Charlotte Industrial Figures Q2 2026

Charlotte’s industrial market posted 1.3 million sq. ft. of net absorption during the quarter, though activity moderated as absorption declined 30% quarter over quarter. The slowdown was largely attributed to limited availability of large-block space exceeding 500,000 sq. ft., constraining large block tenants. Vacancy declined 10 basis points from the prior quarter to 7.1%, while average asking rents increased 6.5% year-over-year to $9.13 per sq. ft. Warehouse rents have begun a holding pattern while Flex product continues to see rent growth quarter-over-quarter, still boosting rents overall but at a slower growth rate.

Leasing activity remained a bright spot, surpassing 4.0 million sq. ft. for the second consecutive quarter and highlighted by Prime Beverage’s 934,000 sq. ft. full-building lease at 1000 Stanley Drive. The most active tenants currently in Charlotte include Retailers, E-commerce, Logistics, and surprisingly, a new subsector of data center suppliers following recent growth in the region for data center development.

The construction pipeline surged in 2024 but has since stabilized, with 5.4 million sq. ft. underway and 1.1 million sq. ft. delivered during the quarter.