Industrial real estate has entered a more selective phase of its recovery. Leasing has accelerated, national vacancy has begun to edge down, and large occupiers are taking modern distribution and manufacturing space. Older buildings, however, continue to lose tenants when they lack sufficient power, clear height, loading capacity, yard space, or transportation access.

That split makes a low metro vacancy rate an incomplete investment signal. Several markets with elevated availability are absorbing millions of square feet, while some tighter markets offer limited transaction depth or carry concentrated economic risks.

The 11 markets in this report stand out for the quality of current demand, their logistics or manufacturing advantages, and the likelihood that remaining supply can clear without years of heavy concessions. The analysis also considers rent movement, building functionality, investment liquidity, and the risks that could reduce returns after acquisition.

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Industrial Demand Is Recovering, but Older Space Is Falling Behind

The U.S. industrial market strengthened during the second quarter of 2026. Net absorption rose 21% from the first quarter to 62.1 million square feet, bringing first-half demand to 113.6 million square feet. National vacancy declined to 6.9%, marking its first quarterly drop after the market reached a cyclical peak near the end of 2025, according to the Cushman & Wakefield Q2 2026 U.S. Industrial MarketBeat.

Leasing activity reached its highest level since mid-2022 and increased 16% from a year earlier. Third-party logistics providers and manufacturers produced more than half of first-half deal volume. Dallas-Fort Worth led the country in new leasing, followed by the Inland Empire and Chicago.

Developers completed 119.2 million square feet during the first half, approximately 19% less than during the same period in 2025. The active pipeline nevertheless increased for a fourth consecutive quarter to 305.1 million square feet. Build-to-suit projects account for more than one-third of that total, which lowers the amount of purely speculative risk but does not eliminate it.

National asking rents reached $10.32 per square foot on a triple-net basis, 2.9% above the prior-year level. That average masks wide differences in landlord leverage. Recently overbuilt markets still use free rent, improvement allowances, and other concessions to preserve quoted rates, while several infill and manufacturing markets have little functional space available.

Building age now separates winners from losers more clearly than metro-level demand alone. Facilities completed since 2020 generated 137 million square feet of first-half absorption, while occupiers continued to return older space. Large buildings above 500,000 square feet captured a significant share of demand for newer product, and shallow-bay vacancy remained comparatively tight at 4.8%.

The CBRE 2026 industrial outlook expects leasing volume to increase approximately 5% and approach 1 billion square feet. CBRE also reports that occupiers returned more than 100 million square feet of pre-2020 space during 2025 as they consolidated operations and moved into buildings with stronger power, better loading, higher clear heights, and layouts that support automation.

A Colliers review of the largest U.S. industrial markets reaches a similar conclusion from a different dataset. Construction remains far below its 2022 peak, but demand is spreading across more metros as logistics providers, manufacturers, and retailers adjust networks that expanded rapidly earlier in the decade.

For investors, the central question is no longer whether industrial demand exists. It is whether the specific building can compete for that demand.

How the Markets Were Evaluated

This report covers conventional warehouse, distribution, manufacturing, light-industrial, and flex properties. It does not rank data centers or cold-storage facilities as though they were ordinary industrial buildings. Those sectors require different power, cooling, construction, tenancy, and valuation assumptions.

The national dataset introduced above provides the common statistical baseline. It tracks competitive industrial properties available to third-party tenants and reports vacancy, quarterly absorption, asking rents, deliveries, construction, inventory, and leasing activity across 83 markets.

We added first- and second-quarter absorption to calculate first-half demand. Annual rent growth compares second-quarter 2025 asking rents with second-quarter 2026 figures. Construction risk reflects both the total pipeline and its size relative to existing inventory.

Keeping the chart within one dataset avoids several common errors. Local brokerage reports use different geographic boundaries, minimum building sizes, property classifications, and vacancy definitions. Some include owner-occupied facilities or wider logistics corridors; others separate flex, manufacturing, and warehouse properties.

Local research then supplied the context that a national table cannot provide. We examined which tenants were taking space, whether developers had preleased new projects, how concessions were changing, which submarkets were improving, and whether absorption came from a broad group of users or one unusually large move-in.

We also reviewed each market’s logistics network, manufacturing base, regional population, port and airport access, interstate coverage, rail service, labor conditions, and utility capacity. Announced factories and infrastructure projects strengthened a market’s case only when leases, completed facilities, or credible construction plans supported the announcement.

The ranking weighs five areas:

1. Property fundamentals — 35%. Vacancy, first-half absorption, asking-rent movement, sublease availability, leasing activity, and breadth of tenant demand.
2. Supply conditions — 20%. Recent completions, construction relative to inventory, speculative exposure, preleasing, and vacant space in recently delivered projects.
3. Economic and logistics demand — 20%. Manufacturing, third-party logistics, regional consumption, port and airport access, interstate and rail coverage, and major local industries.
4. Investment conditions — 15%. Market size, transaction liquidity, lender participation, pricing, and the range of viable acquisition strategies.
5. Market risks — 10%. Excess construction, tenant concentration, obsolete inventory, trade exposure, labor constraints, taxes, insurance, and dependence on one industry.

The percentages set priorities; they do not create a false level of precision. Building obsolescence, utility capacity, tenant credit, environmental exposure, and local development incentives do not convert reliably into one comparable score.

We also distinguished absorption quality. A build-to-suit occupancy can improve a market’s total without helping an existing speculative warehouse. Conversely, weak net absorption can reflect a shortage of buildings in the size or configuration tenants require.

Use the ranking to narrow market selection. Property-level underwriting must still determine whether the building offers the power, loading, clear height, yard space, access, lease income, and purchase basis needed to compete.

The 11 Best Industrial Real Estate Markets for 2026

Market	Vacancy	H1 Abs.	YoY Rent	Key Risk
1. Indianapolis	6.0%	+7.8M SF	+5.2%	Uneven submarket vacancy
2. Dallas-Fort Worth	8.1%	+13.6M SF	+13.3%	Large pipeline
3. Houston	6.3%	+11.9M SF	+5.1%	Heavy recent deliveries
4. Cincinnati	5.1%	+5.4M SF	+1.7%	Large deals affect totals
5. Columbus	4.7%	+6.7M SF	−1.4%	Active construction pipeline
6. Chicago	4.8%	+5.1M SF	+0.9%	Older-building exposure
7. Atlanta	8.5%	+5.9M SF	+4.5%	Weak legacy inventory
8. Kansas City	5.3%	+3.4M SF	+4.2%	Local rent pressure
9. Charlotte	7.4%	+4.1M SF	+3.7%	Continued new supply
10. Los Angeles	4.2%	+1.8M SF	−2.3%	Rent and trade volatility
11. Memphis	6.3%	+3.8M SF	−1.8%	Tenant density

All chart metrics come from the common national industrial dataset. Local reports can show different figures because they define inventories and market boundaries differently.

1. Indianapolis

Indianapolis leads the ranking because occupiers have removed vacant space faster than developers have replaced it. First-half absorption reached approximately 7.8 million square feet, vacancy fell from 10.7% a year earlier to 6.0%, and asking rents increased 5.2%. The construction pipeline represented less than 2% of inventory.

The Colliers Q2 2026 Indianapolis industrial report confirms the direction of the recovery under a broader local methodology. Colliers measured a 6.5% vacancy rate, down 449 basis points from a year earlier, and described the market as reaching its lowest vacancy since late 2022.

Demand concentrates in specific corridors and building types. The East and Northwest submarkets have attracted many of the largest users, while bulk distribution, manufacturing, and smaller industrial properties face different competitive sets.

Indianapolis benefits from its central location, interstate network, parcel-carrier operations, logistics workforce, and access to major Midwest population centers. Distributors can reach a large share of the country within a one-day drive without paying coastal land and occupancy costs.

Best fit: Modern distribution buildings, occupied build-to-suit facilities, and functional light-industrial properties near established interstate and labor corridors.

Main risk: Metro averages conceal substantial submarket differences. Compare the property with buildings of similar size, age, clear height, and location before using the 6.0% vacancy rate in underwriting.

2. Dallas-Fort Worth

Dallas-Fort Worth produced the largest first-half absorption total in the ranking at approximately 13.6 million square feet. Vacancy declined 110 basis points from a year earlier to 8.1%, while asking rents increased more than 13%.

The Dallas-Fort Worth Q2 2026 industrial MarketBeat reported 20.5 million square feet of second-quarter leasing and 40.3 million square feet during the first half. Commitments signed during earlier quarters have begun converting into occupancy, helping the metro work through both existing vacancies and new deliveries.

DFW’s scale, interstate connections, air cargo infrastructure, population growth, and central location support local, regional, and national distribution. The market can accommodate users that need large sites, trailer storage, and expansion capacity that constrained coastal metros cannot provide.

The same capacity creates the main risk. Developers delivered roughly 13.6 million square feet during the first half and had nearly 29.8 million square feet under construction. The pipeline represents a manageable share of the billion-square-foot inventory, but several corridors still face intense lease-up competition.

Best fit: Modern bulk warehouses, regional distribution centers, and infill facilities that serve the metro’s expanding consumer base.

Main risk: Treat DFW as a collection of logistics corridors rather than one market. Vacancy, construction, highway access, labor, and tenant searches differ sharply by submarket.

3. Houston

Houston combines logistics demand with port activity, manufacturing, energy, and one of the country’s largest absorption totals. The market recorded approximately 11.9 million square feet of first-half absorption, 6.3% vacancy, and 5.1% annual asking-rent growth.

The CBRE Q2 2026 Houston industrial figures measured roughly 7 million square feet of second-quarter absorption and about 11 million square feet year to date. CBRE placed vacancy at 6.7% and found that the Northwest and North submarkets generated especially strong occupancy gains.

Port activity, petrochemicals, energy, construction, manufacturing, and population growth create demand for several building types. Modern distribution facilities serve import and consumer flows, while specialized manufacturing properties benefit from cranes, heavy power, outdoor storage, and proximity to industrial infrastructure.

Developers continue to add a large amount of space. The common dataset recorded nearly 23 million square feet under construction after more than 14 million square feet of first-half deliveries. That supply can produce different outcomes within the same metro: manufacturing vacancy may remain tight while large speculative distribution buildings offer generous concessions.

Best fit: Modern distribution properties, manufacturing facilities with difficult-to-replicate infrastructure, and assets near the port, population growth, or established industrial users.

Main risk: Separate manufacturing scarcity from bulk warehouse competition. They do not support the same rent, downtime, or replacement-cost assumptions.

4. Cincinnati

Cincinnati offers a strong combination of low vacancy, substantial absorption, and limited forward construction. First-half absorption reached approximately 5.4 million square feet, vacancy fell to 5.1%, and only about 1.3 million square feet remained under construction against more than 330 million square feet of inventory.

The CBRE Q2 2026 Cincinnati industrial figures reported 5.5 million square feet of year-to-date absorption and a lower 4.0% vacancy rate under its methodology. Several major leases drove the result, including commitments of approximately 897,000 and 710,000 square feet.

Cincinnati serves Midwest and Eastern population centers through interstate, rail, and air cargo networks. Consumer-products companies, manufacturers, and logistics providers can operate at lower occupancy costs than in many coastal distribution hubs.

Large transactions can move Cincinnati’s quarterly statistics quickly. An investor evaluating a 100,000-square-foot building should not assume that demand for an 800,000-square-foot facility proves an equally deep tenant pool at the smaller size.

Best fit: Functional distribution buildings, occupied single-tenant assets, and light-industrial or manufacturing facilities near established transportation corridors.

Main risk: Confirm tenant depth within the property’s size range. A few major occupancies account for a meaningful share of recent demand.

5. Columbus

Columbus has moved from a clear overbuilding concern toward a tighter market. First-half absorption reached approximately 6.7 million square feet, vacancy fell from 8.0% a year earlier to 4.7%, and developers still had more than 10 million square feet under construction.

The Colliers Q1 2026 Columbus industrial report measured 4.1 million square feet of first-quarter absorption and 5.19% vacancy. It also recorded approximately $420 million in quarterly industrial sales. Overall asking rents declined partly because tenants absorbed higher-priced modern buildings, leaving older and lower-cost space in the available inventory.

Columbus serves regional distribution networks and continues to attract manufacturing, pharmaceutical, technology, retail, and logistics investment. Its location gives occupiers access to Midwest and Eastern markets without the land constraints and rents of coastal hubs.

Building age determines much of the investment outcome. Modern bulk facilities can tighten while obsolete warehouses lose tenants. The remaining pipeline also requires continued large-user demand.

Best fit: Modern bulk distribution, recently leased single-tenant facilities, and functional infill buildings with better access or lower occupancy costs than new construction.

Main risk: The flight to quality may widen the value gap between modern product and older warehouses that lack competitive loading, clear height, power, or trailer storage.

6. Chicago

Chicago combines one of the country’s largest industrial inventories with low vacancy, active leasing, and a restrained construction pipeline. Vacancy held at 4.8%, first-half absorption reached approximately 5.1 million square feet, and the 13.9-million-square-foot pipeline represented only slightly more than 1% of inventory.

The Chicago Q2 2026 industrial MarketBeat reported 21.8 million square feet of first-half leasing, the highest midyear total since 2022. Big-box demand strengthened, industrial sales volume increased sharply, and manufacturing employment improved even as trade and transportation employment softened.

Chicago’s road, rail, air cargo, population, and diversified industrial base support national distribution, local infill, food production, manufacturing, and shallow-bay uses. Investors can pursue a wider range of property sizes and strategies than in newer logistics hubs.

A large share of the inventory is old. Modern bulk buildings can outperform while obsolete facilities lose tenants because of insufficient clear height, limited trailer parking, shallow truck courts, weak loading, or high operating costs.

Best fit: Infill logistics, modern bulk facilities, shallow-bay portfolios, and older assets with a realistic path to functional upgrades.

Main risk: Low metro vacancy does not create demand for every building. Specifications and access determine whether older space can compete.

7. Atlanta

Atlanta continues to generate substantial leasing and absorption, but its 8.5% vacancy rate shows that available space remains significant. The metro recorded approximately 5.9 million square feet of first-half absorption, asking rents increased 4.5%, and the common dataset placed the pipeline below 1% of inventory.

The CBRE Q2 2026 Atlanta industrial figures reported 2.6 million square feet of second-quarter absorption and 15.1 million square feet of leasing. Modern bulk facilities attracted most major tenant demand, while smaller infill and traditional distribution buildings took longer to lease.

Atlanta serves as a primary distribution center for the Southeast. Its interstate network, airport, population base, and access to regional ports support retailers, e-commerce operators, manufacturers, and third-party logistics providers.

The shrinking pipeline should help vacancy stabilize, but owners must still lease recently completed buildings. Investors also need to distinguish newer South Atlanta and I-85 corridor facilities from legacy properties with weaker access or specifications.

Best fit: Modern bulk distribution, occupied logistics facilities, and infill properties serving Atlanta’s consumer and service economy.

Main risk: Older facilities are not sharing equally in the recovery. Base downtime and concessions on the building’s direct competitors rather than the metro average.

8. Kansas City

Kansas City pairs low vacancy with positive absorption, central transportation access, and a high share of committed construction. The common dataset reported 5.3% vacancy and approximately 3.4 million square feet of first-half absorption.

The CBRE Q2 2026 Kansas City industrial figures recorded five second-quarter completions totaling more than 1.4 million square feet. Four of those projects were build-to-suit facilities, limiting the amount of new speculative competition. CBRE also reported a 2.6% annual decline in asking rents, however, which shows that improving occupancy has not produced uniform pricing power.

Kansas City’s interstate and rail infrastructure, central location, food production, automotive manufacturing, and regional distribution role support a varied tenant base. The market also offers lower rents and land costs than many primary logistics hubs.

Best fit: Regional distribution, food-production and manufacturing properties, occupied build-to-suit assets, and modern facilities near major rail and interstate corridors.

Main risk: Use achievable net effective rents rather than assuming immediate pricing growth. Vacancy and quoted rent can move in different directions.

9. Charlotte

Charlotte combines population-driven distribution demand with manufacturing and logistics activity across the Carolinas. Vacancy fell to 7.4%, first-half absorption reached approximately 4.1 million square feet, asking rents increased 3.7%, and developers had roughly 7.2 million square feet under construction.

The CBRE Q2 2026 Charlotte industrial figures measured 1.3 million square feet of second-quarter absorption, 7.1% vacancy, and 6.5% annual asking-rent growth. Limited availability of blocks above 500,000 square feet constrained some large users even though overall vacancy remained above 7%.

Retailers, beverage distributors, logistics providers, manufacturers, and data-center suppliers have supported recent leasing. Charlotte also benefits from population growth, interstate access, and connections to manufacturing and port infrastructure across the region.

The pipeline has moderated from its peak but remains material. Outer submarkets can shift from landlord leverage to concession-heavy competition when several projects target the same tenant size.

Best fit: Modern distribution facilities, mid-sized warehouses, and properties positioned between Charlotte’s population base and regional manufacturing corridors.

Main risk: Review every competing delivery and active tenant search within the submarket. Metro growth alone does not guarantee lease-up.

10. Los Angeles

Los Angeles remains one of the country’s tightest and most difficult-to-replace industrial markets. Vacancy ended the second quarter at 4.2%, the market recorded approximately 1.8 million square feet of first-half absorption, and only about 4.4 million square feet remained under construction against more than 800 million square feet of inventory.

The Colliers Greater Los Angeles Q1 2026 industrial report shows why investors must separate Los Angeles County from the broader region. Greater Los Angeles posted negative first-quarter absorption because Inland Empire losses outweighed positive demand in Los Angeles and Orange counties. Rents also continued to reset after their pandemic-era peak.

Los Angeles County benefits from port access, population density, scarce industrial land, and demand from food producers, apparel companies, importers, local distributors, and last-mile users. Many of those businesses need proximity to customers and transportation infrastructure rather than the lowest possible rent.

High acquisition prices create little room for functional defects. Trade policy, port volumes, labor expenses, and rent declines can also weaken near-term cash flow.

Best fit: Infill distribution, food and light manufacturing, multi-tenant industrial, and properties with scarce yard or loading capacity.

Main risk: Underwrite current effective rents rather than the recent peak. A tight land market does not protect an obsolete or overleveraged property.

11. Memphis

Memphis completes the ranking with improving occupancy, strong large-block demand, and a construction pipeline dominated by committed projects. First-half absorption reached approximately 3.8 million square feet, vacancy fell from 8.8% a year earlier to 6.3%, and national-table asking rents remained slightly below their prior-year level.

The CBRE Q2 2026 Memphis industrial figures measured approximately 2 million square feet of second-quarter absorption and a lower 5.6% vacancy rate. Its average asking rent rose 3.9% from a year earlier. Of the 4.6 million square feet under construction, roughly 3.5 million involved build-to-suit projects.

Memphis benefits from its cargo airport, interstate access, river and rail connections, and long-standing role in national distribution. Those advantages make the market particularly suitable for large logistics operations.

Large users also create concentration risk. One move-in or closure can change quarterly results, and older bulk buildings may struggle when occupiers require greater clear height, automation capacity, power, or trailer storage.

Best fit: Large logistics facilities, occupied build-to-suit properties, and buildings near Memphis International Airport or established distribution corridors.

Main risk: Evaluate tenant credit, renewal probability, and alternative uses before paying a premium for specialized scale.

Three Industrial Markets That Could Move Higher

Phoenix

Phoenix continues to absorb the supply created during its development boom. The CBRE Q2 2026 Phoenix industrial figures reported 18.4 million square feet under construction and positive annual rent growth of 0.9%. The pipeline has fallen sharply from its 2023 peak, but current construction and double-digit vacancy still require more lease-up before Phoenix offers a stronger risk-adjusted case.

Greenville-Spartanburg

The Colliers Q1 2026 Greenville-Spartanburg industrial report recorded 1.3 million square feet of quarterly absorption as users continued moving from older Class B and C buildings into Class A space. Manufacturing, regional logistics, and access to Interstate 85 support demand, but the market must continue working through the supply produced during the 2023–2025 construction cycle.

Savannah

Savannah’s port and logistics advantages remain compelling, but the CBRE Q2 2026 Savannah industrial figures placed direct vacancy at 10.5%. The construction pipeline has fallen well below its peak, yet slower leasing still pressures smaller and mid-sized buildings. Savannah could enter the ranking after vacancy shows a sustained decline across more property sizes.

What Could Change the Rankings

A Renewed Construction Cycle Could Raise Vacancy

The national pipeline has increased for four consecutive quarters. Build-to-suit projects account for a meaningful share, but speculative starts have also returned as developers respond to stronger leasing.

Dallas-Fort Worth, Houston, Phoenix, Columbus, and other growth markets can absorb large volumes. They can also create localized oversupply when several projects target the same corridor and tenant size.

Trade Policy Could Redirect Logistics Demand

Tariffs, shipping costs, inventory strategies, and changes in trade routes can shift demand among port markets, border markets, and inland distribution hubs. Los Angeles, Houston, Savannah, and Memphis do not carry the same exposure.

Investors should identify whether tenants depend on imports, exports, domestic manufacturing, regional consumption, or time-sensitive transportation before treating logistics demand as durable.

Modern Buildings Could Keep Taking Tenants from Older Space

Occupiers increasingly favor higher clear heights, deeper truck courts, more trailer parking, stronger floors, greater power, and layouts that support automation. A metro can report positive absorption while obsolete properties continue to empty.

The value gap between modern and older product may widen. An older facility needs either a specific tenant niche or a financially practical upgrade plan.

Manufacturing Could Broaden Tenant Demand

Manufacturing and third-party logistics firms generated much of the first-half leasing activity. Onshoring, defense spending, pharmaceuticals, food production, batteries, and advanced manufacturing could support markets with labor, utilities, transportation, and suitable buildings.

Announcements do not equal occupancy. Projects can stall because of financing, incentives, labor shortages, power constraints, permitting, or changes in corporate strategy.

Capital Markets Could Reprice Assets Before Income Improves

Industrial remains attractive to institutional and private buyers. Better debt availability could increase transaction volume and compress acquisition yields before rents and occupancy fully recover.

Investors should not use expected financing relief to justify a weak going-in return. The property still needs to cover debt service under current vacancy, concessions, rents, and capital costs.

Power Availability Could Reshape Market Selection

Automation, advanced manufacturing, refrigeration, electric fleets, and high-throughput logistics require more power than many older facilities can provide. Markets with available utility capacity may gain an advantage, while constrained locations face long upgrade schedules and higher costs.

Utility service should form part of industrial due diligence rather than remain an assumption based on the building’s existing use.

How Investors Should Use the Ranking

Industrial underwriting starts with the building’s intended use. Bulk distribution, shallow-bay industrial, manufacturing, flex, and outdoor-storage properties rely on different tenant pools and operating requirements.

After choosing the strategy, examine the relevant submarket and building size rather than the metro average. Review:

• Vacancy within the competing size range
• Direct and sublease availability
• Vacant recently completed buildings
• Projects under construction and planned
• Active tenant searches and signed leases
• Interstate, rail, airport, and port access
• Labor availability and wage pressure
• Power, water, sewer, and utility capacity
• Zoning and permitted outdoor uses
• Truck routes and nearby community restrictions

Test the building’s functionality before projecting rent growth. Clear height, column spacing, dock count, drive-in doors, truck-court depth, trailer parking, floor load, fire suppression, roof condition, power, and expansion capacity determine the realistic tenant pool.

A low purchase price does not compensate for a facility that modern users cannot operate efficiently.

Read the lease with the same attention given to the building. Renewal options, expense recovery, roof and structure obligations, maintenance responsibilities, environmental clauses, assignment rights, expansion rights, restoration requirements, and tenant credit support can materially change value.

Estimate downtime and improvements by user type. A distribution building may require racking removal, dock changes, lighting, office demolition, or power upgrades. Manufacturing facilities can require cranes, ventilation, utility work, process equipment removal, environmental testing, and significant restoration.

Normalize recurring expenses and capital requirements. Taxes, insurance, roofs, paving, drainage, dock equipment, security, lighting, and fire-protection systems can reduce net operating income even when rents rise.

Stress-test both the debt and the exit. Model slower leasing, free rent, higher improvement allowances, lower renewal probability, capital repairs, increased insurance and taxes, refinancing at a higher rate, and an exit cap rate above the entry assumption.

The ranking can identify markets with demand. Only property-level analysis can determine whether that demand can use and afford the building under consideration.

Where Industrial Investors Have the Clearest Advantage

Industrial fundamentals have begun to improve, but the recovery continues to reward functional buildings and expose obsolete ones.

Indianapolis offers the strongest current balance of absorption, tightening vacancy, rent growth, and manageable supply. Dallas-Fort Worth and Houston deliver exceptional tenant volume and transaction depth, although both require careful pipeline analysis. Cincinnati, Columbus, and Chicago combine established logistics networks with lower vacancy. Atlanta, Kansas City, Charlotte, Los Angeles, and Memphis each offer a different mix of scale, scarcity, pricing, and risk.

The best acquisition may sit below the top of the ranking. A modern warehouse with strong access, adequate power, and limited direct competition can outperform an obsolete building in the highest-ranked metro.

For 2026, the more defensible industrial investments will combine a supportable purchase basis with a building tenants can use efficiently, a submarket where new supply remains controlled, and leases that compensate the owner for capital and releasing risk.