Las Vegas Office Market
Despite subdued leasing activity, the first quarter of 2025 recorded a modest net absorption gain of 56,751 SF. Total vacancy (12.5%) was flat quarter-over-quarter.
Asking rents remain above year-ago levels but are increasing at a slower pace than in previous years.
Sublet availability (0.8%) remains low relative to other Southwest markets.
Hybrid work continues to reshape space demand. Office space per new office-using job has declined from a pre-pandemic average of 215 SF to just 83 SF today, highlighting tenant optimization trends.
Las Vegas Industrial Market
1.5 MSF in quarterly net absorption gains met with 2.6 MSF in construction deliveries caused vacancy to rise to 11.3%. Available sublease space has hovered in the 1.3- to 1.8-MSF range for the last five quarters. A plateau, suggesting tenant givebacks of excess space are winding down. Still-high inflation and more-restrained retail spending continue to delay the expansion plans of some tenants. Construction received a boost this quarter after foundation work was done for what will become Haas Automation鈥檚 2.4-MSF manufacturing facility in Henderson. Leasing activity was modestly up for the second consecutive quarter.