Vancouver Industrial & Warehouse Market Report | Q3 2026
Last updated: November 11, 2026
Key Takeaways
- Greater Vancouver’s industrial vacancy held at 4.4% in Q3 2026, the third straight quarter of stable vacancy and the lowest among Canada’s major markets, according to Cushman & Wakefield.
- The overall net asking rent fell 1.5% from Q2 to C$18.58/SF/yr, down 5.6% on the year and 12.2% below the 2022–2023 peak. C&W attributes the drop mainly to a shift in the mix of available space rather than broad repricing.
- Leasing stayed strong at 2.4 million SF in Q3 and 7.6 million SF year to date, up 13.6%, putting 2026 on pace to beat 2025’s record.
- The construction pipeline has shrunk to 3.45 million SF, about 69% below its Q2 2023 peak, and small units now make up about 52% of available space.
Browse warehouse space for rent in Vancouver
4.4%
Overall Vacancy (Q3 2026)
C$18.58
Avg. Net Asking Rent (C$/SF/yr)
371K
SF Net Absorption (Q3 2026)
3.45M
SF Under Construction
Greater Vancouver’s industrial market has stabilized. Vacancy held at 4.4%, a third straight quarter of stable vacancy after three years of increases, absorption was positive as tenants moved into pre-leased buildings, and leasing is on pace for a record year. Net asking rents keep easing, but C&W ties most of the decline to which spaces are on the market rather than market-wide cuts.
Figures are from Cushman & Wakefield’s Q3 2026 Vancouver Industrial MarketBeat unless noted. The market covers Greater Vancouver, 254.4 million SF, from the North Shore to Chilliwack. Rents are weighted average net asking rents in Canadian dollars per SF per year; additional rent for taxes and operating costs averages C$6.18, for a gross rent of C$24.76 (C&W Canada MarketBeat). Vacancy includes direct and sublease space and leased space not yet occupied.
Market Snapshot: Q3 2026
| Metric | Q3 2026 | Change or note |
|---|---|---|
| Overall vacancy | 4.4% | Unchanged QoQ; third straight stable quarter |
| Net asking rent (C$/SF/yr) | C$18.58 | Down 1.5% QoQ and 5.6% YoY |
| Gross rent (C$/SF/yr) | C$24.76 | Net rent plus C$6.18 additional rent |
| Net absorption, Q3 | 371,489 SF | Driven by pre-leased move-ins |
| Net absorption, year to date | 1,391,782 SF | |
| Leasing activity, Q3 | 2.4M SF | Flat QoQ; up 5.9% YoY |
| Leasing activity, year to date | 7.6M SF | Up 13.6% from 6.7M SF |
| Completions, Q3 | About 404,000 SF | 61% pre-leased or pre-sold |
| Under construction | 3.45M SF | About 69% below the Q2 2023 peak of 11.4M SF |
| Inventory | 254.4M SF | Greater Vancouver |
Source: Cushman & Wakefield, Vancouver Industrial MarketBeat Q3 2026; gross rent, additional rent and exact Q3 absorption from C&W’s Canada Industrial MarketBeat Q3 2026.
Investment is thin. Freestanding industrial sales totaled about C$122 million across 13 transactions in Q3, down 12% from Q2 and 31% from a year earlier. Average pricing fell 11% from Q2 to C$476 per SF, though C&W cautions the sample is small. Private Canadian investors accounted for 10 of the 13 deals.
Rent Trends: C$18.58, Down 5.6% on the Year
The overall net asking rent fell 1.5% from Q2 to C$18.58/SF/yr in Q3 2026, down 5.6% on the year and below C$20.00 for a ninth straight quarter. It is 12.2% below the peak recorded in 2022–2023.
C&W attributes the quarterly drop mainly to a shift in available space toward lower-priced units. Newer, higher-quality buildings have leased steadily, leaving a larger share of lower-quality options on the market, and some higher-priced space was leased or withdrawn. One example was 18111 Blundell Road in Richmond, 411,000 SF asking C$23.50, now leased to Mullen Group. Higher incentives and concessions also played a part.
For Tenants
The market is tight for modern and large-format space but increasingly favors tenants in smaller and older buildings. Units under 30,000 SF average more than 400 days on the market, so small-space tenants have time and leverage. Large users have few options: only 19 available blocks exceed 100,000 SF. Search Vancouver warehouse listings on WareCRE
Construction Pipeline: 3.45M SF, Down 69% From the Peak
The pipeline has contracted to 3.45 million SF, well below the seven-year average and the second-lowest quarterly level in three years. About 1.62 million SF is speculative and 1.83 million SF build-to-suit, and 1.16 million SF of the total is available. Strata construction has slowed sharply, with only two projects underway.
About 800,000 SF is due in Q4 2026, of which only 220,000 SF is available, and another 2.0 million SF is scheduled for the first half of 2027, 68% of it pre-leased or pre-sold. The proposed pipeline exceeds 26.0 million SF, but C&W notes many developers are waiting to hit pre-leasing or pre-sale thresholds before breaking ground.
For Owners
New supply is no longer the main risk to vacancy. The bigger question is the several large availabilities C&W expects to come vacant in the coming months in Surrey, Delta, Richmond and Burnaby. C&W expects newer buildings with modern specifications, such as higher ceilings, to keep attracting occupiers; about 23% of Q3 leases were in buildings completed after 2015.
Submarket Breakdown
| Submarket | Inventory | Vacancy | Net asking rent (C$/SF/yr) | Under construction |
|---|---|---|---|---|
| Richmond | 46.1M SF | 3.4% | C$18.70 | 162,400 SF |
| Surrey | 43.6M SF | 4.0% | C$18.93 | 1,717,217 SF |
| Burnaby | 36.3M SF | 5.0% | C$19.37 | 176,103 SF |
| Delta | 35.1M SF | 4.6% | C$17.52 | 138,000 SF |
| Vancouver | 28.8M SF | 4.9% | C$19.48 | 277,341 SF |
| Langley | 18.8M SF | 6.0% | C$18.30 | 266,293 SF |
| Port Coquitlam | 9.7M SF | 1.9% | C$20.97 | 13,109 SF |
| Coquitlam | 8.4M SF | 5.5% | C$19.46 | 187,026 SF |
| Abbotsford | 7.5M SF | 6.8% | C$17.29 | 136,000 SF |
| Greater Vancouver | 254.4M SF | 4.4% | C$18.58 | 3,453,249 SF |
Source: Cushman & Wakefield, Vancouver Industrial MarketBeat Q3 2026. Smaller submarkets are included in the total.
Surrey and Langley
Surrey is the region’s growth market. It has led development since Q1 2019 with about 11.9 million SF delivered, holds about 1.7 million SF of the current pipeline and is 4.0% vacant. Neighboring Langley is looser at 6.0% and has given back 555,276 SF of occupancy this year. The region’s only available block above 200,000 SF is in Langley, at 5827 274th Street.
Richmond and Delta
Richmond, the largest submarket at 46.1 million SF, is 3.4% vacant. Its average asking rent fell 11.0% from Q2 after Mullen Group leased the 411,417 SF at 18111 Blundell Road. Delta led Q3 leasing with 851,750 SF, including 18 Wheels Logistics (220,000 SF) and Doka Canada (167,000 SF).
Burnaby, Vancouver and the Inner Markets
Burnaby (5.0%) and the City of Vancouver (4.9%) carry some of the region’s higher rents, at C$19.37 and C$19.48. Tesla’s 105,000 SF build-to-suit at 950 Raymur Avenue was one of the quarter’s largest move-ins. Smaller inner submarkets with little new supply remain very tight: New Westminster is 0.5% vacant, the North Shore 1.4% and Port Moody 0.0%.
Small-Bay Space in Vancouver
Small units dominate Vancouver’s availability. Spaces under 40,000 SF make up about 8.7 million SF, or 52%, of the 16.9 million SF available, and roughly 90% of listings. Demand for them has been slower: spaces under 30,000 SF average more than 400 days on the market, with 20,000 to 29,999 SF units the longest at about 443 days. Blocks of 100,000 SF or more are only about 15% of available space.
By deal count, leases under 10,000 SF were 70% of Q3 transactions but only 16% of leased area. For how small-bay space is defined and priced in other markets, see our small bay industrial guide.
Looking for warehouse space in Vancouver?
Browse Vancouver ListingsKey Trends to Watch
1. Leasing Is on Pace for a Record
Year-to-date leasing of 7.6 million SF is up 13.6% and on pace to surpass 2025, itself a record. Transportation and warehousing and wholesale trade were the most active groups. C&W reads the volume as tenants repositioning into better space or lower costs rather than broad net-new demand.
2. Large and Mid-Sized Deals Drive Volume
Four leases above 100,000 SF made up 38% of Q3 volume, about 912,000 SF, and mid-sized deals of 10,000 to 100,000 SF another 46%. Larger blocks also lease faster: spaces of 100,000 to 149,999 SF average about 318 days on the market, against more than 400 days for units under 30,000 SF.
3. Rents Are Easing Mainly Through Mix
Asking rents have fallen 5.6% over the year, but C&W attributes the latest drop to inventory shifts and higher incentives. Watch whether rents stabilize as the mix of available space settles.
Outlook: What to Watch in Early 2027
C&W’s year-end 2026 MarketBeats are typically released in January. Three measures will show whether Vancouver’s stability holds.
- Large upcoming vacancies. Several big spaces in Surrey, Delta, Richmond and Burnaby are expected to come vacant in the coming months.
- Q4 deliveries. About 800,000 SF is due in Q4 2026 with only 220,000 SF available, so new supply should add little vacancy.
- Diverging submarkets. C&W expects vacancy trends to be shaped by where new supply delivers, with Surrey taking a substantial share of upcoming deliveries and land-constrained inner markets staying tight.
Find warehouse space in Vancouver
Browse distribution, small-bay and strata listings across Greater Vancouver.
Search Vancouver ListingsRelated Resources
Frequently Asked Questions
What is the current industrial vacancy rate in Vancouver?
Greater Vancouver’s industrial vacancy rate was 4.4% in Q3 2026, the third straight quarter of stable vacancy and the lowest among Canada’s major markets, according to Cushman & Wakefield. Toronto was 5.0% and Calgary 4.6%. Vacancy ranges from 0.0% in Port Moody to 10.9% in Mission.
How much does warehouse space cost in Vancouver?
The overall net asking rent was C$18.58 per square foot per year in Q3 2026, down 5.6% from a year earlier. With additional rent of C$6.18 for taxes and operating costs, the gross rent averages C$24.76. Port Coquitlam asks C$20.97 and Delta C$17.52.
Which Vancouver submarket has the highest vacancy rate?
Among the larger submarkets, Abbotsford has the highest vacancy rate at 6.8%, followed by Langley at 6.0% and Coquitlam at 5.5%. Mission, a small submarket, is 10.9% vacant. Burnaby has the most vacant space in absolute terms, about 1.7 million SF of direct and sublease space. Port Coquitlam, at 1.9%, and Richmond, at 3.4%, are the tightest larger submarkets.
How much industrial space is under construction in Vancouver?
About 3.45 million SF was under construction at the end of Q3 2026, roughly 69% below the Q2 2023 peak of 11.4 million SF. Surrey holds about 1.7 million SF. About 800,000 SF is due in Q4 2026 and 2.0 million SF in the first half of 2027, mostly pre-leased.
How does Vancouver compare with Toronto for industrial space?
In Q3 2026, Greater Vancouver was 4.4% vacant with a net asking rent of C$18.58 per square foot per year, while the Greater Toronto Area was 5.0% vacant at C$15.90, according to Cushman & Wakefield’s Canada report. Vancouver’s gross rent of C$24.76 compares with C$20.35 in Toronto.
Sources: Cushman & Wakefield, Vancouver Industrial MarketBeat Q3 2026; Cushman & Wakefield, Canada Industrial MarketBeat Q3 2026. Each report reflects the most recent vacancy, rental, and construction data available at the time of publication.
