Sydney Industrial and Logistics Figures Q2 2026

Key Points:

• Gross take-up moderated to around 130,000 sqm in Q2 2026, with occupier demand remaining broad-based across wholesale, manufacturing and construction-related sectors.
• Vacancy continued to rise over the first half of 2026, creating a more balanced leasing market while remaining below long-term equilibrium levels.
• Around 280,000 sqm of new supply was delivered during the quarter, with completions concentrated in the Outer North West.
• Just over one-third of the 2026–2027 development pipeline is pre-committed, supporting confidence in well-located future projects.
• Net face rents remained broadly stable, while higher incentives continued to place downward pressure on effective rental growth.
• Industrial land values remained stable across Sydney, supported by constrained development feasibility and resilient owner-occupier demand.
• Super prime investment yields remained stable across all precincts, with investment activity expected to strengthen through the second half of 2026.