The Central Florida industrial market posted 1.73 million SF of positive net absorption in Q2 2025, bringing vacancy down to 7.69% and pushing average asking rents to a high $9.93 PSF. While these headline numbers signal strength, nearly 70% of net absorption stemmed from a single 1.2 million SF lease, masking weaker activity among smaller tenants.
While in some instances demand seems to be waning on smaller spaces, smaller spaces between 10,000 to 50,000 SF still account for most transactions this quarter (35%), but only accounted for roughly 11% of the positive absorption. Under 10,000 SF was the most active segment by deal volume, but caused some slight negative absorption to the tune of 28,357 SF.
On the investment side, Q2 saw $186 million in closed transactions – down from the same period last year but still reflective of a healthy investment environment. Read More