Office Sector
The Akron office market has a vacancy rate of 6.8% as of the first quarter of 2025. Over the past year, the market’s vacancy rate has changed by 0.3%, a result of 140,000 SF of net delivered space and 22,000 SF of net absorption.
Akron’s vacancy rate of 6.8% compares to the market’s five-year average of 6.6% and the 10-year average of 6.1%.
The Akron office market has roughly 3.4 million SF of space listed as available, for an availability rate of 10.0%. As of the first 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 34.1 million SF of inventory. The market has approximately 5.1 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 $16.70/SF. Rents average around $23.00/SF for 4 & 5 Star buildings, $16.90/SF for 3 Star properties, and $14.20/SF for 1 & 2 Star assets.
Rents have changed by 1.8% year over year in Akron, compared to a change of 1.1% nationally. Market rents have changed by 2.4% in 4 & 5 Star buildings year over year, 1.2% in 3 Star buildings, and 2.0% in 1 & 2 Star buildings. Annual rent growth of 1.8% in Akron compares to the market’s five-year average of 2.2% and its 10-year average of 2.0%.
Industrial Sector
Akron’s industrial market is on solid footing heading into 2025. Unlike national trends where record-level speculative development pushed vacancy higher, a relatively limited amount of new supply and solid demand has kept vacancy in Akron in line with typical levels for the market.
Over the trailing 12-month period, net absorption in Akron totaled 1.2 million SF compared to the 10-year average of 960,000 SF. Healthy net absorption and demolition activity pushed the vacancy rate down 100 basis points year over year to 3.4%, well below the national benchmark of 6.9%.
The market’s tight availability weighs on leasing volume. Around 340,000 SF was leased in 24Q3, making it one of the weakest third-quarter totals over the past decade. Limited availability will continue to dampen industrial demand in Akron as the development pipeline remains muted.
Around 770,000 SF is under construction, the lowest level in a decade. High interest rates continue to weigh on construction starts and the pace of deliveries will remain limited over the near term. As a share of market inventory, construction in Akron represents 3.4% compared to the national benchmark of 6.9%.
Similar to the national trend, industrial rent growth in Akron is decelerating, and annual growth averages 1.8%, still a healthy figure for the market. Manufacturing space is supporting rent growth in Akron, with gains of -0.4%, reflecting tight vacancies and strong demand for modern manufacturing space.
Retail Sector
The Akron retail market has a vacancy rate of 3.3% as of the first quarter of 2025. Over the past year, the market’s vacancy rate has changed by 0.4%, a result of 23,000 SF of net delivered space and -180,000 SF of net absorption.
Akron’s vacancy rate of 3.3% compares to the market’s five-year average of 3.3% and the 10-year average of 3.6%.
Among the retail subtypes, neighborhood center vacancy stands at 5.1%, power center vacancy is 4.4%, strip center vacancy is 4.9%, mall vacancy is 7.5%, and general retail vacancy is 2.2%. The Akron retail market has roughly 2.1 million SF of space listed as available, for an availability rate of 4.5%.
As of the first quarter of 2025, there is 35,000 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 48.2 million SF of inventory. The market has approximately 10.5 million SF of neighborhood center inventory, 4.5 million SF of power center inventory, 3.0 million SF of strip center inventory, 780,000 SF of mall inventory, and 29.0 million SF of general retail.
Market rents in Akron are $14.00/SF. Rents have changed by -0.8% year over year in Akron, compared to a change of 1.8% nationally. Annual rent growth of -0.8% in Akron compares to the market’s five-year average of 2.7% and its 10-year average of 1.8%.
Akron Economic Outlook
As Akron, Ohio, enters the first quarter of 2025, the city’s economic outlook is cautiously optimistic. Recent data from the Bureau of Labor Statistics indicates a declining unemployment rate, reaching 4.1% in November 2024, down from 5.3% in June 2024, suggesting a strengthening labor market. Bureau of Labor Statistics
Additionally, Mayor Shammas Malik’s introduction of a $368 million capital budget for 2025 underscores the city’s commitment to infrastructure and community development, with significant investments planned for community centers, road resurfacing, and housing initiatives. Ideastream
In the commercial real estate sector, Akron is poised for a gradual recovery. National trends suggest that the U.S. commercial real estate market is set to rebound in 2025, driven by strengthening fundamentals and growing investor confidence. FS Investments
Locally, the office market in Akron has maintained relatively low vacancy rates, standing at 5.9% as of the second quarter of 2024, which is significantly below the national average of 13.8%. This stability is attributed to limited new office space deliveries and modest negative net absorption. Hoff & Leigh
Looking ahead, the city’s strategic investments, particularly in the Polymer Industry Cluster—which has secured nearly $100 million in funding—are expected to bolster economic growth and, by extension, positively influence the commercial real estate landscape. Akron, OH
However, challenges persist, including potential interest rate fluctuations and the ongoing evolution of work models affecting office space demand. Nonetheless, Akron’s proactive approach to economic development and infrastructure investment positions it favorably for sustainable growth in the commercial real estate sector throughout 2025.