The U.S. industrial real estate market is showing signs of stabilization after several years of rapid growth, according to Colliers’ new Markets That Move America report, which tracks the country’s top 25 largest industrial markets by inventory.
The report found that construction pipelines are shrinking, vacancy rates are rising more gradually, and net absorption is leveling off. On average, quarterly net absorption increased by just 200,000 square feet over the past year, a sign that demand is returning to more balanced levels.
The table below looks at the 25 largest U.S. industrial markets, ranked by inventory, along with key data on vacancy, rents, and construction activity.
| Rank | Market | Inventory (SF) | Vacancy Rate | Rent | Net Absorption YTD | Under Construction |
|---|---|---|---|---|---|---|
| 1 | Greater Los Angeles | 1.74B | 4.9% | $15.75 | 5.0M SF | 17.8M SF |
| 2 | Chicago | 1.55B | 4.8% | $8.03 | 872K SF | 10.4M SF |
| 3 | Dallas-Fort Worth | 1.11B | 9.3% | $9.88 | 6.9M SF | 25.4M SF |
| 4 | Atlanta | 917M | 8.8% | $8.70 | 811K SF | 13.6M SF |
| 5 | New York City Metro | 891M | 6.4% | $17.00 | -5.9M SF | 4.4M SF |
| 6 | Houston | 783M | 6.8% | $9.95 | 1.0M SF | 16.7M SF |
| 7 | Detroit | 647M | 4.7% | $7.14 | -2.2M SF | 2.2M SF |
| 8 | West-Central Florida | 586M | 7.6% | $10.89 | 350K SF | 10.0M SF |
| 9 | San Francisco Bay Area | 579M | 7.8% | $14.74 | 79K SF | 4.2M SF |
| 10 | Philadelphia | 551M | 7.7% | $11.14 | -1.0M SF | 12.6M SF |
| 11 | Phoenix | 449M | 13.2% | $12.65 | 4.1M SF | 12.6M SF |
| 12 | South Florida | 442M | 6.4% | $16.77 | -1.3M SF | 7.0M SF |
| 13 | Minneapolis-St. Paul | 409M | 4.3% | $7.89 | 779K SF | 3.3M SF |
| 14 | Charlotte | 395M | 8.0% | $9.06 | 1.6M SF | 5.6M SF |
| 15 | Cleveland | 365M | 3.1% | $4.60 | 145K SF | 3.2M SF |
| 16 | Columbus | 363M | 8.4% | $7.19 | 3.5M SF | 4.2M SF |
| 17 | Indianapolis | 353M | 10.8% | $5.99 | 571K SF | 2.6M SF |
| 18 | Seattle/Puget Sound | 340M | 7.9% | $12.64 | -40K SF | 5.4M SF |
| 19 | Memphis | 306M | 9.4% | $4.14 | -1.2M SF | 3.3M SF |
| 20 | Kansas City | 302M | 5.0% | $5.37 | 3.2M SF | 7.4M SF |
| 21 | Cincinnati | 293M | 5.2% | $5.88 | 468K SF | 2.7M SF |
| 22 | Denver | 290M | 8.5% | $10.80 | 834K SF | 5.1M SF |
| 23 | Milwaukee | 290M | 8.3% | $6.01 | -735K SF | 3.1M SF |
| 24 | St. Louis, MO | 277M | 4.8% | $5.96 | 943K SF | 3.3M SF |
| 25 | Portland | 271M | 6.3% | $10.86 | -576K SF | 1.9M SF |
Colliers expects vacancy rates to peak later this year, as new construction continues to slow and demand remains steady. While rent growth has eased after a period of double-digit increases, the nation’s top 25 industrial markets remain critical hubs for U.S. logistics activity in 2025 and beyond.
