Why Industrial Space in Regina Remains Tight in 2026

Regina’s industrial real estate market entered the final part of 2026 with relatively little vacant space and only a modest amount of new development underway. For businesses looking to lease or buy industrial property, that combination means finding the right building can still take time — particularly when location, loading, yard space or building functionality matter.

That is one of the central conclusions in Zareh Commercial Real Estate’s Fall 2026 Regina Commercial Real Estate Market Report. Read the Fall 2026 Regina Commercial Real Estate Market Report.

The underlying market data supports that view.

Colliers reported Regina’s overall industrial vacancy rate at 2.28% in Q3 2026, while weighted average net asking rent was $12.52 per square foot. Vacancy was almost unchanged from the previous quarter and lower than the 2.50% reported a year earlier. (collierscanada.com)

For businesses trying to understand what those numbers mean in practice, the important point is not simply that “vacancy is low.” It is that the pool of available space becomes even smaller once a company begins filtering for the characteristics it actually needs.

Industrial rents vary significantly by location

Regina is not one uniform industrial market.

Earlier 2026 Colliers data showed weighted average asking net rents ranging from approximately $11.50 per square foot in West Regina to $14.51 per square foot in the RM of Sherwood. (collierscanada.com)

Those differences help illustrate why businesses should look beyond a single citywide average. Industrial properties can differ materially by location, age, configuration and functionality.

By Q3, Colliers reported a market-wide weighted average asking net rent of $12.52 per square foot, compared with $12.69 in Q2 and $12.28 in Q3 2025. Colliers characterized that movement as a relatively stable pricing environment. (collierscanada.com)

That does not mean every industrial building should command the same rent. Colliers specifically notes that building quality and functionality remain important pricing considerations. (collierscanada.com)

For an owner, that distinction matters: a well-positioned, functional building is competing within a much narrower segment than the headline market average suggests.

For a tenant or owner-user, it means the cheapest quoted rent is not necessarily attached to a property that fits operational requirements.

Zareh works with businesses, owners and investors across Regina’s industrial and other commercial property markets. Regina commercial real estate services

New construction is unlikely to quickly solve the supply issue

One of the biggest reasons Zareh’s report describes industrial supply as tight is that the development pipeline remains relatively small.

Colliers reported approximately 109,783 square feet under construction in Q3 2026 across Ross Industrial Park and Sherwood. That represents only about 0.4% of Regina’s approximately 26.37 million square feet of existing industrial inventory. (collierscanada.com)

Colliers’ conclusion is straightforward: the modest scale of the development pipeline means new space is likely to arrive gradually and is unlikely to materially change overall availability in the near term. (collierscanada.com)

High construction costs add another constraint. Colliers expects those costs to continue limiting new development and, as a result, to keep the supply of quality industrial space constrained. (collierscanada.com)

That evidence supports the direction Shaheen highlighted in the Fall 2026 report. Read the Fall 2026 Market Report.

The headline vacancy rate does not tell the whole story

Even within a tight overall market, conditions vary by industrial area.

In Q3 2026, Colliers reported vacancy of:

• 5.10% in West Regina
• 2.52% in Tuxedo Park
• 3.96% in the Warehouse District
• 1.40% in Ross Industrial
• 1.62% in Sherwood
• 0.83% in Edenwold (collierscanada.com)

That variation is useful for someone searching for property because it shows why a Regina-wide vacancy figure should be treated as a starting point rather than the answer to “How easy will it be for me to find space?”

A company that needs a particular submarket, building size, loading configuration or yard component is effectively shopping within a much smaller slice of the market.

That is also why an early search can matter even when the business is not ready to move immediately.

New supply increased in Q3 — but mostly because of one major project

Regina added approximately 145,206 square feet of new industrial supply in Q3 2026. At first glance, that might sound like meaningful relief for a tight market. (collierscanada.com)

But most of that new supply came from one project: Colliers reports that Cargill’s 129,456-square-foot facility accounted for the majority of the quarter’s addition. The same facility also drove most of the quarter’s 134,466 square feet of positive net absorption because it entered the market already occupied. (collierscanada.com)

That distinction matters.

A large amount of “new supply” does not automatically mean a comparable amount of newly available space for businesses searching the market.

This is a good example of why commercial real estate statistics need context rather than being read in isolation.

Industrial land is constrained inside Regina as well

The same supply issue extends to serviced industrial land.

Colliers reported that serviced industrial land remained scarce within Regina during 2026. Between Q1 and Q3, asking prices increased in Tuxedo Park, Ross Industrial Park and the Warehouse District. The market-wide weighted average asking price was approximately $256,000 per acre, with greater availability in surrounding rural municipalities contributing to the overall average. (collierscanada.com)

For a business comparing an existing building with new construction, that matters because land availability is only one part of the equation. Servicing, construction costs, location and timing all affect whether development is a realistic alternative to acquiring or leasing an existing property.

Zareh’s broader Regina commercial real estate work includes helping businesses and investors evaluate industrial opportunities alongside other property types. Explore Zareh's Regina commercial real estate services