The industry's own research.
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The Cushman & Wakefield Kansas City Industrial Q1 2026 report covers the commercial industrial real estate market, documenting a 5.9% vacancy rate, 1.8 million square feet of year-to-date net absorption, and an asking rent of $5.75 per square foot, with the overall market showing positive absorption and declining vacancy in the first quarter. The document notes that after the national industrial market cooled in 2024 and 2025, Kansas City saw leasing activity decline from a 2021 peak of 14.9 million square feet to 10.9 million square feet in 2025, though absorption rebounded to a record 11.8 million square feet in 2025, and indicates that increased vacancy in older Class B warehouse buildings alongside falling Modern Distribution vacancy may signal demand for new development.

The Kansas City office market recorded 171,000 square feet of year-to-date net absorption in Q1 2026, with an overall vacancy rate of 18.7% and asking rent of $23.19 per square foot across all property classes. The market showed strong performance driven by large tenant move-ins at Crown Center and expected major occupancy of approximately 425,000 square feet at Aspiria later in 2026, though speculative development remains limited despite continued flight-to-quality trends favoring top-tier space.

This Newmark Zimmer report examines the Kansas City industrial market in first quarter 2026, finding that the region recorded 1.9 million square feet of net absorption with vacancy declining 50 basis points to 4.5%, ranking third-lowest among the top 30 U.S. industrial markets. The document reports that industrial average asking rents increased 36.3% over the past seven years to $6.20/SF, with the combined construction pipeline totaling 6.9 million square feet split between build-to-suit and speculative projects, as developers shift toward spec development planned for 2Q26.

The 1Q26 Kansas City office market report by Newmark covers employment trends, leasing fundamentals, and transaction activity, finding that the region's unemployment rate stood at 3.9% in December 2025 (50 basis points below the national average) while nonfarm payroll employment remained flat at -0.3%, with construction and education-health sectors leading job growth while business and professional services posted the largest losses. The report documents strong leasing momentum with 463,336 SF of net absorption in the quarter and 1.1 MSF over the past four quarters marking the seventh consecutive quarter of positive absorption, vacancy declining to 15.2% (down 130 basis points year-over-year), and average asking rents at $22.87/SF projected to grow 2.50% to 3.25% by year-end 2026.

Cushman & Wakefield's Q1 2026 Kansas City multifamily market report shows a 4.5% vacancy rate, $1.49 effective rent per square foot, and 0.9K net absorption across 190,759 total inventory units, with approximately 7,000 units under construction. The market experienced 3.2% year-over-year rent growth, outpacing national averages, while unemployment held at 4.1% and absorption outpaced deliveries by 200 units in the quarter, indicating steady sustainable growth.

Investment activity in the Kansas City market reached $4.2 billion in total sales volume over the past year, representing a 20.6% increase compared to the prior five-year average, with multifamily and retail assets accounting for 66.1% of activity and the metro area ranking fourth among the 13 largest Midwest markets. Capitalization rates compressed by 98 basis points year-over-year to 6.1% in first quarter 2026, rental rates reached record highs in industrial ($6.23 per square foot) and multifamily ($1,430 per unit) sectors, and vacancy rates declined year-over-year in office, multifamily, and industrial property types.

Kansas City's retail market outperformed regional and national benchmarks in early 2026, with leasing activity exceeding new deliveries by six-to-one over the past four quarters, occupancy at 95.4%, and investment volume reaching $725 million in the preceding 12 months—a 55.5% year-over-year increase. The National Retail Federation projects U.S. retail sales to grow 4.4% year-over-year in 2026 to approximately $5.6 trillion, supported by stable employment, wage growth, and healthy household balance sheets, though risks including inflationary pressures and geopolitical uncertainty remain.

Kansas City's industrial real estate market achieved 11.8 million square feet of net absorption in 2025, the highest total since 2007, with a year-end vacancy rate of 6.2% and asking rents at $5.73 per square foot. The market was characterized by a shift toward build-to-suit projects (8.3 million square feet, or 84.5% of total deliveries), including Panasonic's 2.7-million-square-foot battery manufacturing facility in De Soto, Kansas, though sustained growth will likely depend on increased leasing activity in smaller speculative buildings of 200,000 to 500,000 square feet.

This is a quarterly industrial market report published by CBRE on March 31, 2026, presenting figures and data for the Kansas City market in the first quarter of 2026.

This is a quarterly data and figures report on the Kansas City office market published by CBRE in the first quarter of 2026.