Seattle & Northwest + Portland + Industrial | January 27, 2023

CBRE Report: Portland, OR Industrial Market Sees Record Low Vacancy

Report: Portland Industrial Market Sees Record Low Vacancy

Tenant demand in Portland, OR for industrial space continued to drive positive absorption and low vacancy rates in the fourth quarter of 2022, according to a new report from CBRE. In addition, average monthly asking rents for Class A space jumped to $0.80 per square foot, and is expected to keep climbing.

Portland’s positive absorption rate in Q4 was nearly 1.4 million square feet and totaled 5.6 million square feet for the year, while industrial vacancy fell to a record low of 2.3%. The largest lease of the quarter was Thermal Supply’s 170,000 square feet at Vancouver Logistics.

The industrial development pipeline in Q4 consists of 2.5 million square feet, all of which is expected to deliver through 2023. One project was completed in the fourth quarter, the 285,000-square-foot Building E at Prologis Meadows. Meanwhile, investment numbers declined with rising interest rates, as sales volume was $748 million in 2022, compared to $1.3 billion in 2021.

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About Mark Nieto

Mark comes to ConnectCRE with an extensive background as a business and news reporter in San Francisco radio, as well as 35 years as a traffic reporter on several stations including KGO, KNBR, KCBS and KFRC. As a business reporter, Mark covered the tech world in Silicon Valley where he became familiar with real estate transactions in the hot Bay Area marketplace. He attended San Jose State University with a BA in Radio and TV Broadcasting and currently resides in the Lake Tahoe area where he gets to frequently enjoy all of his favorite activities: Golfing, Fishing, Hiking and Skiing.

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