INDUSTRIAL
Industrial space under construction spiked in 2025, averaging 635,710 sq ft for the year. This represents a 120% increase from the 288,509 sq ft under construction in 2024. More recently, construction has fallen off, reaching 296,560 sq ft in Q1 2026 – a 62% decline from the same quarter the previous year. This decline is reflective of a national slowdown in new industrial construction, primarily a result of continued high interest rates, increasing cost of construction, and ongoing economic policy uncertainty.
Industrial Space Under Construction
COVID-19 Q1 2020 - Q3 2023
Trendline
296,500 SQ FT
2019 2020 2021
2022 2023 2024 2025
Q1 26
Source: NAI Wisinski of West Michigan
Industrial Vacancy
3.3%
Industrial vacancy has trended upward since 2024, reaching 3.2% in 2025 compared to 2.3% the previous year. The first quarter of 2026 marks the first quarterly decline in vacancy since Q4 2024, with an average rate of 3.3%. Compared to the national industrial vacancy rate of 7.1%, the Greater Grand Rapids’ industrial market continues to be extremely tight.
COVID-19 Q1 2020 - Q3 2023
Trendline
2019 2020 2021
2022 2023 2024 2025
Q1 26
Source: NAI Wisinski of West Michigan
Average Industrial Rent
$6.36 / SQ FT
Greater Grand Rapids industrial rents have largely continued along a steady, long-term growth trend since at least 2019. Rents have eased slightly in recent years, averaging $6.49/sq ft in 2025, a 5% decline from $6.82/sq ft in 2024. In Q1 2026, rent averaged $6.36, a 7.5% decline from the same quarter the previous year. With national asking rents at $10.42/sq ft, the region remains a cost-competitive market for industrial tenants and business growth.
COVID-19 Q1 2020 - Q3 2023
2019 2020 2021
2022 2023 2024 2025
Q1 26
Source: NAI Wisinski of West Michigan
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