Markets › Phoenix, AZ
Industrial Property Values in Phoenix, AZ
Automated market snapshot from recent comparable sales · Sep 2025 – Jun 2026. Updated 2026-07-14.
Phoenix, AZ industrial market
The Phoenix metro industrial market is actively recovering after absorbing over 91 million SF of new supply delivered between 2023 and 2025. Vacancy has been declining for four consecutive quarters, reaching roughly 9.2% to 12.4% depending on the source and methodology, as Q1 2026 absorption of 4.8 to 5.0 million SF outpaced new deliveries of just 1.4 million SF by a 3-to-1 margin. Sale prices rose sharply in Q1 2026 to an average of $245 per SF, up 17% year-over-year, with the largest deals concentrated in Class A logistics buildings in the Northwest and Southwest corridors. Small-bay and infill industrial space remains the tightest segment of the market, with vacancy as low as 4 to 6%, while large-format logistics buildings face more competition from available sublease space.
What's driving Industrial prices in Phoenix
Phoenix industrial sale prices rose approximately 17% year-over-year to an average of $245 per SF in Q1 2026, recovering from a 2024-2025 trough driven by record oversupply, with institutional capital re-engaging aggressively for stabilized Class A assets.
- Vacancy compression: four consecutive quarters of declining vacancy as absorption outpaces sharply reduced new deliveries (down 82% YOY in Q1 2026)
- Semiconductor and advanced manufacturing demand surge: TSMC, Amkor, and 60+ industry expansions since 2020 driving structural industrial demand independent of logistics cycle
- Sharp bifurcation between small-bay (4-6% vacancy, rent growth) and large-format logistics (16%+ vacancy, oversupply still working through)
- Tariff-driven metals inflation (steel up 20.7% YOY) and power/electrical gear lead times of 42-52 weeks constraining new construction starts and supporting existing asset values
Recent Industrial comps in Phoenix, AZ
| Address | Date | Type | Size (SF) | Price / Rate | $/SF |
|---|---|---|---|---|---|
| 7111 S Crismon Rd (The Cubes at Mesa Gateway, Bldg C), Mesa, AZ 85212 news | Jun 2026 | Sale | 1200000 | $116,000,000 | $96.70 |
| Luke Field Bldg C, approx 13803 Northern Ave, Glendale, AZ 85307 news | Dec 2025 | Sale | 1300000 | $152,200,000 | $117.08 |
| Park303, Litchfield Park, AZ (approx 13500 W Camelback Rd area) news | Sep 2025 | Sale | 1300000 | $147,000,000 | $113.08 |
| 7000 W Buckeye Rd, Phoenix, AZ 85043 news | Oct 2025 | Sale | 285900 | $57,750,000 | $202.00 |
| Cotton 303 Logistics Center, approx Loop 303 / I-10 corridor, Goodyear/Surprise, AZ news | Q1 2026 | Sale | $104,000,000 | ||
| Two-building portfolio, Tolleson, AZ (approx 91st Ave corridor) news | Q1 2026 | Sale | $94,100,000 | ||
| 700 S 94th Ave (West 94 Commerce Park), Tolleson, AZ 85353 listing | Sep 2025 | Lease | 85000 | $0.85/SF/mo NNN ($10.20/SF/yr NNN) | $10.20/SF/yr NNN |
| Prologis Phoenix portfolio (multiple buildings), Phoenix Metro, AZ news | Dec 2025 | Sale | 221512 | $50,300,000 | $227.08 |
Frequently asked questions
What is the average price per square foot for industrial space in Phoenix, AZ?
Recent sale comps put the median around $117/SF, with a typical range of $113–$202/SF across 5 recent sales (Sep 2025 – Jun 2026).
What cap rates are industrial properties trading at in Phoenix?
Recent market data suggests roughly 5.5%–6.5% for stabilized industrial deals in the Phoenix area.
How are these numbers calculated?
They are automated estimates built from recent comparable sales found in public listings, property records, and brokerage announcements. They are not an appraisal or a broker opinion of value.
How do I find out what my Phoenix industrial property is worth?
Run a free valuation on CompNinja: enter the address and property type and you get an estimated value range from recent comps in under a minute. For a real opinion of value, we connect you with a licensed local broker at no cost.
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Figures are automated estimates derived from public listings, records, and brokerage announcements for Phoenix, AZ, not an appraisal or a broker opinion of value. Verify independently before relying on them. CompNinja connects owners with licensed local brokers; it is not a brokerage.