184 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW23503184 BCX0\">, with Houston transactions also cracking <\/span><span class=\"NormalTextRun SCXW23503184 BCX0\">$1<\/span><span class=\"NormalTextRun SCXW23503184 BCX0\"> billion.<\/span><\/span><\/li>\n<li><strong><span class=\"TextRun SCXW19899248 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW19899248 BCX0\">Markets in the Northeastern U.S. <\/span><\/span><\/strong><span class=\"TextRun SCXW19899248 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW19899248 BCX0\">recorded some of the<\/span><\/span><strong><span class=\"TextRun SCXW19899248 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW19899248 BCX0\"> widest lease spreads <\/span><\/span><\/strong><span class=\"TextRun SCXW19899248 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW19899248 BCX0\"><strong>nationwide<\/strong> in conjunction with<\/span><\/span><span class=\"TextRun SCXW19899248 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW19899248 BCX0\"> shrinking pipelines.<\/span><\/span><\/li>\n<\/ul>\n<p><span class=\"TextRun SCXW51148390 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW51148390 BCX0\">Industrial was the darling asset class of commercial real estate coming out of the pandemic. <\/span><span class=\"NormalTextRun SCXW51148390 BCX0\">Investor appetite for the sector led to <\/span><span class=\"NormalTextRun SCXW51148390 BCX0\">elevated<\/span><span class=\"NormalTextRun SCXW51148390 BCX0\"> construction<\/span><span class=\"NormalTextRun SCXW51148390 BCX0\">,<\/span><span class=\"NormalTextRun SCXW51148390 BCX0\"> as well as record-breaking sales volumes.<\/span><span class=\"NormalTextRun SCXW51148390 BCX0\"> H<\/span><span class=\"NormalTextRun SCXW51148390 BCX0\">owever, <\/span><span class=\"NormalTextRun SCXW51148390 BCX0\">things have started slowing down around the second half of 2022 and seem to be leveling off despite headwinds, our latest U.S. industrial market report shows.<\/span><\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Trends &amp; Industry News<\/span><\/h3>\n<h2>Industrial Construction Pivoting to New Categories Amid Challenges<\/h2>\n<p><span data-contrast=\"auto\">The highest industrial sales volume was recorded in 2021 at $129.8 billion. This figure then fell to $105.4 billion in 2022, before plummeting to $64.8 billion in 2023. Then, last year brought a slight recovery of 14.7% to bring 2024\u2019s total industrial transactions to $74.3 billion. Now, this year is currently on pace with 2024, indicating that the boom-bust cycle may be leveling off.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Price appreciation has also cooled in recent years after a period of accelerated growth: The average sale price of an industrial property spiked by 54% between 2019 and 2022 to go from $79 per square foot to $122 per square foot. Capital was cheap, and investors wanted to profit from record rent growth resulting from historically low industrial vacancy rates on top of supply falling behind. <\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">However, by the end of 2022, all of these conditions began to flip: High inflation readings led to tighter monetary policy, demand for industrial space normalized and a huge wave of speculative properties lessened vacancy pressures. Consequently, industrial transactions completed so far in 2025 have an attached average sale price of $129 per square foot \u2014 only 6% higher than the 2022 average.<\/span><\/p>\n<blockquote><p><span class=\"TextRun SCXW237941360 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW237941360 BCX0\">\u201cWe\u2019ve watched the industrial investment market move from darling to resilient over the past few years, but we anticipate activity and interest to ramp up with the expectation of economic clarity coupled with growing demand for space.\u201d<\/span><\/span><span class=\"EOP SCXW237941360 BCX0\" data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><strong>Peter Kolaczynski, Director, Yardi Research<\/strong><\/p><\/blockquote>\n<p><span data-contrast=\"auto\">On a more positive note, the presence of any price increases at all in recent years stands as a testament to the sector\u2019s resilience. To that end, this year, investors have been pressured by uncertainty in treasury yields, in addition to the overall economy. <\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:0,&quot;335551620&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Yet, our data shows $31.4 billion in industrial sales so far this year, which is on par with the $31.2 billion traded in the same period of 2024 and the $32.5 billion in 2023. However, not even a durable sector such as industrial is immune to the dampening effects of uncertainty on deal-making, pricing and capital allocation. Current economic uncertainties may also lead to a widening of the bid\/ask gap, as buyers expect discounts on properties to account for risks, whereas sellers are content to wait and hold onto high-value assets, hoping for higher valuations.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Despite these pressures, our industrial real estate outlook anticipates activity to pick up in the coming quarters due to brightening investor sentiment and enduring demand for industrial space. Most analysts also expect rate cuts later in the year. Clearer tariff policy in conjunction with some aspects of the July tax law should also have a positive effect on investment.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Rents &amp; Occupancy<\/span><\/h3>\n<h2><span class=\"TextRun SCXW217062467 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW217062467 BCX0\">Philadelphia Shows Solid Rent Growth<\/span><\/span><\/h2>\n<p><span data-contrast=\"auto\">In-place rents for industrial space averaged $8.63 per square foot nationally in July, up three cents from the previous month and increasing by 6.1% annually.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Philadelphia led the nation in in-place rents, growing by 9.2% year-over-year (Y-o-Y). With stable fundamentals; a growing shipping port with 8% compounded annual growth in the last decade; and a high concentration of logistics firms, the <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/pa\/philadelphia\/\" target=\"_blank\" rel=\"noopener\">Philadelphia industrial market<\/a> enjoys positive conditions for growth. At the same time, industrial stock in Philadelphia is some of the oldest in the country, whereas industrial tenants increasingly look for modern amenities. This has led to a high absorption rate of the 68.5 million square feet of space delivered here since 2020, which has also boosted the market\u2019s inventory by a sizable 14.4%. Currently, there\u2019s 5.2 million square feet of new stock in the Philadelphia pipeline, possibly leading to further upward pressure on rent growth.<\/span><\/p>\n<p><iframe id=\"datawrapper-chart-410ae\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\"Avg rent by Metro July 25\" src=\"https:\/\/datawrapper.dwcdn.net\/410ae\/2\/\" height=\"789\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Table\" data-external=\"1\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data[\"datawrapper-height\"][t]+\"px\";r.style.height=d}}})}();<\/script><\/p>\n<p><span data-contrast=\"auto\">The national vacancy rate in July 2025 stood at 9.1%, increasing 10 basis points (bps) month-over-month and 270 bps Y-o-Y. Notably, record supply in recent years has pushed the vacancy rate up across most markets in the country, but a vacancy plateau may be underway in the coming months as the supply boom continues to fade.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">At a national level, the spread between a lease signed in the last 12 months and the overall in-place average rent stood at $1.45 per square foot. In fact, new lease premiums have been consistently shrinking in the last year as occupancies have been dropping and the market has shifted in favor of tenants. Nevertheless, some markets continue to experience high industrial rent growth with <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/ct\/bridgeport\/\" target=\"_blank\" rel=\"noopener\">Bridgeport, Conn. industrial properties<\/a> leading the way with a $5-per-square-foot premium for new leases.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:0,&quot;335551620&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Supply<\/span><\/h3>\n<h2><span class=\"TextRun SCXW160300839 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW160300839 BCX0\">Advanced Manufacturing Development Grows in Bay Area<\/span><\/span><\/h2>\n<p><span data-contrast=\"auto\">In July, 340.2 million square feet of industrial space was being built nationwide, resulting in a projected expansion of 1.7%. Year-to-date completions total 170.5 million square feet, our U.S. industrial market report shows.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:0,&quot;335551620&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Like most other markets nationally, the Bay Area\u2019s industrial inventory received a significant boost in stock in recent years. Specifically, the market added 24.4 million square feet of space between 2020 and 2024 \u2014 but only one-tenth of that space was comprised of manufacturing. For comparison, today, more than one-third of industrial space being built in the Bay Area is manufacturing space with most of that being in advanced manufacturing.<\/span><\/p>\n<p><iframe id=\"datawrapper-chart-q4Yxf\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\"Industrial Space Under Construction (Million Sq. Ft.)\" src=\"https:\/\/datawrapper.dwcdn.net\/q4Yxf\/1\/\" height=\"781\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Bar Chart\" data-external=\"1\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data[\"datawrapper-height\"][t]+\"px\";r.style.height=d}}})}();<\/script><\/p>\n<p>Demand for advanced manufacturing space has been boosted by the growth of generative AI, chip <span class=\"NormalTextRun SCXW14922047 BCX0\">production<\/span><span class=\"NormalTextRun SCXW14922047 BCX0\"> and server facilities. Continuing demand in these sectors may lead to another pipeline boom, this time spearheaded by manufacturing. <\/span><span class=\"NormalTextRun SCXW14922047 BCX0\">Here, Overton Moore Properties is currently building two manufacturing facilities in Livermore, Calif., in the eastern Bay Area. Additionally, Related Companies recently received approval to replace millions of square feet of office space with industrial in a Santa Clara, Calif., master plan that <\/span><span class=\"NormalTextRun SCXW14922047 BCX0\">it\u2019s<\/span><span class=\"NormalTextRun SCXW14922047 BCX0\"> currently developing.<\/span><span class=\"EOP SCXW14922047 BCX0\" data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Transactions<\/span><\/h3>\n<h2><span class=\"TextRun SCXW22097004 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW22097004 BCX0\">Baltimore Sales Heat Up<\/span><\/span><\/h2>\n<p><span class=\"TextRun SCXW238466847 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW238466847 BCX0\">According to our industrial real estate market report, transactions involving industrial properties totaled <\/span><span class=\"NormalTextRun SCXW238466847 BCX0\">$33.8 billion<\/span><span class=\"NormalTextRun SCXW238466847 BCX0\"> nationally in the first half of the year. Properties sold so <\/span><span class=\"NormalTextRun SCXW238466847 BCX0\">far<\/span><span class=\"NormalTextRun SCXW238466847 BCX0\"> this year traded for an average of $129 per square foot.<\/span><\/span><\/p>\n<p><iframe id=\"datawrapper-chart-7bVmC\" style=\"width: 0; min-width: 100% !important; border: none;\" title=\"2025 Year-To-Date Sales (Million)\" src=\"https:\/\/datawrapper.dwcdn.net\/7bVmC\/1\/\" height=\"800\" frameborder=\"0\" scrolling=\"no\" aria-label=\"Split Bars\" data-external=\"1\"><\/iframe><script type=\"text\/javascript\">!function(){\"use strict\";window.addEventListener(\"message\",function(a){if(void 0!==a.data[\"datawrapper-height\"]){var e=document.querySelectorAll(\"iframe\");for(var t in a.data[\"datawrapper-height\"])for(var r,i=0;r=e[i];i++)if(r.contentWindow===a.source){var d=a.data[\"datawrapper-height\"][t]+\"px\";r.style.height=d}}})}();<\/script><\/p>\n<p>While average sale prices have been relatively stable since 2022, individual markets have seen high degrees of variation. For instance, looking at the 30 major markets nationwide, Baltimore has experienced the fastest average price growth in recent years, reaching $193 per square foot for year-to-date transactions in 2025. That figure is 70% higher than the average for 2022 sales in the market.\u00a0<span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Notably, prices in the market only grew by 29% between 2019 and 2022, leaving room to grow in subsequent years. Moreover, most of the average price gains have resulted from two substantial sales: KKR\u2019s $115-million purchase of two buildings near the Baltimore\/Washington International Airport averaged $253 per square foot, while MRP Industrial bought a logistics park for an average of $284 per square foot. These sales also pushed the market\u2019s year-to-date sales above last year\u2019s total sales volume of $565 million.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Western Markets<\/span><\/h3>\n<h2><span class=\"TextRun SCXW251000615 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW251000615 BCX0\">Los Angeles Vacancies Contract 150 <\/span><span class=\"NormalTextRun SCXW251000615 BCX0\">b<\/span><span class=\"NormalTextRun SCXW251000615 BCX0\">ps Y-o-Y<\/span><\/span><span class=\"EOP SCXW251000615 BCX0\" data-ccp-props=\"{}\">\u00a0<\/span><\/h2>\n<p><span data-contrast=\"auto\">Year-to-date industrial transactions in Phoenix surged to $1.66 billion in July, up considerably from last month\u2019s $1.13 billion and representing a 26% increase compared to the same period last year. This momentum signals growing investor confidence in Phoenix industrial acquisitions and positions the market as the region\u2019s sales leader, even as construction hits the brakes. Los Angeles followed with $1.38 billion in transactions, while California\u2019s Orange County ($883 million) and Central Valley ($767 million) rounded out the top regional performers. Western markets also continued their dominance in average sale pricing with Orange County, Los Angeles, the Inland Empire and Seattle commanding some of the highest rates nationally, despite staying mostly flat year-over-year.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:0,&quot;335551620&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Western market vacancies trended predominantly below the national average of 9.1% in July. In this case, <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/ca\/los-angeles\/\" target=\"_blank\" rel=\"noopener\">industrial space in Los Angeles<\/a> emerged as a standout performer with a vacancy rate of 8.1%, which, while middling in absolute terms, represents a rare decrease of 150 bps compared to last year and marks the second-largest vacancy contraction nationwide. Meanwhile, the Inland Empire; Orange County; and <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/or\/portland\/\" target=\"_blank\" rel=\"noopener\">Portland, Ore.<\/a>, also maintained sub-8% vacancy rates, while <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/wa\/seattle\/\" target=\"_blank\" rel=\"noopener\">industrial space in Seattle<\/a> recorded a 8.5% vacancy after a 130-bps climb. Similarly, the Bay Area\u2019s vacancy rate reached 8.1% \u2014 up 210 bps from July 2024. Only Denver (11.9%) and the Central Valley (10.5%) recorded vacancies above the national benchmark.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:0,&quot;335551620&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<div id=\"datawrapper-vis-r94LT\" style=\"min-height: 570px;\"><script type=\"text\/javascript\" defer src=\"https:\/\/datawrapper.dwcdn.net\/r94LT\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-r94LT\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/r94LT\/full.png\" alt=\"West Regional Highlights (Table)\" \/><\/noscript><\/div>\n<p>&nbsp;<\/p>\n<p><span data-contrast=\"auto\">At the same time, regional construction pipelines contracted across most Western markets with only two exceptions \u2014 Denver\u2019s marginal 3% Y-o-Y increase, as well as Orange County, which saw a 74% pipeline expansion primarily due to a minimal, 780,000-square-foot pipeline in July 2024. Likewise, pipelines in Portland, Ore.; Phoenix; and the Central Valley in California continued their declines after falling 50% or more annually, whereas those in the Inland Empire, the Bay Area and Los Angeles experienced more moderate contractions.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:0,&quot;335551620&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The Central Valley was still the most affordable Western market in July, with average rents at $6.64 per square foot, climbing 6% annually. Conversely, Orange County ($16.91), Los Angeles ($15.32) and the Bay Area ($13.78) not only dominated regional pricing, but also claimed the nation&#8217;s three highest industrial rent rates. Still, there are signs of easing rental pressure. The Bay Area saw rents go up by a modest 2% Y-o-Y, while new leases signed in the last 12 months in Los Angeles were on par with in-place leases. Otherwise, the highest new lease premiums in the region were in the Inland Empire ($2.49 extra per square foot) and Seattle ($2.42 extra per square foot).<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Midwestern Markets<\/span><\/h3>\n<h2><span class=\"NormalTextRun SCXW173592012 BCX0\">3 <\/span><span class=\"NormalTextRun SCXW173592012 BCX0\">Midwestern Markets Record Negative Lease Spreads<\/span><\/h2>\n<p><span data-contrast=\"auto\">In July, Chicago was home to the largest industrial pipeline in the Midwest at 9.8 million square feet, representing a projected market expansion of 0.9%. While this figure marks an 8% decrease compared to the U.S. industrial markets report from 12 months prior, it also indicates a recovery after the dip earlier in the year. Meanwhile, industrial stock underway in Indianapolis nearly tripled year-over-year, surging from 1.83 million square feet in July 2024 to 5.27 million one year later. And, not to be outdone, Detroit&#8217;s pipeline reached just under 8 million square feet (up 7% annually), while Columbus&#8217; pipeline declined to 6.1 million square feet.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Leasing indicators continue to point toward tenant-favored conditions in several Midwestern locales. As a matter of fact, all regional markets recorded lease spreads below the national average with <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/mn\/minneapolis\/\" target=\"_blank\" rel=\"noopener\">Minneapolis<\/a>-St. Paul maintaining the widest spread at $1.38 per square foot, followed by Detroit\u2019s $0.96 and the $0.82 for <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/in\/indianapolis\/\" target=\"_blank\" rel=\"noopener\">industrial space in Indianapolis<\/a>. It&#8217;s worth mentioning that Cincinnati, Kansas City and Columbus were among only five markets nationwide that recorded negative lease spreads, meaning leases signed in the last 12 months averaged cheaper rates compared to average in-place rents as of July 2025. At the opposite end of the spectrum, Minneapolis-St. Paul boasted the highest average in-place rents at $7.36, followed by Detroit ($7.22) and <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/il\/chicago\/\" target=\"_blank\" rel=\"noopener\">Chicago<\/a> ($6.53), although these averages still sit well below the national benchmark of $8.63 per square foot.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<div id=\"datawrapper-vis-DciIJ\" style=\"min-height: 495px;\"><script type=\"text\/javascript\" defer src=\"https:\/\/datawrapper.dwcdn.net\/DciIJ\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-DciIJ\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/DciIJ\/full.png\" alt=\"Midwest Regional Highlights (Table)\" \/><\/noscript><\/div>\n<p>&nbsp;<\/p>\n<p><span data-contrast=\"auto\">Vacancy rates remained polarized in the Midwest in July. More precisely, vacant industrial space in Indianapolis reached 10.8% of the market after a 450-bps Y-o-Y increase \u2014 one of the most substantial vacancy spikes nationwide. Then, the Twin Cities and St. Louis recorded vacancies near the national average at 7.9% and 7.7%, respectively, although these figures are also up 230 and 260 bps annually. In contrast, vacancies for <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/mo\/kansas-city\/\" target=\"_blank\" rel=\"noopener\">Kansas City industrial space<\/a> dropped another 30 basis points month-over-month to reach 4.3% and secure the second-lowest rate nationwide.<\/span><\/p>\n<p><span data-contrast=\"auto\">Year-to-date sales in Chicago totaled $1.62 billion at the end of July, establishing the market as the nation&#8217;s fourth-most active for industrial transactions. However, Chicago also recorded the 10th-lowest average sale price per square foot nationally at just $95, trailing fellow Midwestern markets including Columbus ($104) and the Twin Cities ($105). All regional average sale prices remained well below the national average of $129 per square foot, with the nation&#8217;s most affordable markets being Cleveland ($55), Kansas City ($57) and Cincinnati ($66).<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Southern Markets<\/span><\/h3>\n<h2><span class=\"NormalTextRun SCXW192701807 BCX0\">DFW Transactions Exceed $2B as Construction <\/span><span class=\"NormalTextRun SCXW192701807 BCX0\">Also <\/span><span class=\"NormalTextRun SCXW192701807 BCX0\">Picks Up<\/span><\/h2>\n<p><span data-contrast=\"auto\">Average in-place rent rates remained affordable across the South in July. In this region, Miami was the only market with rates above the national average as rents here rested at $12.85 per square foot, which was flat month-over-month but up 10% Y-o-Y. Baltimore had the region\u2019s next-highest rental rate at $8.61, followed by Tampa\u2019s $8.37 and Charlotte\u2019s $7.35. The <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/tn\/memphis\/\" target=\"_blank\" rel=\"noopener\">Memphis industrial market<\/a> maintained its position as both the region&#8217;s and nation&#8217;s most affordable market at $4.27 per square foot (up 6% annually). Markets including Miami, <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/tn\/nashville\/\" target=\"_blank\" rel=\"noopener\">Nashville<\/a> and Atlanta recorded significant new lease premiums of $2.30 to $3.50 per square foot, whereas new leases for <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/nc\/charlotte\/\" target=\"_blank\" rel=\"noopener\">industrial space in Charlotte<\/a> were flat compared to in-place rents and those in Memphis were actually lower.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\"><a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/tx\/houston\/\" target=\"_blank\" rel=\"noopener\">Houston industrial properties<\/a> boasted the region\u2019s lowest vacancy rate at 6.9%, which is down considerably from the 9.3% it logged one year prior. Atlanta followed with 8%, while Nashville and Baltimore each recorded rates of 8.8%, although those figures represent increases from year-ago levels. Back in Texas, vacancies in Dallas-<a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/tx\/fort-worth\/\" target=\"_blank\" rel=\"noopener\">Fort Worth<\/a> remained elevated at 10.2% \u2014 up 310 bps on the year but trending down 70 bps month-over-month.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<div id=\"datawrapper-vis-wYfmf\" style=\"min-height: 528px;\"><script type=\"text\/javascript\" defer src=\"https:\/\/datawrapper.dwcdn.net\/wYfmf\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-wYfmf\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/wYfmf\/full.png\" alt=\"South Regional Highlights (Table)\" \/><\/noscript><\/div>\n<p>&nbsp;<\/p>\n<p><span data-contrast=\"auto\">An influx of more than $600 million into the Dallas-Fort Worth market last month brought its year-to-date total to more than $2.3 billion, nearly matching sales volumes from the same period in 2024. This surge also displaced New Jersey as the nation&#8217;s leading investment destination in the process, granting the Metroplex the title for the first time since March. Houston became the second Southern market to exceed $1b in sales so far this year, while Atlanta ($715 million), Charlotte ($674 million) and Nashville ($650 million) followed in the regional rankings. Sale prices continued their upward trajectory in Baltimore, reaching $193 per square foot in July \u2014 up from $179 in June and $129 one year ago \u2014 to maintain the market&#8217;s position as the South&#8217;s priciest for industrial acquisitions.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">The 12.4 million square feet of industrial space currently underway in Memphis is slated to expand the market\u2019s inventory by approximately 4.1% \u2014 marking the largest projected expansion out of all of the markets in our U.S. industrial market report. Dallas-Fort Worth and Houston are also primed for significant inventory expansions at 3% and 2.5%, respectively. In absolute terms, DFW still houses the largest industrial pipeline nationwide at 30.6 million square feet, ticking up slightly month-over-month and surging 88% annually. Paired with its active transaction landscape, this pipeline positions the Metroplex\u2019 industrial market as one of the best-poised for growth nationally, even considering its persistently elevated vacancy rate.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Northeastern Markets<\/span><\/h3>\n<h2><span class=\"TextRun SCXW82033532 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW82033532 BCX0\">Sluggish Industrial Expansion Drives Rent Premiums<\/span><\/span><\/h2>\n<p><span data-contrast=\"auto\">While New Jersey was surpassed by Dallas-Fort Worth in terms of year-to-date sales, the Northeast is still experiencing a surge in investor interest, our industrial real estate outlook shows. Namely, sales in New Jersey reached $1.84 billion in July, which is up 57% compared to year-to-date sales in July 2024. Additionally, year-to-date sales in Boston and Philadelphia approximately doubled compared to 2024, reaching $661 million and $536 million, respectively. In terms of price per square foot, New Jersey leads regionally with $245 \u2014 fourth nationally \u2014 followed by Boston&#8217;s $159. The region&#8217;s other Northeastern markets recorded average sale prices below the national average.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Otherwise, industrial construction in the Northeast remained muted across the region. Pipelines dropped in all markets except Bridgeport, with New Jersey maintaining the largest pipeline by square footage at 5.7 million square feet. Expansion was also low on a percentage-of-stock basis with projected market growth from developments currently underway ranging from 0.4% in Boston to 1.1% in Philadelphia.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<div id=\"datawrapper-vis-NngQs\" style=\"min-height: 372px;\"><script type=\"text\/javascript\" defer src=\"https:\/\/datawrapper.dwcdn.net\/NngQs\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-NngQs\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/NngQs\/full.png\" alt=\"Northeast Regional Highlights (Table)\" \/><\/noscript><\/div>\n<p>&nbsp;<\/p>\n<p><span class=\"TextRun SCXW58470780 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW58470780 BCX0\">Average in-place rents for <a href=\"https:\/\/www.commercialcafe.com\/industrial\/us\/ma\/boston\/\" target=\"_blank\" rel=\"noopener\">industrial space in Boston<\/a> stood at $11.<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">56<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> per square foot in July, ticking up <\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">18 <\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">cents month-over-month and <\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">climbing<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> 8% <\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">Y-o-Y<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">. <\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">Even so, t<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">he<\/span> <span class=\"NormalTextRun SCXW58470780 BCX0\">regional top<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> spot is still held by New Jersey, where average rents rested at $1<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">1.99<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> per square foot, up 1<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">3<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> cents from June 2025 and<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> growing by<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> $1.1<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">3<\/span> <span class=\"NormalTextRun SCXW58470780 BCX0\">since<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> July 2024. <\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">New lease spreads in Bridgeport remained elevated, with leases signed in the last 12 months commanding a $5-per-square-foot premium compared to in-place leases. <\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">Finally, t<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">he region&#8217;s other markets recorded comparatively high new lease premiums ranging from $2.<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">6<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">2<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> in Philadelphia to $3.<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">5<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\">1<\/span><span class=\"NormalTextRun SCXW58470780 BCX0\"> in Boston. A lengthened period of low supply combined with increased demand in coastal markets on the Eastern Seaboard may be driving tighter leasing conditions, particularly for high-tier properties.<\/span><\/span><span class=\"EOP SCXW58470780 BCX0\" data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<h3><span style=\"color: #0bbfeb;\">Economic Indicators<\/span><\/h3>\n<h2><span class=\"NormalTextRun SCXW209970384 BCX0\">E-commerce Sales Recover <\/span><span class=\"NormalTextRun SCXW209970384 BCX0\">but<\/span><span class=\"NormalTextRun SCXW209970384 BCX0\"> Fail to Match 2010s Boom<\/span><\/h2>\n<p><span data-contrast=\"auto\">E-commerce sales grew by 1.4% quarter-over-quarter and are up 5.3% Y-o-Y in Q2 2025, according to data from the U.S. Census Bureau. That represents a rebound in sales after a minor decline of 0.1% in Q1, which was nonetheless one of only two instances on record in which e-commerce sales volume fell.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p><span data-contrast=\"auto\">Notably, the share of e-commerce out of core retail sales was up by 10 bps in Q2 and now sits at 19.1%. Even so, this figure is still 10 bps lower than it was in Q4 2024, which was an all-time high (aside from the COVID-19 spike in Q2 2020).<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:0,&quot;335551620&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:257}\">\u00a0<\/span><\/p>\n<div class=\"flourish-embed flourish-chart\" data-src=\"visualisation\/24853900\"><script src=\"https:\/\/public.flourish.studio\/resources\/embed.js\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/public.flourish.studio\/visualisation\/24853900\/thumbnail\" width=\"100%\" alt=\"chart visualization\" \/><\/noscript><\/div>\n<p><span class=\"TextRun SCXW213002816 BCX0\" lang=\"EN-US\" xml:lang=\"EN-US\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW213002816 BCX0\">After the <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">initial<\/span><span class=\"NormalTextRun SCXW213002816 BCX0\"> pandemic boost to e-commerce sales \u2014 <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">which led <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">to a massive<\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">,<\/span><span class=\"NormalTextRun SCXW213002816 BCX0\"> 32.6% spike in Q2 2020 \u2014 growth has been more subdued this decade compared to the 2010s. Since the <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">initial<\/span><span class=\"NormalTextRun SCXW213002816 BCX0\"> shock, e-commerce sales have grown by 7.5% per year, <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">as <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">compared to 14.1% <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">annually<\/span><span class=\"NormalTextRun SCXW213002816 BCX0\"> in the years preceding the <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">pandemic. In fact, e-commerce sales are currently where they would be if there was no spike <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">in 2020 <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">and the<\/span><span class=\"NormalTextRun SCXW213002816 BCX0\"> pre-pandemic<\/span><span class=\"NormalTextRun SCXW213002816 BCX0\"> rate of growth <\/span><span class=\"NormalTextRun SCXW213002816 BCX0\">had carried over into the 2020s.<\/span><\/span><span class=\"EOP SCXW213002816 BCX0\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;201341983&quot;:0,&quot;335551550&quot;:1,&quot;335551620&quot;:1,&quot;335559685&quot;:0,&quot;335559737&quot;:0,&quot;335559738&quot;:0,&quot;335559739&quot;:160,&quot;335559740&quot;:259}\">\u00a0<\/span><\/p>\n<div id=\"datawrapper-vis-djVrM\" style=\"min-height: 532px;\"><script type=\"text\/javascript\" defer src=\"https:\/\/datawrapper.dwcdn.net\/djVrM\/embed.js\" charset=\"utf-8\" data-target=\"#datawrapper-vis-djVrM\"><\/script><noscript><img decoding=\"async\" src=\"https:\/\/datawrapper.dwcdn.net\/djVrM\/full.png\" alt=\"Table\" \/><\/noscript><\/div>\n<h2><span style=\"color: #0bbfeb;\">Methodology<\/span><\/h2>\n<p>The monthly CommercialCafe national industrial real estate report considers data recorded throughout the course of 12 months and tracks top U.S. industrial markets with a focus on average rents; vacancies (including subleases, but excluding owner-occupied properties); deals closed; pipeline yield; forecasts; and the economic indicators most relevant to the performance of the industrial sector. Listing rate and occupancy information was based on Yardi Research data.<\/p>\n<ul>\n<li><strong>Average Rents<\/strong>: Provided by Yardi Market Expert, a cutting-edge service that uses anonymized and aggregated data from other Yardi platforms to provide the most accurate rental and expense information available.<\/li>\n<li><strong>Vacancy<\/strong>: The total square feet vacant in a market, including subleases, divided by the total square feet of industrial space in that market. Owner-occupied buildings are not included in vacancy calculations.<\/li>\n<\/ul>\n<p><strong>Stages of the supply pipeline:\u00a0<\/strong><\/p>\n<ul>\n<li><strong>Planned:<\/strong> Buildings that are currently in the process of acquiring zoning approval and permits, but have not yet begun construction.<\/li>\n<li><strong>Under Construction<\/strong>: Buildings for which construction and excavation has begun.<\/li>\n<\/ul>\n<p><strong>Sales volume<\/strong> and <strong>price-per-square-foot calculations<\/strong> for portfolio transactions or those with unpublished dollar values are estimated using sales comps based on similar sales in the market and submarket, use type, location and asset ratings, sale date and property size.<\/p>\n<p><strong>Year-to-date metrics and data<\/strong> include the time period between January 1 of the current year through the month prior to publishing the report.<\/p>\n<p>Market boundaries in the CommercialCafe industrial report coincide with those defined by the <a href=\"https:\/\/www.commercialcafe.com\/commercial-markets\/\" target=\"_blank\" rel=\"noopener\">CommercialCafe Markets Map<\/a> and may differ from regional boundaries defined by other sources.<\/p>\n<h3><span style=\"color: #0bbfeb;\">Fair Use &amp; Redistribution<\/span><\/h3>\n<p>We encourage you and freely grant you permission to reuse, host, or repost the research, graphics, and images presented in this article. When doing so, we kindly ask that you credit our research by linking to CommercialCafe.com or this page so that your readers can learn more about this project, the research behind it and its methodology. For more in-depth, customized data, please contact us at <a href=\"mailto:prinfo@commercialcafe.com\" target=\"_blank\" rel=\"noopener\">prinfo@commercialcafe.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Year-to-date industrial transactions now total $33.8 billion, which is on par with sales in the same period of 2024 and 2023, showcasing the sector&#8217;s durability even in the face of trade and policy headwinds.<\/p>\n","protected":false},"author":71,"featured_media":45357,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"_wpas_customize_per_network":false},"categories":[42,4014,41],"tags":[],"class_list":["post-45453","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-reports","category-featured","category-industrial","wpautop"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v23.4 (Yoast SEO v24.6) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>U.S. National Industrial Report August 2025 | CommercialCafe<\/title>\n<meta name=\"description\" content=\"Despite headwinds from policy uncertainty, industrial transactions are leveling off, with sales so far in 2025 being on par with last year.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.commercialcafe.com\/blog\/national-industrial-report-august-2025\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Industrial Sales Remain Level Despite Headwinds\" \/>\n<meta property=\"og:description\" content=\"Despite headwinds from policy uncertainty, industrial transactions are leveling off, with sales so far in 2025 being on par with last year.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.commercialcafe.com\/blog\/national-industrial-report-august-2025\/\" \/>\n<meta property=\"og:site_name\" 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