Albuquerque Industrial Figures Q4 2025

The Albuquerque industrial market staged a definitive recovery in Q4 2025, recording a positive net absorption of 493,935 sq. ft. and reversing a two-year contraction. Leasing activity reached 1.9 million sq. ft. for the year, an 94% year-over-year surge fueled by large-scale manufacturing commitments such as Maxeon Solar.

Reflecting this heightened demand, the availability rate fell 120 basis points (bps) annually to settle at 3.4%. The vacancy rate ended the year at 4.2%, marking its first quarterly decline in over two years. While Rio Rancho saw a rise in vacancy from the U.S. Cotton exit, high-velocity move-ins from other submarkets provided a counterbalancing force. Landlord pricing power remained firm, with average asking rents reaching $10.89 per sq. ft. NNN, a 10.5% increase over the previous year.

The development pipeline tightened at year-end given all that was under construction in Q4 2025 was pre-leased. Similarly, 79% of the year’s 473,406 sq. ft. of total deliveries was secured prior to completion. The scarcity of available new product, coupled with dominant national corporate interest, suggests a competitive landscape for quality space entering 2026.