Industrial Market To Bounce Back In Late 2025, Prologis Says

The stagnation in tenant demand and rent growth that has plagued the country’s industrial market for roughly a year is likely approaching its lowest point, setting up a rebound in pricing in the latter half of next year, Prologis executives said Wednesday. Industrial leasing has remained sluggish after falling sharply in 2023 as tenants stayed in cost-cutting mode amid elevated inflation and interest rates. But during a third-quarter earnings call, Prologis’ leaders indicated the end of the slowdown may be in sight. “Overall, [the] bottoming process is underway, and we expect demand to remain soft in the near term,” said Tim Arndt, the firm’s chief financial...