What is moving
Business in Vancouver's recent commercial outlook reports that twelve Metro Vancouver industrial buildings over 100,000 sq. ft. went under contract or into late-stage offer negotiations heading into 2026. Multiple new deals are underway for spaces over 100,000 sq. ft. through Q2.
Large-format brokers expect the available pool of these buildings to be cut roughly in half by mid-2026 if the current pace holds.
Why now
- Occupier confidence in long-term Metro Vancouver volume has stabilized, particularly in distribution and food.
- Construction pipeline visibility narrowed — large users see fewer ways to wait for a better building.
- Cap rates on completed product softened to where users can underwrite at terms they would not have signed a year ago.
What this signals for everyone else
When the largest buildings absorb first, the next tier — 50,000 to 100,000 sq. ft. — typically tightens within two to three quarters. That tightening has historically pushed mid-bay and small-bay rents up with a lag, as users priced out of the top tier reset their search.
If you are sizing in the mid-bay range, the next twelve months are not the right window to assume your options will widen.
This note is an editorial read of the source above. Quoted figures and conclusions belong to the original publisher; the framing and submarket interpretation are ours.