The highest leasing activity by square footage has been for deals between 100k and 249k sf, which account for 35.5% of Houston’s industrial total leasing volume since 2016.
When analyzing the deal counts since 2016, mid-sized lease transactions signed between 50k and 99k sf have accounted for 55.2% of all deals, compared to 34.4% for 100k–249k sf deals.
Leases signed for 500k to 749k sf make up just 7.5% of the deals, while leases exceeding 750k sf constitute only 1.5%.
The number of lease transactions peaked in 2022, with 50.2% of the activity involving 50k–99k sf deals while 100k–249k sf deals comprised 37.7% of the activity.
Despite a surge in demand for larger spaces exceeding 500k sf driven by e-commerce during the pandemic, the market is returning to normalcy, and the consistent trend remains focused on leasing spaces between 50k and 250k sf.
September 13, 2023