Marcus & Millichap (NYSE: MMI) has published its Phoenix Industrial Investment Midyear 2026 Outlook report.
“Phoenix continues to rank among the nation’s leading industrial markets as improving supply-demand balance, strong population growth and expanding logistics activity reinforce the metro’s long-term investment appeal,” stated Ryan Sarbinoff, senior managing director, market leader.
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Key findings include:
- Phoenix remains one of the highest-ranked industrial markets nationally in the 2026 National Industrial Property Index as moderating construction activity helps improve overall market balance.
- Strong household formation and retail sales growth continue supporting long-term demand for warehouse, logistics and manufacturing facilities throughout the metro.
- Developers have reduced new construction activity following several years of elevated industrial expansion, helping temper future vacancy pressure across major submarkets.
- Investors continue targeting modern industrial assets located near major transportation infrastructure and rapidly growing residential population centers.
- Phoenix’s business-friendly environment and strategic Southwest location continue attracting industrial occupiers tied to manufacturing, e-commerce and regional distribution operations.
“Phoenix’s industrial strength is no longer defined by velocity alone, but by balance. As construction moderates and demand remains structurally sound, the market is a highly attractive destination for industrial capital,” added Sarbinoff.
Access the full report here.
