Philadelphia I-81/78 Corridor Industrial Market
Industrial vacancies in the I-81/78 Corridor ended the year in line with the region’s long term historic average of 8.2%. Annual leasing activity in 2025 ended the year roughly 34.0% below the historical average of 35 million SF. Negative net absorption characterized the region during 2025, totaling negative 1.7 million SF for the year. The Northeastern PA submarket has led the region in asking rent growth, with year-over-year gains reaching 8.8% in the fourth quarter of 2025. This compares favorably to 0.8% annual growth reported for the greater metro area.