Market intelligence / Q2 2026 edition

Austin Industrial
Market Report

Supply, leasing, submarkets and development — one view of the forces shaping your next industrial real estate decision.

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The market in context

What is happening in Austin industrial?

Austin’s industrial market is absorbing a substantial wave of new supply. Leasing conditions differ by building type and location: larger logistics properties face more competition, while specialized facilities remain tighter. This report brings market-wide indicators, local submarket comparisons and the development pipeline together to inform property-specific decisions.

Illustrative modern industrial warehouse at dusk
The snapshot

What do the key figures show?

New deliveries exceeded net absorption in the source report’s trailing-year period. The result is a market where location, functionality and competing availability deserve more attention than a single headline.

184.7M SFTotal industrial inventory

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

14.2%Market-wide vacancy

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

$14.15Average asking rent / SF

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

5.4M SFNet absorption · trailing 12 months

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

9.4M SFDeliveries · trailing 12 months

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

17.1M SFUnder construction

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

$377.5MSales volume · trailing 12 months

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

7.6%Estimated market cap rate

Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition. Data notes.

Edition and observation dates are different. These are figures from the supplied Q2 2026 report editions. The originals do not specify the underlying dataset’s observation date or identify its vendor. “Trailing 12 months” refers to the source dataset’s period; these are historical report figures, not current quotations.

Asking rent is reproduced in the source’s dollars-per-square-foot format. The original does not establish a consistent lease expense basis for comparison with individual properties.

Leasing conditions

Where is the pressure concentrated?

Industrial is not a single product. Large distribution buildings, flex properties and specialized facilities serve different users and compete within different sets of alternatives. A building can face substantial leasing competition even when another category nearby has few workable options.

Product vacancy • Source: Greg Cooper, Austin Industrial Market Report, Q2 2026 edition.
Product typeVacancy
Logistics17.7%
Flex13.4%
Specialized industrial3.9%

Tenants: compare the complete occupancy cost.

Use competing availability to test the economics of a lease, including improvements, delivery condition, operating expenses and expansion needs. A lower asking rent is useful only if the space can support the business.

Owners: make the building’s fit clear.

Position the property around its actual operational advantages. Loading, power, access, yard configuration and move-in timing can distinguish a useful building from otherwise similar available space.

Local market comparison

How do Austin’s industrial submarkets compare?

The source report maps local search areas to broader statistical areas. The repeated figures below are intentional: Hutto and Taylor use Round Rock data; Manor and Pflugerville use Far Northeast data; Buda, Kyle and San Marcos use Hays County data. They are not independent city-level measurements.

Source for every figure: Greg Cooper, Austin Industrial Submarket Report, Q2 2026 edition. K = thousand; M = million. Negative absorption indicates a net decline in occupied space.
Local areaStatistical areaVacancyAsking rent / SF12-mo net absorptionUnder construction
North AustinNorth12.0%$14.69−507K SF0 SF
Northeast AustinNortheast8.2%$14.67537K SF246K SF
East AustinEast12.6%$15.5558.7K SF1.64M SF
Southeast AustinSoutheast21.3%$13.74−78.7K SF1.95M SF
South AustinSouth13.7%$17.04198K SF15K SF
Round RockRound Rock11.3%$14.692.3M SF3.87M SF
GeorgetownGeorgetown21.9%$12.461.6M SF1.89M SF
PflugervilleFar Northeast13.6%$12.56340K SF815K SF
HuttoRound Rock11.3%$14.692.3M SF3.87M SF
TaylorRound Rock11.3%$14.692.3M SF3.87M SF
ManorFar Northeast13.6%$12.56340K SF815K SF
BudaHays County17.6%$12.44276K SF1.32M SF
KyleHays County17.6%$12.44276K SF1.32M SF
San MarcosHays County17.6%$12.44276K SF1.32M SF

Established Austin corridors

North Austin’s negative absorption calls for attention to current move-outs and available buildings. Northeast Austin shows a different balance of vacancy and demand. East Austin’s construction pipeline adds another consideration alongside existing supply. South Austin’s higher asking rents should be assessed against property size, configuration and location rather than treated as a blanket pricing premium.

The northern growth markets

Round Rock’s absorption is meaningful, but its broader boundary also captures activity relevant to Hutto and Taylor. Georgetown combines strong absorption with substantial vacancy and construction. Those conditions can coexist: demand is present, yet owners still compete to lease available and incoming space.

Southeast and Far Northeast

Southeast Austin’s vacancy and negative absorption make competitive positioning especially important. For Manor and Pflugerville, the shared Far Northeast figures provide regional context, not a substitute for a specific property search. Access and operational fit may matter more to a user than the area’s average rent.

The southern corridor

Buda, Kyle and San Marcos share the source’s Hays County statistics. Evaluate each city and individual site separately for labor access, highway connections, utilities and competing deliveries. A county-wide figure should start the analysis, not determine the conclusion.

Source: Greg Cooper, Austin Industrial Submarket Report, Q2 2026 edition. Data notes.

Development watch

How much of the pipeline is already committed?

The development report identifies 17.1M SF under construction and 65.9% preleased across the overall pipeline. A committed manufacturing facility does not create the same leasing competition as an unleased speculative warehouse.

Source: Greg Cooper, Austin Industrial Development Report, Q2 2026 edition. Data notes.

Selected construction concentrations • Source for every figure: Greg Cooper, Austin Industrial Development Report, Q2 2026 edition. Preleasing and construction status reflect the source dataset, not a live project update.
Statistical areaUnder constructionPreleased
Round Rock3.87M SF87.9%
Bastrop County2.10M SF100%
Caldwell County2.08M SF98.9%
Southeast1.95M SF47.6%
Georgetown1.89M SF35.3%
East1.64M SF85.0%
Hays County1.32M SF0.4%
Cedar Park1.17M SF41.2%
Far Northeast815K SF0%
Northeast246K SF90.8%

Round Rock’s pipeline is largely committed in the source data. The same is true of Bastrop and Caldwell counties, where substantial construction should not automatically be interpreted as future competitive inventory. Georgetown and Southeast Austin have a more mixed preleasing profile.

Hays County and Far Northeast show much less preleasing in the supplied dataset. For a proposed project in either area, the relevant question is how its delivery window, suite sizes and intended users overlap with competing space. Cedar Park also warrants a project-by-project look rather than a conclusion based on total construction alone.

For developers, the starting point is a realistic lease-up plan grounded in the intended user. For investors, evaluate remaining capital costs, tenant commitments and the basis required to compete with newer alternatives. For occupiers, confirm that projected availability matches operational timing.

Source: Greg Cooper, Austin Industrial Development Report, Q2 2026 edition. Data notes.

Put the findings to work

What should guide your next decision?

Leasing or renewing

Compare the current location with credible alternatives. Review total occupancy economics and the building improvements required before using area averages to frame negotiations.

Explore industrial leasing →

Buying or investing

Separate a property’s existing income from assumptions about future rents and occupancy. Match debt, capital improvements and holding period to the actual business plan.

Explore industrial investments →

Selling a property

Frame value around the building’s competitive position, lease profile and buyer audience. Address likely diligence questions before they become transaction obstacles.

Explore industrial dispositions →

Selecting a development site

Test access, utility capacity, use constraints and competing deliveries together. The right site needs a workable path from acquisition through occupancy.

Explore site selection →
Continue the analysis

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Sources & methodology

  1. Greg Cooper, Austin Industrial Market Report, Q2 2026. Supplied original HTML: Greg_Cooper_Austin_Industrial_Market_Report_Q2_2026.html. Source for market-wide indicators and product vacancy.
  2. Greg Cooper, Austin Industrial Submarket Report, Q2 2026. Supplied original HTML: Greg_Cooper_Austin_Industrial_Submarket_Report_Q2_2026.html. Source for local-area comparisons and statistical-area mappings.
  3. Greg Cooper, Austin Industrial Development Report, Q2 2026. Supplied original HTML: Greg_Cooper_Austin_Industrial_Development_Report_Q2_2026.html. Source for construction and preleasing figures.

The originals describe third-party datasets supplied for preparation, but do not name a vendor or state a precise observation date. This summary preserves their Q2 2026 edition labels without assigning an unsupported vendor or data date. Figures are rounded; statistical areas do not always follow municipal boundaries. The source’s unreconciled total for available construction space is omitted. Commentary synthesizes the supplied reports; property-specific conditions require separate review.

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