Commercial real estate headlines often focus on national trends, but those numbers don’t always reflect what property owners, investors and businesses are experiencing in Spokane. Even local market averages only tell part of the story, particularly as interest rates, labor conditions and economic uncertainty continue to influence real estate decisions.
Using the latest Spokane market data and 2026 research from SVN International, we looked at what’s happening across office, retail, industrial and multifamily — and, more importantly, what those trends could mean if you’re considering a sale, purchase, lease or other commercial real estate decision.
Office: Spokane Continues to Outperform National Vacancy Trends
Nationally, the office market has been showing signs of stabilization. Absorption improved in 2025, new construction remains exceptionally limited, and building performance is playing a larger role in how individual properties compete for tenants and capital.
Spokane entered Q2 2026 with a 7.2% office vacancy rate, compared with 13.9% nationally. Spokane asking rents averaged $21.49 per square foot, with positive net absorption over the trailing 12 months.
What does that mean for you? If you own office property, national headlines may not accurately reflect the conditions affecting your building. If you’re looking to buy or lease office space for your business, Spokane’s relatively low vacancy means your options may vary considerably depending on location, size and building quality.
Retail: Low Vacancy, but Demand Is Becoming More Selective
National retail vacancy remained low at 4.3% in Q2 2026, while Spokane’s vacancy rate was 5.1%. Nationally, SVN Research describes current conditions as more of a normalization than a broad retail retreat, although performance increasingly differs by retail format and tenant category.
Locally, demand has been shifting toward food, fitness, medical and service-oriented users, while high construction and financing costs have limited new development. That has kept more leasing activity focused on existing centers, second-generation space and the repositioning or subdivision of larger vacancies.
What does that mean for you? If you own or are considering buying retail property, understanding which types of tenants are actively seeking space can help you evaluate a property’s leasing potential. If you’re a business looking for retail space, existing space may offer more opportunities than new construction, particularly if your business can make use of second-generation or repositioned space.
Industrial: Property Type Matters
Industrial remains one of the stronger commercial real estate sectors nationally, although conditions vary considerably by property type. SVN Research found large-format logistics properties experiencing higher vacancy while small-bay industrial remained considerably tighter nationally.
Spokane is seeing a similar divide. Some industrial segments remain tight, while others have more available space following recent development. That can create very different conditions depending on the type of property you own or space you need.
What does that mean for you? If you’re considering an industrial sale, purchase or lease, it’s worth looking beyond the overall market numbers to the specific type of space involved. For a closer look at current Spokane industrial vacancy, rents and availability by property type, read our Q3 Inland Northwest Industrial Update.
Multifamily: A Market Moving Toward Balance
Nationally, multifamily continues to work through the effects of a significant wave of new supply. Deliveries are now declining, with SVN Research citing forecasts for approximately 469,000 units in 2026, down 24% from the prior year. Rent growth has been modest, while pricing has shown early signs of stabilization.
Spokane has experienced its own period of elevated apartment construction and vacancy, making supply, operating costs and property-level performance increasingly important considerations for owners and buyers.
What does that mean for you? For existing owners, operational performance and current property fundamentals matter as the market works toward greater balance. For buyers, underwriting based on current rents, expenses and regulatory requirements is increasingly important when evaluating an acquisition.
For more detail on local vacancy, rents and current multifamily conditions, read our June 2026 Spokane County Multifamily Market Update.
The Bigger Picture
Market data provides useful context, but the real value comes from applying it to a specific property or decision. Vacancy, rents and broader trends can help establish where the market is headed, but they don’t tell you what your property is worth, whether it’s the right time to sell, or how a potential acquisition or lease compares with the alternatives.
That’s where local, property-specific insight becomes important.
If you’re considering buying, selling, leasing, refinancing or repositioning commercial property, our advisors can help you understand how current Spokane market conditions apply to your property and your goals. Contact SVN Cornerstone Commercial to talk through your options