Cincinnati, OH Industrial Market Report Q3 2026
Cincinnati Vacancy Drops 182 Basis Points to 3.6% as Rents Climb 6.1%
Demand
Cincinnati vacancy fell 182 bps year over year to 3.6%, well below the 5.9% peak of Q2 2024, and the availability rate dropped to 4.8% from 6.5%. Net absorption of 9.17M SF over 12 months is more than four times the prior 12 months’ 1.96M SF, and Q3 absorption of 3.07M SF topped last year’s 484K SF. Asking rent reached a record $7.97 per SF, up 6.1%.
Supply
Completions rose 41% to 2.59M SF over 12 months from 1.83M SF, still far below the 10.89M SF of 2023, and Q3 deliveries of 895K SF topped last year’s 516K SF. Space under construction fell to 1.47M SF, or 0.4% of inventory, from 3.06M SF a year ago and a 3.3% peak in Q4 2022. Absorption outran completions by more than three times.
Investment Market
Cincinnati recorded $1.2B in sales over the trailing twelve months, +77% against the prior TTM period; Q3 accounted for $326M. The high-water mark in this series is $1.6B in 2018. Deal-volume figures are directional; cap rate and price per SF are reported values.
Cincinnati industrial cap rates averaged 8.44%, extending a decline across 8 straight quarters, while reported pricing reached $82 per SF after rising for 10 consecutive years. These local measures show sustained cap-rate compression and price appreciation alongside increased sales activity. Nationally, MSCI/RCA reported industrial hedonic cap rates of 6.4%, up 20 bps year over year—a distinct measure from Cincinnati’s transaction average.
Volume
- $1.2B TTM volume (+77% YoY)
- Q3 2026: $326M
- Series peak $1.6B (2018)
Pricing
- Cap rate 8.44%
- Price per SF $82
- Caps compressing 8 quarters running
