{"id":7836,"date":"2025-10-14T16:23:36","date_gmt":"2025-10-14T23:23:36","guid":{"rendered":"https:\/\/www.lee-associates.com\/northwest\/?p=7836"},"modified":"2026-07-07T13:20:37","modified_gmt":"2026-07-07T20:20:37","slug":"q3-2025-expanded-puget-sound-industrial-market-report","status":"publish","type":"post","link":"https:\/\/www.lee-associates.com\/northwest\/2025\/10\/14\/q3-2025-expanded-puget-sound-industrial-market-report\/","title":{"rendered":"Q3 2025 Expanded Puget Sound Industrial Market Report"},"content":{"rendered":"
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\n\t\t\t\t\t\tINDUSTRIAL MARKET OVERVIEW<\/strong>\t\t\t\t\t\t<\/h3>\n\t\t\t\t\t\t<\/div>\n<\/div><\/div><\/div>
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The Pacific Northwest industrial market continued to face headwinds in Q3 2025, with vacancy climbing to 8.79% as sluggish tenant demand and a wave of second generation space returned to the market. Net absorption remained negative, though at a slower pace than Q2, suggesting some stabilization. Average annual NNN rents held firm at $15.50\/SF, as newer Class A assets kept pricing buoyant despite softer demand in older product. Investment sales volume increased, with pricing drifting lower and cap rates ticking upward. Tariff-driven cost pressures on construction and imported goods added another layer of uncertainty, affecting both development pipelines and tenants reliant on trade. Even so, Washington\u2019s strong trade corridors and export-driven user base provide a foundation for cautious optimism as the market looks to regain balance heading into 2026.<\/p>\n<\/div>\n<\/div><\/div><\/div>

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\n\t\t\t\t\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tDownload Market Report to View More Details<\/a>\t\t\t\t\t\t<\/h4>\n\t\t\t\t\t\t<\/div>\n<\/div><\/div><\/div><\/div><\/div>
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\u25b2<\/td>\n(1,041,157) SF<\/strong>
\nNet Absorption<\/td>\n<\/tr>\n
\u25b2<\/td>\n8.79%<\/strong>
\nVacancy Rate<\/td>\n<\/tr>\n
\u25b2<\/td>\n5,487,421 SF<\/strong>
\nUnder Construction
\n(Details on Page 9 of Report)<\/td>\n<\/tr>\n
\u25b2<\/td>\n365,023,177 SF<\/strong>
\nInventory SF<\/td>\n<\/tr>\n
\u25bc<\/td>\n$15.50 PSF<\/strong>
\nAverage Market Rent \/ SF
\n(1.31\/SF Average Monthly Rent)<\/td>\n<\/tr>\n
\u25b2<\/td>\n$762,169,806<\/strong>
\nSales Volume<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n<\/div><\/div><\/div><\/div>
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\n\t\t\t\n\t\t\n\t\t\t\n\t\t\tCLICK FOR MORE DETAILS FROM THIS REPORT\t\t<\/span>\n\t\t\t<\/a>\n\t<\/div>\n<\/div><\/div><\/div>
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<\/div><\/div><\/div>","protected":false},"excerpt":{"rendered":"

The Pacific Northwest industrial market continued to face headwinds in Q3 2025, with vacancy climbing to 8.79% as sluggish tenant demand and a wave of second generation space returned to the market. Net absorption remained negative, though at a slower pace than Q2, suggesting some stabilization. Average annual NNN rents held firm at $15.50\/SF, as newer Class A assets kept pricing buoyant despite softer demand in older product. Investment sales volume increased, with pricing drifting…<\/p>\n","protected":false},"author":244,"featured_media":7837,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1084,1136],"tags":[1137],"class_list":["post-7836","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industrial","category-market-report","tag-market-report"],"yoast_head":"\nQ3 2025 Expanded Puget Sound Industrial Market Report - Lee & Associates Pacific Northwest<\/title>\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.lee-associates.com\/northwest\/2025\/10\/14\/q3-2025-expanded-puget-sound-industrial-market-report\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Q3 2025 Expanded Puget Sound Industrial Market Report\" \/>\n<meta property=\"og:description\" content=\"The Pacific Northwest industrial market continued to face headwinds in Q3 2025, with vacancy climbing to 8.79% as sluggish tenant demand and a wave of second generation space returned to the market. 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Investment sales volume increased, with pricing drifting...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.lee-associates.com\/northwest\/2025\/10\/14\/q3-2025-expanded-puget-sound-industrial-market-report\/\" \/>\n<meta property=\"og:site_name\" content=\"Lee & Associates Pacific Northwest\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/nwleeassociates\/\" \/>\n<meta property=\"article:published_time\" content=\"2025-10-14T23:23:36+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-07-07T20:20:37+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.lee-associates.com\/northwest\/wp-content\/uploads\/sites\/74\/2025\/10\/Website-Cover.png\" \/>\n\t<meta property=\"og:image:width\" content=\"1386\" \/>\n\t<meta property=\"og:image:height\" content=\"941\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"sthomson\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@NWLeeAssociates\" \/>\n<meta name=\"twitter:site\" content=\"@NWLeeAssociates\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"sthomson\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/2025\\\/10\\\/14\\\/q3-2025-expanded-puget-sound-industrial-market-report\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/2025\\\/10\\\/14\\\/q3-2025-expanded-puget-sound-industrial-market-report\\\/\"},\"author\":{\"name\":\"sthomson\",\"@id\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/#\\\/schema\\\/person\\\/931b1b7e88eab37109aec4c62a449a56\"},\"headline\":\"Q3 2025 Expanded Puget Sound Industrial Market Report\",\"datePublished\":\"2025-10-14T23:23:36+00:00\",\"dateModified\":\"2026-07-07T20:20:37+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/2025\\\/10\\\/14\\\/q3-2025-expanded-puget-sound-industrial-market-report\\\/\"},\"wordCount\":483,\"publisher\":{\"@id\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/2025\\\/10\\\/14\\\/q3-2025-expanded-puget-sound-industrial-market-report\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/wp-content\\\/uploads\\\/sites\\\/74\\\/2025\\\/10\\\/Website-Cover.png\",\"keywords\":[\"market report\"],\"articleSection\":[\"Industrial\",\"Market Report\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/2025\\\/10\\\/14\\\/q3-2025-expanded-puget-sound-industrial-market-report\\\/\",\"url\":\"https:\\\/\\\/www.lee-associates.com\\\/northwest\\\/2025\\\/10\\\/14\\\/q3-2025-expanded-puget-sound-industrial-market-report\\\/\",\"name\":\"Q3 2025 Expanded Puget Sound Industrial Market Report - 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