New York City Industrial & Logistics Figures Q4 2025

New York City industrial leasing velocity was constant quarter-over-quarter at 711,000 sq. ft. in Q4 2025 and on par with the three-year quarterly average. Demand was driven by third-party logistics (3PL) providers and wholesale distributors leasing mid-size blocks. Leasing velocity ended 2025 at 3.6 million sq. ft., 36% higher year-over-year.

Vacancy continued its upward trend, increasing 50 bps to 6.9% after a large move out on Staten Island. The under-construction pipeline remained at 1.5 million sq. ft. after no properties started or completed construction. The average asking rent for all classes increased 3.6% quarter-over-quarter to $30.07 per sq. ft., while rents for existing and under construction Class A properties decreased 11.2% quarter-over-quarter to $31.46 per sq. ft. after a large availability came onto the market in Staten Island where rents trail the rest of the boroughs.