Tucson Industrial Figures Q2 2026

By Q2 2026, the market had shifted from tight conditions to materially higher vacancy. Vacancy reached 9.0% in Q2 2026, rising 20 basis points quarter-over-quarter and 460 basis points year-over-year from Q2 2025, while availability climbed to 10.7% over the same period. From Q3 2025 through Q2 2026, cumulative net absorption totaled negative 557,000 sq. ft., even though Q2 2026 alone recorded 49,000 sq. ft. of positive demand after a negative 220,000 sq. ft. in Q1 2026. Average asking rents in Q2 2026 climbed to $0.83 per sq. ft., up 3.8% quarter-over-quarter and 13.7% year-over-year but still 6.7% below Q2 2023 levels. Construction shifted to a more constrained stance, with space under construction falling from 1.3 million sq. ft. in Q2 2023 to 315,000 sq. ft. in Q2 2026, even as Q2 2026 deliveries reached 68,000 sq. ft., compared with 25,000 sq. ft. in Q2 2025.