Submarket Statistics

Submarket Total
Inventory		 Direct
Vacancy
Rate		 Total
Vacancy
Rate		 1Q26
Direct Net
Absorption		 2025
Direct Net
Absorption		 SF Under
Construction		 2025
Construction
Completions		 1Q26 Total
Leasing
Activity		 YTD Total
Leasing
Activity		 Average
Direct Rental
Rate (NNN)

Phoenix Industrial Submarket Statistics 1Q 2026 — Airport Area: includes North Airport, South Airport North of Roeser, South Airport South of Roeser, SC North of Salt River, SC South of Salt River
Submarket Total Inventory Direct Vacancy Rate Total Vacancy Rate 1Q26 Direct Net Absorption 2025 Direct Net Absorption SF Under Construction 2025 Construction Completions 1Q26 Total Leasing Activity YTD Total Leasing Activity Average Direct Rental Rate NNN
North Airport 13,235,911 5.2% 5.6% 51,161 807,333 46,060 140,809 656,345 656,345 $1.29
South Airport North of Roeser 14,581,691 8.7% 10.3% -63,793 -424,836 88,324 202,529 108,695 692,815 $1.27
South Airport South of Roeser 4,522,875 1.8% 2.1% 3,779 -21,984 0 0 70,252 138,547 $1.43
SC North of Salt River 14,806,084 6.3% 8.7% -69,179 4,479 0 0 227,237 585,363 $1.16
SC South of Salt River 2,387,900 5.1% 5.1% -62,207 21,146 357,721 0 0 25,916 $0.78
Airport Area 49,534,461 6.3% 7.6% -191,397 -370,034 1,253,378 248,589 546,993 2,098,986 $1.23

Phoenix Industrial Submarket Statistics 1Q 2026 — Central Phoenix and Northeast: includes Central Phoenix, Scottsdale Airpark, Scottsdale/Salt River
Submarket Total Inventory Direct Vacancy Rate Total Vacancy Rate 1Q26 Direct Net Absorption 2025 Direct Net Absorption SF Under Construction 2025 Construction Completions 1Q26 Total Leasing Activity YTD Total Leasing Activity Average Direct Rental Rate NNN
Central Phoenix 3,340,217 2.5% 2.5% 41,615 -22,640 70,000 0 11,550 108,616 $1.34
Scottsdale Airpark 6,566,097 5.5% 6.4% -11,204 6,548 0 0 135,504 381,852 $1.72
Scottsdale/Salt River 5,582,297 10.2% 10.8% 84,111 -39,899 267,051 305,375 50,876 129,692 $1.81
Northeast 15,488,611 6.6% 7.2% 114,522 -55,991 337,051 305,375 197,930 620,160 $1.66

Phoenix Industrial Submarket Statistics 1Q 2026 — Northwest: includes Deer Valley/Pinnacle Park, Glendale, Grand Avenue, North Black Canyon, Surprise, West Phoenix North of Thomas Road, West Phoenix South of Thomas Road
Submarket Total Inventory Direct Vacancy Rate Total Vacancy Rate 1Q26 Direct Net Absorption 2025 Direct Net Absorption SF Under Construction 2025 Construction Completions 1Q26 Total Leasing Activity YTD Total Leasing Activity Average Direct Rental Rate NNN
Deer Valley/Pinnacle Park 21,226,408 8.6% 9.2% 245,844 1,458,810 1,031,267 0 271,864 1,571,115 $1.29
Glendale 59,696,073 18.4% 21.4% 1,513,647 6,555,904 3,683,542 0 1,944,668 3,954,863 $1.09
Grand Avenue 14,566,952 8.9% 9.8% -322,568 178,727 468,642 0 123,644 313,858 $0.85
North Black Canyon 4,719,408 19.9% 19.9% 6,284 -92,331 428,011 0 33,745 189,071 $1.13
Surprise 7,751,854 27.3% 27.3% 521,167 112,507 0 0 53,684 403,671 $1.24
West Phoenix North of Thomas Rd 7,232,673 4.4% 4.7% 9,703 -17,482 0 0 77,146 321,245 $0.84
West Phoenix South of Thomas Rd 6,583,223 3.7% 3.9% -119,917 88,320 0 0 9,427 196,593 $1.06
Northwest 121,776,591 14.5% 16.3% 1,854,160 8,284,455 5,611,462 0 2,514,178 6,950,416 $1.14

Phoenix Industrial Submarket Statistics 1Q 2026 — Southeast: includes Chandler Airport, Chandler, Chandler North/Gilbert, Falcon Field/Apache Junction, Mesa, Tempe East, Tempe Northwest, Tempe Southwest
Submarket Total Inventory Direct Vacancy Rate Total Vacancy Rate 1Q26 Direct Net Absorption 2025 Direct Net Absorption SF Under Construction 2025 Construction Completions 1Q26 Total Leasing Activity YTD Total Leasing Activity Average Direct Rental Rate NNN
Chandler Airport 9,608,196 10.5% 18.3% 49,416 692,285 375,913 0 62,502 519,456 $1.51
Chandler 23,764,687 7.9% 8.5% -83,973 2,912 315,961 0 178,816 1,100,490 $1.45
Chandler North/Gilbert 44,305,473 22.0% 22.4% 1,739,379 2,739,700 1,685,127 360,881 941,635 4,572,604 $1.37
Falcon Field/Apache Junction 5,869,330 5.1% 5.2% 18,455 98,010 778,121 0 63,821 213,902 $1.38
Mesa 6,664,210 6.5% 7.1% 16,454 -89,683 0 0 56,646 400,753 $1.00
Tempe East 5,977,579 7.5% 8.0% -792 8,867 689,109 0 35,432 387,492 $1.39
Tempe Northwest 9,818,395 8.6% 9.2% -313,181 246,825 45,944 0 89,794 713,913 $1.22
Tempe Southwest 21,935,299 9.7% 10.8% -38,142 -121,620 331,591 0 340,822 999,981 $1.21
Southeast 127,943,169 13.2% 14.3% 1,387,616 3,577,296 4,221,766 360,881 1,769,468 8,908,591 $1.30

Phoenix Industrial Submarket Statistics 1Q 2026 — Southwest: includes Goodyear, Southwest North of Buckeye Road, Southwest South of Buckeye Road, Tolleson
Submarket Total Inventory Direct Vacancy Rate Total Vacancy Rate 1Q26 Direct Net Absorption 2025 Direct Net Absorption SF Under Construction 2025 Construction Completions 1Q26 Total Leasing Activity YTD Total Leasing Activity Average Direct Rental Rate NNN
Goodyear 39,447,919 13.0% 13.2% 1,319,884 2,681,666 0 169,000 1,495,144 4,560,783 $0.99
Southwest North of Buckeye Rd 37,952,511 9.9% 10.8% 269,155 1,210,821 670,514 0 795,898 1,538,621 $0.93
Southwest South of Buckeye Rd 20,497,641 7.9% 7.9% 61,531 -892,657 0 125,480 70,612 462,774 $1.23
Tolleson 49,545,010 5.5% 7.5% -405,398 -504,952 0 0 133,799 1,861,720 $0.84
Southwest 147,443,081 9.0% 10.0% 1,245,172 2,494,878 670,514 294,480 2,495,453 8,423,898 $0.95

Phoenix Industrial Market Total 1Q 2026 — combined totals for all submarkets
Submarket Total Inventory Direct Vacancy Rate Total Vacancy Rate 1Q26 Direct Net Absorption 2025 Direct Net Absorption SF Under Construction 2025 Construction Completions 1Q26 Total Leasing Activity YTD Total Leasing Activity Average Direct Rental Rate NNN
Phoenix Total 462,185,913 11.2% 12.4% 4,410,073 13,930,604 12,094,171 1,209,325 7,524,022 27,002,051 $1.18

Phoenix Industrial Submarket Statistics 1Q 2026 — Property Type Breakdown: Manufacturing and Warehouse, General Industrial, Flex
Submarket Total Inventory Direct Vacancy Rate Total Vacancy Rate 1Q26 Direct Net Absorption 2025 Direct Net Absorption SF Under Construction 2025 Construction Completions 1Q26 Total Leasing Activity YTD Total Leasing Activity Average Direct Rental Rate NNN
Manufacturing & Warehouse 266,829,960 10.5% 11.5% 229,166 4,491,631 10,784,920 10,889,766 5,631,775 12,618,020 $1.13
General Industrial 165,467,917 11.7% 13.5% 3,642,858 9,764,334 1,136,635 4,702,347 1,452,115 12,530,664 $0.82
Flex 27,542,725 9.0% 9.7% -146,156 184,767 172,616 217,360 256,273 1,496,238 $1.37

Significant Sale Transactions 1Q 2026
Phoenix Industrial Significant Sale Transactions 1Q 2026: property name, submarket, square footage, sale price, price per square foot, buyer, and seller for major industrial sales in Phoenix metro
Property Submarket SF Sale Price $/SF Buyer Seller
Cotton 303 Logistics Center Glendale 915,160 $104,000,000 $113.64 Prologis Heitman
91st Avenue & Roosevelt St (2 Prop) Tolleson 662,804 $94,125,000 $142.01 Transwestern Investment Group EQT Real Estate
15784 W Hatcher Rd – Bldg. A Glendale 566,121 $90,579,360 $160.00 Electric Research & Manu. Co-op. Indicap
Surprise Point Commerce Center Surprise 418,400 $70,035,000 $167.39 Immigration & Customs Enforcement Rockefeller Group
9014 N 23rd Ave (11 Prop) N Black Canyon 227,603 $43,000,000 $188.93 BKM Capital Terracore Capital & BKM Cap.

Significant Lease Transactions 1Q 2026
Phoenix Industrial Significant Lease Transactions 1Q 2026: property name, submarket, square footage, transaction date, landlord, tenant, and lease type for major industrial leases in Phoenix metro
Property Submarket SF Transaction Date Landlord Tenant Lease Type
Kyrene 202 Business Park VI Chandler 38,152 February 2026 EastGroup Properties CRST Home Solutions Direct
Elliot Business Park Tempe 25,075 February 2026 Transpacific Development SW The RK Logistics Group Direct
Tempe Commerce Park Tempe 40,675 February 2026 BH Properties ValleyPrecision Sheetmetal Direct
Broadway Industrial Park SW Tempe 35,033 February 2026 Equus Capital Partners Phoenix Winsupply Co. Direct

Significant Under Construction
Phoenix Industrial Significant Under Construction 1Q 2026: property name, address, submarket, square footage, owner, and expected delivery date for major industrial projects under construction in Phoenix metro
Property Address Submarket SF Owner Delivery
Northern Parkway Logistics – Bldg D Reems Rd & Northern Pky Glendale 1,184,591 Merit Partners 4Q 2026
West 101 Logistics – Bldg 1,2,3,4,5 SEC Loop 101 & Indian School Rd Glendale 1,088,806 Undisclosed 3Q 2026
ReDiscover – Bldg A,B,C,D 2402 W Beardsley Rd Deer Vly/Pinnacle Pk 807,437 ViaWest Group & Barings 1Q 2027
Next Wave – Bldg 1,2,3 1500 McClintock Dr Tempe East 500,591 Undisclosed 2Q 2026

Data as of Q1 2026. Source: CoStar, AZ Office of Economic Opportunity, PBJ. Prepared by the Kidder Mathews Research Group.