Windsor-Essex continues to make headlines as one of the tightest industrial real estate markets in the country. According to CBRE’s mid-year 2025 report, our region’s industrial availability rate sits at just 3.37 percent. That is well below the national average of 5.3 percent.

What makes this number even more striking is what happens when you take one single property out of the mix. If you exclude the former Syncreon Automotive facility on Pillette Road, Windsor’s rate drops to 2.5 percent, making it the tightest industrial market in Canada.

Why the Numbers Matter

The Syncreon facility, now under lease by Stellantis, represents more than 33 percent of all available industrial space in Windsor. Without it, businesses looking for space would be facing an even tougher challenge.

Windsor ranked third in the country behind Winnipeg at 3.2 percent and Ottawa at 3.5 percent. London followed at 3.9 percent.

Despite ongoing uncertainty around Canada-U.S. trade negotiations and tariffs, Windsor has not seen a large amount of space come back onto the market. Instead, availability remains scarce.

Steady Rents and Price Adjustments

In Windsor, the average asking net lease rate is holding steady at $10.36 per square foot. That is still significantly below the national average of $15.37 per square foot. On the sales side, the average asking price sits at $144.96 per square foot, which is down nearly 9 percent year-over-year.

The decline has been driven in part by inflated properties being pulled from the market and the uncertainty caused by tariffs. Landlords, meanwhile, are exercising caution, holding rates steady as they wait to see how tenant demand develops.

What It Signals for the Market

The fact that Windsor’s availability rate has stayed so low is a signal that local businesses are not overreacting to short-term economic headlines. Many owners and operators in Windsor-Essex have seen cycles like this before. The strategy right now seems to be a “wait-and-see” approach rather than exiting properties or leaving the region altogether.

At the same time, new demand is more measured, with fewer expansion projects or new entrants arriving in the market so far this year. Still, major investments like the NextStar EV battery plant and the upcoming St. Thomas facility remain powerful tailwinds for the region. If those projects unfold as expected, they will reinforce Windsor’s long-term position as a key industrial hub.

Bottom Line

Industrial space in Windsor-Essex remains extremely scarce. With vacancy rates among the lowest in the country, stable rents, and long-term projects on the horizon, our market is showing resilience and potential. For businesses, investors, and landlords, this scarcity underscores the importance of being strategic and forward-thinking about space needs.

If you found this breakdown helpful, share this article with colleagues or clients who want to understand what is happening in Windsor-Essex’s industrial market. The tighter the market gets, the more important it is to stay informed.