{"id":10986,"date":"2026-11-02T09:30:31","date_gmt":"2026-11-02T09:30:31","guid":{"rendered":"https:\/\/www.yardimatrix.com\/blog\/?p=10986"},"modified":"2026-11-02T09:45:56","modified_gmt":"2026-11-02T09:45:56","slug":"us-industrial-market-outlook","status":"publish","type":"post","link":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/","title":{"rendered":"U.S. Industrial Market Outlook \u2013 October 2026"},"content":{"rendered":"\n<p>Industrial rents continued to rise in September as vacancy increased and the national construction pipeline expanded to 463.3 million square feet, according to the latest Yardi Matrix report.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-report-highlights\">Report highlights<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>National in-place industrial rents averaged $9.33 per square foot in September, up 5.3% year over year<\/li>\n\n\n\n<li>Industrial vacancy reached 9.7%, increasing 40 basis points month over month<\/li>\n\n\n\n<li>Industrial space under construction totaled 463.3 million square feet, or 2.2% of existing inventory<\/li>\n\n\n\n<li>Sales reached $74.7 billion through September, averaging $140 per square foot<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-leasing-conditions-and-rents\">Leasing conditions and rents<\/h2>\n\n\n\n<p>National in-place industrial rents increased two cents in September to $9.33 per square foot, reflecting annual growth of 5.3%, according to the October 2026 Yardi Matrix Industrial National Report. Meanwhile, the national vacancy rate reached 9.7%, increasing 40 basis points from August and 20 basis points year over year. Despite continued rent growth, the rise in vacancy and narrowing new-lease premiums point to changing leasing conditions as markets absorb additional industrial space.<\/p>\n\n\n\n<iframe title=\"Under-construction industrial pipeline\" aria-label=\"Table\" id=\"datawrapper-chart-xdyXe\" src=\"https:\/\/datawrapper.dwcdn.net\/xdyXe\/2\/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"428\" data-external=\"1\"><\/iframe><script type=\"text\/javascript\">(function(){function e(){window.addEventListener(`message`,function(e){if(e.data[`datawrapper-height`]!==void 0){var t=document.querySelectorAll(`iframe`);for(var n in e.data[`datawrapper-height`])for(var r=0,i;i=t[r];r++)if(i.contentWindow===e.source){var a=e.data[`datawrapper-height`][n]+`px`;i.style.height=a}}})}e()})();<\/script>\n\n\n\n<p>Leases signed during the previous 12 months averaged $10.13 per square foot nationally, representing an 80-cent premium over existing leases. That spread has narrowed by 48 cents over the past year and $1.40 over two years. Nevertheless, significant differences remain across markets. Bridgeport recorded the largest premium for newly signed leases at $3.98 per square foot, followed by Miami at $2.79 and Dallas\u2013Fort Worth at $2.48.<\/p>\n\n\n\n<p>Sun Belt markets continued to lead annual in-place rent growth. Dallas\u2013Fort Worth posted the strongest increase at 7.9%, followed by Miami at 7.5%, while Atlanta and the Inland Empire each recorded 7% gains. Miami&#8217;s average in-place rent reached $14.18 per square foot, supported by its international trade connections, population growth and geographic development constraints. Among the highest-priced markets, Orange County averaged $18.28 per square foot, compared with $15.96 in Los Angeles and $15.29 in the Bay Area.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-supply-pipeline-and-transactions\">Supply pipeline and transactions<\/h2>\n\n\n\n<p>Industrial construction activity continued to accelerate, with 463.3 million square feet underway nationwide in September, equivalent to 2.2% of existing stock. The pipeline has expanded from 357.4 million square feet in January. Development starts reached 274.4 million square feet during the first three quarters of 2026, following 342.1 million square feet in all of 2025. Owner-occupied properties accounted for 27% of this year&#8217;s starts through September, representing 76.1 million square feet. Power availability, rising material prices and longer entitlement processes remain important obstacles to further expansion.<\/p>\n\n\n\n<p>Dallas led the national construction pipeline with 39.6 million square feet underway, followed by Phoenix at 31.4 million, Houston at 23.3 million and Atlanta at 21.4 million. Measured against existing stock, Phoenix ranked first with 6.9% under construction, followed by Columbus at 5.1%, Dallas at 3.7% and Atlanta at 3.5%. Phoenix also recorded the largest combined under-construction and planned pipeline, representing 14.4%of inventory.<\/p>\n\n\n\n<iframe title=\"Under-construction industrial pipeline (as percentage of stock)\" aria-label=\"Table\" id=\"datawrapper-chart-tmav0\" src=\"https:\/\/datawrapper.dwcdn.net\/tmav0\/2\/\" scrolling=\"no\" frameborder=\"0\" style=\"width: 0; min-width: 100% !important; border: none;\" height=\"473\" data-external=\"1\"><\/iframe><script type=\"text\/javascript\">(function(){function e(){window.addEventListener(`message`,function(e){if(e.data[`datawrapper-height`]!==void 0){var t=document.querySelectorAll(`iframe`);for(var n in e.data[`datawrapper-height`])for(var r=0,i;i=t[r];r++)if(i.contentWindow===e.source){var a=e.data[`datawrapper-height`][n]+`px`;i.style.height=a}}})}e()})();<\/script>\n\n\n\n<p>On the investment front, industrial sales totaled $74.7 billion during the first nine months of 2026, with properties trading at an average of $140 per square foot. Dallas\u2013Fort Worth led transaction volume at $5.1 billion, followed by Chicago at $4.4 billion. Chicago&#8217;s average sales price reached $123 per square foot, although a $750 million data center acquisition significantly influenced that figure.<\/p>\n\n\n\n<p>Excluding data centers, the market averaged $101 per square foot, up 10.3% from 2025. Pricing remained considerably higher in the Bay Area at $303 per square foot and Orange County at $279. The October report highlights a sector where development and investment activity continue to expand despite higher costs and shifting leasing conditions.<\/p>\n\n\n\n<p>Read the full Yardi Matrix Industrial Market Report: <a href=\"https:\/\/www.yardimatrix.com\/industrial-national\/matrix-industrial-national-report-october-2026\/\">October 2026<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Industrial rents continued to rise in September as vacancy increased and the national construction pipeline expanded to 463.3 million square feet, according to the latest Yardi Matrix report. Report highlights Leasing conditions and rents National in-place industrial rents increased two cents in September to $9.33 per square foot, reflecting annual growth of 5.3%, according to [&hellip;]<\/p>\n","protected":false},"author":3014,"featured_media":10987,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[216,4],"tags":[336],"class_list":["post-10986","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industrial-market","category-real-estate-trends","tag-industrial-real-estate-outlook"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>U.S. Industrial Market Outlook \u2013 October 2026 - Yardi Matrix Blog<\/title>\n<meta name=\"description\" content=\"Industrial performance remains steady as policy shifts and new supply shape market fundamentals, the latest Yardi Matrix report shows.\" \/>\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.yardimatrix.com\/blog\/us-industrial-market-outlook\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"U.S. Industrial Market Outlook \u2013 October 2026\" \/>\n<meta property=\"og:description\" content=\"Industrial performance remains steady as policy shifts and new supply shape market fundamentals, the latest Yardi Matrix report shows.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/\" \/>\n<meta property=\"og:site_name\" content=\"Yardi Matrix Blog\" \/>\n<meta property=\"article:published_time\" content=\"2026-11-02T09:30:31+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-11-02T09:45:56+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2026\/10\/iStock-2292018827.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"900\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Diana Firtea\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Diana Firtea\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"U.S. Industrial Market Outlook \u2013 October 2026 - Yardi Matrix Blog","description":"Industrial performance remains steady as policy shifts and new supply shape market fundamentals, the latest Yardi Matrix report shows.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/","og_locale":"en_US","og_type":"article","og_title":"U.S. Industrial Market Outlook \u2013 October 2026","og_description":"Industrial performance remains steady as policy shifts and new supply shape market fundamentals, the latest Yardi Matrix report shows.","og_url":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/","og_site_name":"Yardi Matrix Blog","article_published_time":"2026-11-02T09:30:31+00:00","article_modified_time":"2026-11-02T09:45:56+00:00","og_image":[{"width":1200,"height":900,"url":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2026\/10\/iStock-2292018827.jpg","type":"image\/jpeg"}],"author":"Diana Firtea","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Diana Firtea","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#article","isPartOf":{"@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/"},"author":{"name":"Diana Firtea","@id":"https:\/\/www.yardimatrix.com\/blog\/#\/schema\/person\/a0c04b9de1387474e28c9ebdb0444e59"},"headline":"U.S. Industrial Market Outlook \u2013 October 2026","datePublished":"2026-11-02T09:30:31+00:00","dateModified":"2026-11-02T09:45:56+00:00","mainEntityOfPage":{"@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/"},"wordCount":531,"commentCount":0,"publisher":{"@id":"https:\/\/www.yardimatrix.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#primaryimage"},"thumbnailUrl":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2026\/10\/iStock-2292018827.jpg","keywords":["Industrial Real Estate Outlook"],"articleSection":["Industrial Market","Real Estate Trends"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/","url":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/","name":"U.S. Industrial Market Outlook \u2013 October 2026 - Yardi Matrix Blog","isPartOf":{"@id":"https:\/\/www.yardimatrix.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#primaryimage"},"image":{"@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#primaryimage"},"thumbnailUrl":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2026\/10\/iStock-2292018827.jpg","datePublished":"2026-11-02T09:30:31+00:00","dateModified":"2026-11-02T09:45:56+00:00","description":"Industrial performance remains steady as policy shifts and new supply shape market fundamentals, the latest Yardi Matrix report shows.","breadcrumb":{"@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#primaryimage","url":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2026\/10\/iStock-2292018827.jpg","contentUrl":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2026\/10\/iStock-2292018827.jpg","width":1200,"height":900,"caption":"Image by Bilanol\/iStock"},{"@type":"BreadcrumbList","@id":"https:\/\/www.yardimatrix.com\/blog\/us-industrial-market-outlook\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.yardimatrix.com\/blog\/"},{"@type":"ListItem","position":2,"name":"U.S. Industrial Market Outlook \u2013 October 2026"}]},{"@type":"WebSite","@id":"https:\/\/www.yardimatrix.com\/blog\/#website","url":"https:\/\/www.yardimatrix.com\/blog\/","name":"Yardi Matrix Blog","description":"Stay current with the latest commercial real estate market trends and forecasts","publisher":{"@id":"https:\/\/www.yardimatrix.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.yardimatrix.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.yardimatrix.com\/blog\/#organization","name":"Yardi Matrix","url":"https:\/\/www.yardimatrix.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.yardimatrix.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2020\/11\/Inline_Matrix_Color_es-1.jpg","contentUrl":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2020\/11\/Inline_Matrix_Color_es-1.jpg","width":200,"height":39,"caption":"Yardi Matrix"},"image":{"@id":"https:\/\/www.yardimatrix.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.linkedin.com\/company\/yardi-matrix\/","https:\/\/www.youtube.com\/channel\/UCRHgAZL4YoyeNEdiRN5uj0g"]},{"@type":"Person","@id":"https:\/\/www.yardimatrix.com\/blog\/#\/schema\/person\/a0c04b9de1387474e28c9ebdb0444e59","name":"Diana Firtea","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2025\/04\/Diana-Firtea-1.jpg?w=96","url":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2025\/04\/Diana-Firtea-1.jpg?w=96","contentUrl":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2025\/04\/Diana-Firtea-1.jpg?w=96","caption":"Diana Firtea"},"description":"Diana Firtea is an associate editor with Commercial Property Executive and Multi-Housing News. She has been with the company for almost four years and joined the CPE-MHN team in 2022. Diana writes stories on different topics, mainly focusing on the affordable, senior, office and retail markets. You can reach out to her at diana.firtea@cpe-mhn.com.","url":"https:\/\/www.yardimatrix.com\/blog\/author\/diana-firtea\/"}]}},"jetpack_featured_media_url":"https:\/\/www.yardimatrix.com\/blog\/wp-content\/uploads\/sites\/39\/2026\/10\/iStock-2292018827.jpg","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/posts\/10986","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/users\/3014"}],"replies":[{"embeddable":true,"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/comments?post=10986"}],"version-history":[{"count":10,"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/posts\/10986\/revisions"}],"predecessor-version":[{"id":11018,"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/posts\/10986\/revisions\/11018"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/media\/10987"}],"wp:attachment":[{"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/media?parent=10986"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/categories?post=10986"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.yardimatrix.com\/blog\/wp-json\/wp\/v2\/tags?post=10986"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}