Palm Beach Industrial Figures - Q1 2026

Palm Beach’s industrial market is stabilizing, but unevenly. Vacancy ticked down 10 basis points to 7.7% in Q1 2026, and net absorption was positive at 31,000 sq. ft. Asking rents rose to $13.87, the first meaningful uptick after a 14% decline from the Q4 2023 peak of $15.20 to a trough of $13.04 in Q3 2025.

The correction was supply-driven. Nearly 4.8 million sq. ft. delivered since 2022, with 1.8 million of that concentrated in northern Palm Beach County’s Out of Submarket corridor, large-format bulk product priced at $8.50–$11.00 that doesn’t match the county’s core demand profile. Over 1.2 million sq. ft. of that product remains available, compressing the countywide average and inflating headline vacancy.

Strip out the northern bulk overhang and the story changes. Core submarkets like Lake Worth (1.0% vacancy), Jupiter (1.8%), and Boca Raton (3.2%) are tight, with asking rents in the $16–$21 range. The construction pipeline has pulled back to 813,000 sq. ft. with 36% pre-leased. Palm Beach is a smaller-tenant market working through an oversized delivery cycle, the path forward runs through time, not demand destruction.