Commercial Space Leasing Made Easy

Q3 2026

Q3 2026 Reno Commercial Real Estate Market Report

Focus: Q3 2026 Market Trends

Executive Summary

Reno-Sparks industrial vacancy fell to 9.8% in Q2 2026 on about 1.34 million SF of absorption and 2.6 million SF of leasing, while office rents rose 6.4% year over year. Apartment vacancy tightened to 3.0%. Tenant demand on TenantBase shifted toward office in Q3: office space accounted for 60.0% of all Reno tenant searches, more than double its 26.2% share in Q2.

Sector Snapshot

  • Office: Rents rising. Vacancy was 9.5% in Q2, with asking rent up 6.4% year over year.
  • Industrial: Recovering. Vacancy fell to 9.8%, down from 11.2% a year earlier.
  • Retail: Tight. Several Reno submarkets have run below 2% vacancy.
  • Multifamily: Tightening. Vacancy fell to 3.0%, with effective rent at $1,811.

Reno Tenant Demand Index

The TenantBase Tenant Demand Index tracks what businesses across Reno, Sparks, and Northern Nevada are actively searching for on the TenantBase platform each quarter. Because it measures tenant intent before leases are signed, it shows where demand is heading ahead of traditional vacancy and absorption data.

Q3 2026 Search Share by Space Type (July 1 to September 30, 2026)

  • Office: 60.0%
  • Retail/Storefront: 35.0%
  • Warehouse/Industrial: 5.0%

Three-Quarter Trend

  • Office: 28.0% in Q1, 26.2% in Q2, 60.0% in Q3
  • Retail/Storefront: 42.0% in Q1, 42.6% in Q2, 35.0% in Q3
  • Warehouse/Industrial: 30.0% in Q1, 31.1% in Q2, 5.0% in Q3

Key Takeaways

  • Office overtook retail as Reno's top search category, more than doubling from 26.2% to 60.0% of searches.
  • Office tenants are committing longer. 2 to 3 year terms rose from 25.0% of office searches in Q2 to 33.3% in Q3, while terms under one year fell from 56.3% to 41.7%.
  • Retail tenants favor multi-year leases. 85.7% of Q3 retail searches sought terms of 2 years or longer.
  • Location interest spans the core. Sparks, South Reno, Downtown, the Airport area, Central Reno, Meadowood, and West Reno/University were the most requested areas.

Office Market

Key Metrics (Q2 2026)

  • Vacancy: 9.5%, compared with 9.4% a year earlier (CBRE)
  • Net absorption: negative 7,000 SF in Q2 (CBRE)
  • Average asking rent: $2.32/SF per month full service, up 6.4% year over year, with Class A at $2.77 (CBRE)
  • Under construction: none (CBRE)
  • Submarkets: West Reno at 2.1%, Sparks at 4.8%, South Reno at 7.1%, Airport at 8.7%, Central at 9.4%, Downtown at 11.3%, and Meadowood at 11.4% (CBRE)
  • Notable leases: GSA renewed 36,000 SF in Meadowood, and Capital Insurance Group leased 18,000 SF in South Reno (CBRE)

TenantBase Office Activity

Demand share: 60.0% of Reno tenant searches, up from 26.2% in Q2 and 28.0% in Q1.

Lease term preferences:

  • Less than one year: 41.7%
  • 2 to 3 years: 33.3%
  • 3 to 5 years: 20.8%
  • 5+ years: 4.2%

Space requirements by term:

  • Less than one year: 1,167 to 2,333 SF
  • 2 to 3 years: 500 to 1,000 SF
  • 3 to 5 years: 667 to 1,500 SF

TenantBase data vs. the market: Reno office tenants on TenantBase are small users needing under 2,500 SF. Sparks, the most searched single area, is tight at 4.8% vacancy, as is West Reno at 2.1%. Tenants open to Downtown or Meadowood, both above 11%, will find the most options.

Industrial & Warehouse Market

Key Metrics (Q2 2026)

  • Vacancy: 9.8%, down from 10.9% in Q1 and 11.2% a year earlier (CBRE)
  • Net absorption: about 1.34 million SF in Q2 and 1.81 million SF year to date (CBRE)
  • Leasing: 2.6 million SF in Q2, up 67.7% year over year (CBRE)
  • Average asking rent: $0.80/SF per month NNN (CBRE)
  • Under construction: 652,000 SF, all in the East Valley/TRIC (CBRE)
  • Notable leases: a confidential 624,000 SF lease at 8000 N Virginia St and Bombard Electric's 243,000 SF lease on USA Parkway (CBRE)

TenantBase Industrial Activity

Demand share: 5.0% of Reno tenant searches, down from 31.1% in Q2 and 30.0% in Q1.

TenantBase data vs. the market: With leasing strong and vacancy falling, industrial tenants should expect fewer options. Sparks, at 7.7%, is tighter than the East Valley at 11.0% and the North Valleys at 13.0%.

Retail Market

Market Context

  • Vacancy: 5.4%, with the North Valleys, Northwest Reno, South Reno, and Southwest Reno each below 2% (Colliers, 2025)
  • Projects: Kiley Ranch Marketplace, a 400,000 SF power center in Spanish Springs, and permits for a third Reno-Sparks Costco (Colliers, 2025)

TenantBase Retail Activity

Demand share: 35.0% of Reno tenant searches, down from 42.6% in Q2.

Lease term preferences:

  • 3 to 5 years: 35.7%
  • 2 to 3 years: 28.6%
  • 5+ years: 21.4%
  • Less than one year: 14.3%

Space requirements by term:

  • Less than one year: 500 to 1,000 SF
  • 5+ years: 7,500 to 15,000 SF

TenantBase data vs. the market: Reno retail tenants on TenantBase are committing to multi-year leases, and those seeking 5+ years need 7,500 to 15,000 SF. With South Reno vacancy below 2%, larger tenants targeting that area should start early.

Multifamily Market

Reno apartment vacancy fell to 3.0% in Q2 2026, down from 3.9% a year earlier, according to Colliers. Average effective rent was $1,811 per month, and nearly 2,000 units were under construction, about two-thirds of them income-restricted.

Q4 2026 Outlook

  • Office: Expect rents to keep rising with no new supply, and small-suite demand to lead activity.
  • Industrial: Expect vacancy to keep falling as large users absorb space at TRIC and the North Valleys.
  • Retail: Expect tight conditions in South Reno and the North Valleys.
  • Multifamily: Expect vacancy to stay near 3% with limited market-rate supply.

Frequently Asked Questions

What type of commercial space are Reno tenants searching for in 2026?

In Q3 2026, office space made up 60.0% of Reno tenant searches on TenantBase and retail/storefront made up 35.0%. Office share rose from 26.2% in Q2.

Which Reno areas are tenants searching most?

Sparks, South Reno, Downtown, the Airport area, Central Reno, and Meadowood were the most requested areas on TenantBase in Q3 2026.

What is the office vacancy rate in Reno?

Reno office vacancy was 9.5% in Q2 2026, with asking rents up 6.4% year over year, according to CBRE.

What is the industrial vacancy rate in Reno?

Reno industrial vacancy was 9.8% in Q2 2026, down from 11.2% a year earlier, according to CBRE.

How can I find commercial space in Reno at no cost?

TenantBase matches business tenants with vetted independent tenant rep brokers across Reno, Sparks, and Northern Nevada at no cost to the tenant. Brokers are compensated by the landlord. Get started with TenantBase.

Sources

  1. TenantBase proprietary search data, Reno, July 1 to September 30, 2026
  2. TenantBase, Reno Commercial Real Estate Market Report, Q2 2026
  3. TenantBase, Reno Commercial Real Estate Market Report, Q1 2026
  4. CBRE, Reno Office Figures, Q2 2026
  5. CBRE, Reno Industrial Figures, Q2 2026
  6. REBusinessOnline, Northern Nevada Retail Market (Colliers), 2025
  7. NVBEX, Northern Nevada Multifamily Market (Colliers), Q2 2026

Disclaimer

Information in this report is aggregated from third-party sources and TenantBase proprietary platform data, and was synthesized with the assistance of AI. Market metrics reflect the most recent published data available at the time of writing. TenantBase search data reflects tenant activity on the TenantBase platform and is not a measure of total market leasing. All figures should be independently verified before making real estate decisions.