Ottawa Industrial Market Report

Space demand to remain resilient. After net absorption rebounded in the first quarter, the vacancy rate declined 20 basis points from the 3.0 per cent recorded at the end of 2025, suggesting vacancy may have moved past the peak. Looking ahead, space demand is expected to remain relatively steady, helping to stabilize vacancy rates. While escalating Canada-U.S. trade tensions in August and September are likely to create challenges for certain industries, the impact on Ottawa should be comparatively limited. The metro’s relatively small industrial market and lower reliance on trade and manufacturing provide some insulation from these pressures, as demand is driven primarily by local distribution and fulfillment requirements rather than export-oriented industries.