Portland Real Estate Market Reports

Portland Office Market

Net absorption totaled negative 118,459 square feet in the third quarter of 2025. The Central Business District (CBD) accounted for the largest share of space returning to the market, followed by the Sunset Corridor as the weakest-performing suburban submarket. Office vacancy remained steady at 24.3% despite slight negative absorption. The market continues to see notable fluctuation in vacant and available space due to active sale listings and ongoing property transitions in the urban core. Asking rents remained largely unchanged, with the average rate holding at $31.24 per square foot, full-service gross.

Portland Industrial Market

Absorption in the third quarter totaled 24,762 SF, as vacancy rates remained at 6.6% marketwide. Positive leasing gains in the Rivergate and Swan Island/Close-in NE submarkets were offset by weak performances in the I-5 South Corridor and Clark County submarkets. Leasing activity was slightly down from the second quarter of 2025, as the market as a whole experienced less volatility than in recent quarters. The construction pipeline remained healthy, with several large projects breaking ground in the third quarter. Sewell Corporate Park in the Sunset Corridor submarket delivered 396,712 SF of Warehouse/Distribution space to the market.