Office Sector
The Akron office market has a vacancy rate of 7.8% as of the second quarter of 2025. Over the past year, the market’s vacancy rate has changed by 2.0%, a result of 200,000 SF of net delivered space and -510,000 SF of net absorption.
Akron’s vacancy rate of 7.8% compares to the market’s five-year average of 6.7% and the 10-year average of 6.2%.
The Akron office market has roughly 3.5 million SF of space listed as available, for an availability rate of 10.2%. As of the second quarter of 2025, there is no office space under construction in Akron. In comparison, the market has averaged 160,000 SF of under construction inventory over the past 10 years.
The Akron office market contains roughly 34.0 million SF of inventory. The market has approximately 5.2 million SF of 4 & 5 Star inventory, 14.7 million SF of 3 Star inventory, and 14.2 million SF of 1 & 2 Star inventory.
Market rents in Akron are $16.60/SF. Rents average around $23.00/SF for 4 & 5 Star buildings, $16.50/SF for 3 Star properties, and $14.30/SF for 1 & 2 Star assets.
Rents have changed by 2.0% year over year in Akron, compared to a change of 0.9% nationally. Market rents have changed by 2.0% in 4 & 5 Star buildings year over year, 2.3% in 3 Star buildings, and 1.7% in 1 & 2 Star buildings. In Akron, five-year average annual rent growth is 1.7% and 10-year average annual rent growth is 1.8%.
Industrial Sector
Akron’s industrial market is softening heading into mid-2025. Net absorption fell negative over the past two quarters, sending the vacancy rate up 50 basis points in the six-month period ending in 25Q1. Overall development in Akron has been muted, however, and limited supply-side pressure has kept the vacancy rate well below peer markets. As of the second quarter of 2025, industrial vacancy in Akron is 4.1% compared to the national benchmark of 7.2%.
Similar to national trends, leasing activity has softened in recent quarters. Uncertainty surrounding tariff policies have led to many companies placing decisions on hold, especially after a period of rapid expansion in 2022- 2023. Leasing volume in Akron totaled 1.3 million SF over the past four quarters compared to the pre-pandemic average of 2.3 million SF. Around 60% of leasing activity is in the Twinsburg/Aurora Submarket. The area benefits from its strategic location along the I-71 corridor, offering direct access to larger distribution markets such as Columbus.
Elevated interest rates and the high cost of labor and materials have weighed on construction activity in Akron. Around 600,000 SF is under construction, the lowest level in a decade. As a share of market inventory, construction in Akron represents 0.5% compared to the national benchmark of 1.5%. The largest project underway is a 290,000-SF property in Twinsburg. The speculative development is slated to deliver in the second half of 2025. While limited land availability weighs on construction throughout northeast Ohio, particularly in Cleveland, southern Akron has a competitive advantage in terms of land availability. The market is also ideally located along key interstates with access to regional supply chain hubs. Market participants have noted that site readiness initiatives are concentrated within the Akron market to prepare the region for spillover demand as the advanced manufacturing sector grows in central Ohio.
Similar to the national trend, industrial rent growth in Akron is decelerating, and annual growth averages 2.1%, well below typical levels prior to 2020. Akron’s softer leasing trends will likely keep rent growth below the national benchmark over the near term.
The balance of risks to the forecast is tilted somewhat to the downside as economic uncertainty lead to businesses pausing on expansions. Lower consumer sentiment may also weigh on goods spending and have a negative impact on demand for warehouse and distribution space.
Retail Sector
The Akron retail market has a vacancy rate of 3.3% as of the second quarter of 2025. Over the past year, the market’s vacancy rate has changed by 0.2%, a result of 230,000 SF of net delivered space and 130,000 SF of net absorption.
Akron’s vacancy rate of 3.3% compares to the market’s five-year average of 3.4% and the 10-year average of 3.6%.
Among the retail subtypes, neighborhood center vacancy stands at 7.6%, power center vacancy is 3.2%, strip center vacancy is 4.1%, mall vacancy is 7.5%, and general retail vacancy is 1.5%. The Akron retail market has roughly 2.2 million SF of space listed as available, for an availability rate of 4.6%.
As of the second quarter of 2025, there is 6,900 SF of retail space under construction in Akron. In comparison, the market has averaged 100,000 SF of under construction inventory over the past 10 years. The Akron retail market contains roughly 47.1 million SF of inventory. The market has approximately 10.7 million SF of neighborhood center inventory, 4.5 million SF of power center inventory, 2.9 million SF of strip center inventory, 780,000 SF of mall inventory, and 27.9 million SF of general retail.
Market rents in Akron are $13.20/SF. Rents have changed by -4.5% year over year in Akron, compared to a change of 1.8% nationally. Market rents have changed by -4.8% in neighborhood center properties year over year, -3.5% in power center properties, -4.6% in strip center properties, -4.0% in mall properties, and -4.5% in general retail properties. In Akron, five-year average annual rent growth is 2.0% and 10-year average annual rent growth is 1.5%.
Akron Economic Outlook
As Akron, Ohio moves into the second quarter of 2025, its economic outlook remains cautiously optimistic. The unemployment rate has declined to 3.6% as of November 2024, reflecting a strengthening labor market, though total employment still trails pre-pandemic levels. Efforts to diversify the economy, such as investments in the polymer industry and downtown revitalization projects, are ongoing. The city’s healthcare sector continues to be a significant economic driver, with expansions in facilities like Akron Children’s Hospital contributing to job growth. Matthews™
In the commercial real estate sector, Akron’s office market shows signs of stability. As of the first quarter of 2025, the vacancy rate stands at 6.8%, slightly above the five-year average but still below national levels. Rental rates have experienced modest growth, with Class A buildings commanding higher rents due to amenities and location advantages. However, Class B and C properties face challenges in attracting tenants, highlighting a bifurcation in the market. Crain’s Cleveland
The industrial real estate market remains robust, with a vacancy rate of 3.4% and limited new construction activity. Strong demand, particularly for modern manufacturing spaces, supports healthy rent growth and occupancy levels. Conversely, the retail sector experiences mixed performance; while the overall vacancy rate is low at 3.3%, certain subtypes like malls face higher vacancies. Retail rents have seen a slight decline, reflecting shifting consumer preferences and market dynamics. Hoff & Leigh
Overall, Akron’s commercial real estate market in Q2 2025 is characterized by resilience in the industrial sector, cautious optimism in the office market, and selective challenges in retail. Continued economic diversification and strategic investments are essential to sustaining growth across these sectors.