Key industries influence Puget Sound's 2024 leasing landscape
The Seattle/Puget Sound industrial market closed 2024 with steady leasing activity, highlighted by Regalo International’s 337,500-square- foot (sf) renewal in Lakewood/Dupont and Boeing’s 278,937-sf new lease in Everett. These transactions underscored the strength of key industries such as consumer goods and aerospace. By the end of 2024, demand was increasingly driven by logistics and e-commerce, with major players like Amazon, Boeing and third-party logistics (3PL) providers leading the activity. Net absorption for the full year 2024 totaled 1.0 million square feet (msf), a strong recovery compared to the -0.6 msf recorded across all of 2023. However, the delivery of 10.6 msf of new inventory during the year increased the vacancy rate to 9.4%, up 180 basis points (bps) year over year, as the market worked to absorb the influx of space.