{"id":9315,"date":"2026-09-16T11:18:18","date_gmt":"2026-09-16T18:18:18","guid":{"rendered":"https:\/\/www.lee-associates.com\/northwest\/?p=9315"},"modified":"2026-09-16T11:21:01","modified_gmt":"2026-09-16T18:21:01","slug":"q2-2026-industrial-market-report","status":"publish","type":"post","link":"https:\/\/www.lee-associates.com\/northwest\/2026\/09\/16\/q2-2026-industrial-market-report\/","title":{"rendered":"Q2 2026 Industrial Market Report"},"content":{"rendered":"<div id=\"pl-9315\"  class=\"panel-layout\" ><div id=\"pg-9315-0\"  class=\"panel-grid panel-no-style\" ><div id=\"pgc-9315-0-0\"  class=\"panel-grid-cell\" ><div id=\"panel-9315-0-0-0\" class=\"so-panel widget widget_sow-image panel-first-child panel-last-child\" data-index=\"0\" ><div\n\t\t\t\n\t\t\tclass=\"so-widget-sow-image so-widget-sow-image-default-c4f6304fc136-9315\"\n\t\t\t\n\t\t>\n<div class=\"sow-image-container\">\n\t\t\t<a href=\"https:\/\/www.lee-associates.com\/northwest\/wp-content\/uploads\/sites\/74\/2026\/07\/Q2-2026-Puget-Sound-Market-Report.pdf\"\n\t\t\ttarget=\"_blank\" rel=\"noopener noreferrer\" \t\t>\n\t\t\t<img \n\tsrc=\"https:\/\/www.lee-associates.com\/northwest\/wp-content\/uploads\/sites\/74\/2026\/07\/Cover-Page.png\" width=\"396\" height=\"512\" srcset=\"https:\/\/www.lee-associates.com\/northwest\/wp-content\/uploads\/sites\/74\/2026\/07\/Cover-Page.png 396w, https:\/\/www.lee-associates.com\/northwest\/wp-content\/uploads\/sites\/74\/2026\/07\/Cover-Page-232x300.png 232w\" sizes=\"(max-width: 396px) 100vw, 396px\" title=\"Cover Page\" alt=\"\" \t\tclass=\"so-widget-image\"\/>\n\t\t\t<\/a><\/div>\n\n<\/div><\/div><\/div><div id=\"pgc-9315-0-1\"  class=\"panel-grid-cell\" ><div id=\"panel-9315-0-1-0\" class=\"so-panel widget widget_sow-editor panel-first-child\" data-index=\"1\" ><div class=\"panel-widget-style panel-widget-style-for-9315-0-1-0\" ><div\n\t\t\t\n\t\t\tclass=\"so-widget-sow-editor so-widget-sow-editor-base\"\n\t\t\t\n\t\t>\n<div class=\"siteorigin-widget-tinymce textwidget\">\n\t<div id=\"panel-38137-0-0-0\" class=\"so-panel widget widget_sow-editor panel-first-child\" data-index=\"0\">\n<div class=\"panel-widget-style panel-widget-style-for-38137-0-0-0\">\n<div class=\"so-widget-sow-editor so-widget-sow-editor-base\">\n<div class=\"siteorigin-widget-tinymce textwidget\">\n<h2>INDUSTRIAL MARKET OVERVIEW<\/h2>\n<p>Puget Sound\u2019s industrial market shows signs of continued slow recovery as we mark the first have of 2026. 12-month net absorption fell further to (2.01M SF) from (1.78M SF) in Q1, pushing vacancy up to 10.01% from 9.71%, reflecting slower expansion and ongoing delivery absorption rather than a demand break. Asking rents showed a slight increase to ~$1.24 PSF\/month ($14.83 PSF annually), while cap rates edged up to 6.30% and sales pricing further softened to $211.71 PSF. Tenants retain meaningful leverage given elevated availability, driving continued concessions and flexible deal structures as landlords compete for occupancy. Construction slowed to 1.93M SF from 2.57M SF, while inventory reached 369.65M SF. Overall, the market remains in controlled digestion, with pricing adjusting and conditions gradually stabilizing. <a href=\"https:\/\/www.lee-associates.com\/northwest\/wp-content\/uploads\/sites\/74\/2026\/07\/Pacific-Northwest-Industrial.pdf\">READ MORE &gt;<\/a><\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div><\/div><\/div><div id=\"panel-9315-0-1-1\" class=\"so-panel widget widget_sow-button\" data-index=\"2\" ><div\n\t\t\t\n\t\t\tclass=\"so-widget-sow-button so-widget-sow-button-flat-b2e721af0909-9315\"\n\t\t\t\n\t\t><div class=\"ow-button-base ow-button-align-left\"\n>\n\t\t\t<a\n\t\t\t\t\thref=\"https:\/\/www.lee-associates.com\/research\/\"\n\t\t\t\t\tclass=\"sowb-button ow-icon-placement-left ow-button-hover\" \t>\n\t\t<span>\n\t\t\t\n\t\t\tNATIONAL REPORTS\t\t<\/span>\n\t\t\t<\/a>\n\t<\/div>\n<\/div><\/div><div id=\"panel-9315-0-1-2\" class=\"so-panel widget widget_sow-button panel-last-child\" data-index=\"3\" ><div\n\t\t\t\n\t\t\tclass=\"so-widget-sow-button so-widget-sow-button-flat-c4c46ef2d678-9315\"\n\t\t\t\n\t\t><div class=\"ow-button-base ow-button-align-left\"\n>\n\t\t\t<a\n\t\t\t\t\thref=\"https:\/\/www.lee-associates.com\/northwest\/commercial-real-estate-research\/\"\n\t\t\t\t\tclass=\"sowb-button ow-icon-placement-left ow-button-hover\" \t>\n\t\t<span>\n\t\t\t\n\t\t\tRESEARCH ARCHIVE\t\t<\/span>\n\t\t\t<\/a>\n\t<\/div>\n<\/div><\/div><\/div><\/div><div id=\"pg-9315-1\"  class=\"panel-grid panel-no-style\" ><div id=\"pgc-9315-1-0\"  class=\"panel-grid-cell\" ><div id=\"panel-9315-1-0-0\" class=\"so-panel widget widget_sow-button panel-first-child panel-last-child\" data-index=\"4\" ><div\n\t\t\t\n\t\t\tclass=\"so-widget-sow-button so-widget-sow-button-wire-88f4b320eb99-9315\"\n\t\t\t\n\t\t><div class=\"ow-button-base ow-button-align-center\"\n>\n\t\t\t<a\n\t\t\t\t\thref=\"https:\/\/www.lee-associates.com\/northwest\/wp-content\/uploads\/sites\/74\/2026\/07\/Q2-2026-Puget-Sound-Market-Report.pdf\"\n\t\t\t\t\tclass=\"sowb-button ow-icon-placement-left ow-button-hover\" target=\"_blank\" rel=\"noopener noreferrer\" \t>\n\t\t<span>\n\t\t\t\n\t\t\tFULL REPORT\t\t<\/span>\n\t\t\t<\/a>\n\t<\/div>\n<\/div><\/div><\/div><div id=\"pgc-9315-1-1\"  class=\"panel-grid-cell panel-grid-cell-empty\" ><\/div><div id=\"pgc-9315-1-2\"  class=\"panel-grid-cell panel-grid-cell-empty panel-grid-cell-mobile-last\" ><\/div><div id=\"pgc-9315-1-3\"  class=\"panel-grid-cell panel-grid-cell-empty\" ><\/div><\/div><div id=\"pg-9315-2\"  class=\"panel-grid panel-no-style\" ><div id=\"pgc-9315-2-0\"  class=\"panel-grid-cell panel-grid-cell-empty\" ><\/div><div id=\"pgc-9315-2-1\"  class=\"panel-grid-cell panel-grid-cell-empty\" ><\/div><div id=\"pgc-9315-2-2\"  class=\"panel-grid-cell panel-grid-cell-empty panel-grid-cell-mobile-last\" ><\/div><div id=\"pgc-9315-2-3\"  class=\"panel-grid-cell panel-grid-cell-empty\" ><\/div><\/div><\/div>","protected":false},"excerpt":{"rendered":"<p>INDUSTRIAL MARKET OVERVIEW Puget Sound\u2019s industrial market shows signs of continued slow recovery as we mark the first have of 2026. 12-month net absorption fell further to (2.01M SF) from (1.78M SF) in Q1, pushing vacancy up to 10.01% from 9.71%, reflecting slower expansion and ongoing delivery absorption rather than a demand break. Asking rents showed a slight increase to ~$1.24 PSF\/month ($14.83 PSF annually), while cap rates edged up to 6.30% and sales pricing&#8230;<\/p>\n","protected":false},"author":183,"featured_media":9316,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1084,1136],"tags":[1137,1186,1187],"class_list":["post-9315","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industrial","category-market-report","tag-market-report","tag-multifamily","tag-research"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.5 (Yoast SEO v28.5) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Q2 2026 Industrial Market Report - Lee &amp; Associates Pacific Northwest<\/title>\n<meta name=\"description\" content=\"Read the Q2 2026 Puget Sound Market Report with expert analysis of office, industrial, multifamily, and retail commercial real estate trends.\" \/>\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\/2026\/09\/16\/q2-2026-industrial-market-report\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Q2 2026 Industrial Market Report\" \/>\n<meta property=\"og:description\" content=\"Read the Q2 2026 Puget Sound Market Report with expert analysis of office, industrial, multifamily, and retail commercial real estate trends.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.lee-associates.com\/northwest\/2026\/09\/16\/q2-2026-industrial-market-report\/\" \/>\n<meta property=\"og:site_name\" content=\"Lee &amp; 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