Atlanta Industrial Figures Report Q2 2026

Market Overview

Atlanta’s industrial market remained steady in Q2 2026, supported by strong tenant interest and leasing activity, though deals are taking longer to convert into signed transactions. Net absorption totaled 2.6-million sq. ft. and leasing activity reached 15.1-million sq. ft., reflecting active but more selective demand. Modern bulk distribution facilities continue to capture most demand, while smaller infill and traditional distribution buildings lease more slowly, resulting in rising availability. This shift helped push the direct vacancy rate to 8.2%, with pressure concentrated in smaller-format and legacy product. At the same time, 3.9-million sq. ft. delivered during the quarter, while the pipeline declined to 9.4-million sq. ft. as new starts remained limited. Deliveries are keeping near-term availability higher, while reduced construction is limiting future supply growth. The NNN asking rental rate increased 80 bps YoY to $7.76 per sq. ft., with landlords maintaining face rates while using concessions to complete deals as tenants focus more on total occupancy costs. Overall, demand remains intact but more concentrated. Larger, newer buildings are outperforming, while smaller and older inventory faces slower leasing and rising availability. With development constrained and bulk demand leading activity, the market is expected to continue stabilizing, though performance will continue to vary across building sizes and product types.