Detroit Industrial Figures Q4 2025

-The Detroit market posted an absorption of 848,191 sq. ft. in Q4. This figure is a 2.2% increase from the 5-year average of 831k sq. ft. of absorption per quarter. The year-to-date total absorption is 756,916 sq. ft.

-The construction pipeline has slightly decreased in Q4 with a total of 1.8M sq. ft. in new developments underway. The year-over-year delivery volume decreased by 58%, with around 900k sq. ft. expected to be delivered in Q1 26.

-The market vacancy rate was 3.4%, down 10 bps from the previous quarter and the third consecutive quarter of decline. Down 30 bps from the market 5-year peak of 3.7% in Q1 25.

-Leasing activity slowed in Q4 with 1.6M transacted, inclusive of all sizes. Transaction volume on deals greater than 50,000 sq. ft. had a 43.1% decline from the previous quarter and a 39% decline year-over-year.

-There were 2 leases larger than 300,000 sq. ft. and 2 leases between 100,000 and 200,000 sq. ft. Those 4 leases contributed 51% of the Q4 total leasing volume.