2026 Industrial Review Spotlight - Featured Company: Marcus & Millichap

What projects, initiatives, or types of work have been keeping your team busiest during the first half of 2026? Buyers are increasingly hyper focused on short-term leaseability and rent roll security. Investors with the ability to add value through lease up will be able to make money in today’s market, as many participants aren’t willing to take on vacancy risk. Also, given the increased cost of renovations, physical condition is being scrutinized more than it may have been in past years. As a result, we suggest that owners conduct roof inspections and evaluate other building systems before going to market to identify potential issues and position the asset more competitively.

What trends or shifts have stood out most to you so far this year within your industry? We’re seeing significant opportunities in smaller tenant industrial buildings, often called small-bay, contractor-bay or shallow-bay properties. These assets provide space for local operations, offer simpler leasing, and generate 20 to 30% in rent premiums. Sale-leaseback transactions, where owner-occupants sell a building and lease it back from the new owner, are providing capital to business owners. We are helping clients use these transactions to support growth, facilitate retirement planning, and shore up balance sheets.

What challenges or opportunities have had the biggest impact on your business during the first half of 2026? Buyers looking for Class A or B+ properties are often having trouble finding buildings that meet their buying criteria and pricing expectations.

As we look ahead to the second half of the year, what are you watching most closely? The modernizing manufacturing ecosystem will create conditions for New England to thrive. As robotics help level the labor playing field, I expect to see an uptick in manufacturing. We already have a thriving defense and medical device manufacturing community. I’m excited to see manufacturing expansion over the next decade.

Headquarters: Calabasas, California
Founded: 1971
Services: Investment sales, financing, research and advisory 
https://www.marcusmillichap.com