Stay informed with the latest trends shaping the Pittsburgh commercial real estate market. Dive into our Quarterly Market Reports for key insights, market activity, and an in-depth look at the trends impacting the region.
OFFICE – Pittsburgh’s office market showed its first tangible signs of stabilization in Q3 2025, as total vacancy’s declined to 9.7% from 10.3% in the previous quarter. Net absorption reached 278,000 square feet, reversing Q2’s – 306,000 square feet and improving year-to-date performance to -382,000 square feet. Average asking rents held steady at $20.31 per square foot full service, reflecting firm pricing even amid elevated concessions. Only one project delivered during the quarter, with 515,000 square feet remaining under redevelopment-evidence of continued construction discipline. Leasing momentum remains concentrated in newer and recently renovated assets, while overall availability steadied at 11.6%. With flight-to-quality trends supporting incremental occupancy gains, the market appears to be moving gradually toward balance as 2026 approaches
INDUSTRIAL – The Pittsburgh industrial sector softened again in Q3 2025, with total vacancy rising to 6% from 5.4% in the prior quarter. Net absorption registered – 641,000 square feet, pushing year-to-date losses past 1.3 milliion square feet as tenant contractions persisted in submarkets such as South Pittsburgh and Parkway West. Average asking rents rose modestly to $9.08 per square foot NNN, supported by limited new supply and selective pricing among higher-quality assets. Construction activity remained muted, with only 210,000 square feet delivered and roughly 450,000 square feet under development-well below historical norms. Despite the weaker occupancy metrics, the market’s foundation remain sound relative to national averages. Ongoing developer restraint and a lack of speculate building are expected to help vacancy stabilize near the 6% range as condition normalize heading into 2026.
RETAIL – The Pittsburgh retail market softened slightly in Q3 2025, as vacancy held at 4.6% and availability edged up to 5.9% amid ongoing store closures and measured leasing activity. Net absorption totaled -526,000 square feet, following -467,000 square feet in Q2 and bringing year-to-date absorption to -1.09 million square feet. Even so, average asking rents rose to $18.94 per square foot NNN, up from $18.36 last quarter, supported by constrained new development and steady neighborhood retail
demand. Only two projects were delivered this quarter, with 43,000 square feet under construction, underscoring a limited pipeline. While broader retail headwinds persist, resilient local spending and disciplined construction continue to underpin market stability heading into 2026
