Figures

Puget Sound Industrial Figures Q4 2025

January 12, 2026 10 Minute Read

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  • The Puget Sound industrial market showed signs of improvement, as net absorption turned positive quarter-over-quarter (QoQ), totaling 386,969 sq. ft. However, vacancy rose slightly to 10.4%, a 40 basis point (bps) increase for the quarter and a 1.8% increase year-over-year (YoY).
  • The rise in vacancy was driven by four significant deliveries—Bridge Point Tacoma 2MM-Buildings A and B, Bridge Point Seattle I-5, and 14021 Pioneer Way, which collectively added 1,811,570 sq. ft. of new inventory to the market. Persistent supply and demand disparities continued the trend of new supply outpacing net absorption for each consecutive quarter since Q4 2022.
  • The average direct asking rate decreased slightly, ending the quarter at $1.15 per sq. ft. per month, blended NNN.
  • Leasing activity reflected an ongoing flight to quality, as tenants continue to favor Class A facilities for operational efficiency and modern upgrades. In contrast, Class B and C assets continued to face slower leasing velocity, with tenants consolidating or delaying commitments amid broader economic uncertainty.
  • The divide increased pressure on older inventory, while port performance showed similar caution. Container volumes fell 14.4% YoY to 233,927 TEUs in October 2025, underscoring ongoing challenges for import and export driven users.