1、Page 1U.S.industrial market report|Q2 2025U.S.industrial market reportQ2 2025Page 2U.S.industrial market report|Q2 2025Vacancy rates have continued to edge upward,reaching their highest level in over a decade as themarket works through a surplus of recentlydelivered space.While new construction hast

2、apered off,the elevated vacancy reflects atransitional phase where supply is being absorbedat a slower pace.Stabilization is expected asdemand gradually realigns with availableinventory.However,with fewer new projects inthe pipeline,a growing gap in new space couldconstrain options for tenants as le

3、asing activitypicks up later in the year.The industrial sector recorded its first quarter ofnegative net absorption since the Great Recession,signaling a notable shift in market dynamics.Industrial leasing remained relatively resilientoverall and was only slightly below the pre-COVIDten-year average

4、.Despite the headline negativeabsorption figure,activity levels suggest occupiersare still engaging the market,albeit morecautiously.Broader uncertainty continues to delaysome decision-making,but indicators point to apotential rebound in the remainder of the year asclarity improves.Manufacturing inv

5、estment continues toaccelerate,with over$2.7 trillion in commitmentsannounced since the start of the year.Theseprojects are expected to drive long-term industrialdemand,not only through direct facility needs butalso via the extensive supplier networks they willrequire.This wave of investment undersc

6、ores thesectors strategic importance and future growthpotential.With the recent passage of the BigBeautiful Bill,and with trade agreements on thehorizon,the flurry of manufacturing investmentsis expected to continue.national vacancy rate at highest point since 2011net absorption negative for first t