Montreal’s industrial market remains the tightest segment with vacancy below 3%. E-commerce logistics, cold storage, and last-mile distribution continue to drive demand. Saint-Laurent and Laval lead in absorption.
2.8%
Vacancy rate
$12.50
Avg rent/sq ft
1.2M sq ft
New supply
95%
Absorption
Supply & Demand
Vacancy remains historically low at 2.8%. New construction of 1.2M sq ft is 95% pre-leased, indicating demand far exceeds supply. Developers are pivoting to speculative builds in secondary markets.
Key Submarkets
Saint-Laurent continues to dominate with its proximity to the airport and highway access. Laval’s industrial parks are absorbing overflow demand. Lachine’s canal-adjacent properties attract mixed industrial-creative uses.
Pricing Trends
Industrial lease rates have increased 18% over two years. Sale prices for modern logistics facilities exceed $200/sq ft in prime locations. Cap rates have compressed to 4.5–5.5%.