3PLs Account for Most of Warehouse Expansions in 2026

Industrial occupiers continued to build momentum in the first half of 2026, supported by an uptick in new leasing, strong build-to-suit development, and user purchases, according to new data from Colliers.

New bulk industrial occupancies of 100,000 square feet increased to 221 million square feet through June, 25% higher than the same period last year.

Demand was 82% higher than in the first half of 2025.

Together, these gains indicate that the industrial market has moved beyond the post-pandemic slowdown, with tenants resuming expansion plans and absorbing available space at a faster pace.

Colliers

Key takeaways:

·       Users moved into 26 buildings of 1 million square feet or larger in the first half of the year, nearly double from the same period last year. More than one-third of these move-ins were build-to-suit facilities or user purchases, with activity concentrated in the West, Southeast, and Southcentral regions.

·       Third-party logistics (3PL) providers, manufacturing, and building materials and construction companies accounted for most of these transactions.

·       The Midwest recorded the most bulk move-ins during the first half of 2026, with 196 occupancies totaling 49 million square feet, an 18% increase from the same period last year. The West led in volume, up 14% year over year. Growth was strongest in the Northeast, where occupancy volume surged 173%. The Southeast was the only region to record a decline, with volume falling 17%.

·       New bulk occupancies increased across every size range during the first half of 2026, led by spaces of 750,000 square feet or larger, where volume surged 52% year over year. Occupancy volume grew by more than 20% in every size category, but growth was more modest in spaces between 100,000-199,999 square feet.

·       The broad-based improvement indicates that big-box demand has returned in earnest following a couple of slower years. The rebound is consistent with big-box vacancy rates, which have now declined for several consecutive quarters nationally and across most major markets.

·       Asian-based companies have represented approximately 23% of 3PL bulk occupancies since the beginning of 2024.

·       Manufacturing companies accounted for nearly 15% of bulk occupancies in the first half of 2026, down from 17% in 2025.

·       Building materials, construction, power equipment, and HVAC companies increased their share to more than 10%, up from 8% last year.

·       Data center and technology-related occupancies also continued to rise, driven particularly by companies that manufacture, store, and distribute the electrical, cooling, and other infrastructure needed to support data center development.

·       E-commerce users took up less space during 2024-2025, accounting for 4.4% of bulk occupancies in the first half of 2026.

“Looking ahead, stronger leasing activity over the past several quarters is expected to support continued growth in bulk occupancies through the remainder of 2026, as users move into recently leased space and build-to-suit facilities are delivered,” according to the report. “With demand now outpacing new supply and the construction pipeline remaining well below its recent peak and pre-COVID levels, the U.S. industrial market is approaching its next growth cycle. Vacancy appears to have peaked and should gradually decline as space is absorbed, tenant move-outs moderate, and new supply remains measured. The pace of improvement will vary by market and region, but demand from an increasingly diverse range of occupiers — including 3PLs, manufacturers, construction-related companies, data center suppliers, and e-commerce users — should sustain momentum into 2027.”