Tenant demand for small and mid-sized industrial properties remains one of the most reliable strengths of today’s market. According to Marcus & Millichap’s 2025 Industrial Report, small and mid-sized industrial properties are showing remarkable resilience amid the overall vacancy rate edging upwards nationwide. Cushman & Wakefield’s Q2 2025 Marketbeat Report confirms the trend, reporting a national industrial vacancy rate of 7.1% compared to just 4.4% for warehouses under 100,000 square feet.
This divide highlights a clear trend for smaller industrial assets to continue to perform as newer, larger facilities face rising vacancy and slower lease-up. Construction activity reinforces this imbalance, with nearly three-quarters of projects underway exceeding 200,000 square feet, while developments under 100,000 square feet account for just 10% of the pipeline.
A Market Shift That Matches Sealy & Company’s Expertise
For Sealy & Company, these market dynamics reaffirm the value of a segment that has long been central to our investment approach. While the firm holds investments across a range of property sizes, Sealy & Company has carved out a distinct advantage in small and mid-sized buildings, which is a focus dating back nearly 70 years.
Sealy & Company’s Long-Term View
Source Acknowledgment
About Sealy & Company
Sealy & Company, a fully integrated commercial real estate investment, and operating company, is a recognized leader in acquiring, developing, and redeveloping regional distribution warehouse, industrial/flex, and other commercial properties. Sealy provides a full-service platform for high-net-worth individuals and institutional investors through our development, management, and brokerage divisions. Sealy & Company has an exceptional team of over 100 employees, located in five offices, with corporate offices in Dallas, TX and Shreveport, LA.
