MARKET TRENDS

• Industrial vacancy in the region increased by 230 basis points (bps) over the past year to 8.8%, as demand remained soft amid ongoing macroeconomic uncertainty.
• Asking rents continued to soften in Q3 2025, decreasing 0.8% year over year to an average of $1.24 per square foot (psf). Looking ahead, rents are likely to decline further.
• Quarterly net absorption totaled 0.3 million square feet (msf) in Q3 2025, marking the first quarter of positive absorption the East Bay market has experienced since 2023.

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