Figures

Inland Empire Industrial Figures Q3 2026

Despite a leasing slowdown, positive absorption and rising development continue

October 9, 2026 5 Minute Read

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  • Vacancy in the Inland Empire (IE) Core fell 10 basis-points (bps) quarter-over-quarter to 7.3% in Q3 2026, with the IE West holding steady 5.9% while the IE East saw a 30-bps drop to 8.7%.

 

  • As the summer slowdown hit across the IE Core, new Leasing activity decreased 28% quarter-over-quarter to 11.2 million sq. ft., down from the record high of 15.5 million sq. ft. of new leasing in Q2 2026.

 

  • Asking lease rates in the IE Core averaged $1.08 NNN per sq. ft. per month in Q3 2026, unchanged from Q2 2026. Within the IE Core, average asking rates were $1.15 NNN per sq. ft. per month in IE West and $1.04 NNN per sq. ft. per month in IE East.

 

  • Taking lease rates in the IE Core fell $0.04, or 3.8%, quarter-over-quarter to $1.01 NNN per sq. ft. per month. Both submarkets saw declining rates, with the average taking lease rate in the IE West falling $0.06 quarter-over-quarter to $1.05 NNN per sq. ft. per month, while the IE East saw taking rates drop by $0.01 to $0.93 NNN per sq. ft. per month.

 

  • Growing interest in big box industrial development pushed the under construction pipeline to 8.3 million sq. ft. in Q3 2026, a 34.8% increase quarter-over-quarter and 7.5% above Q3 2025.