Panama City Industrial Market Report
Market Overview
- Inventory Expansion: Total inventory continued to expand through December 2025, driven by developer confidence in the country’s long-term logistics potential and a significant influx of new speculative supply.
- Demand Trends: The third quarter saw a marked slowdown in demand as companies postponed major expansion decisions due to regional caution and trade uncertainty with the United States.
Pricing and Availability
- Stable Pricing: Despite lower transactional activity, list prices remained stable, reflecting a concentration of new supply in high-quality projects within prime submarkets.
- Absorption: The increase in inventory was not fully absorbed, resulting in a slight decrease in the overall availability rate.
Regional Performance
- Strategic Hubs: Growth remains concentrated in the Eastern Periphery and Reverted Areas, valued for their infrastructure and direct access to ports, airports, and major transport routes.
- Sector Drivers: Logistics, distribution, and light manufacturing continue to be the primary drivers for modern, ready-to-occupy properties.
Future Outlook
- Diversification: While demand slowed quarterly, the outlook remains positive. There is increasing interest from developers and authorities to expand into emerging submarkets to balance urban and economic development.