How Much Does Warehouse Space Cost in the Inland Empire? (2026 Rent Guide)

How Much Does Warehouse Space Cost in the Inland Empire in 2026?

Where you land inside that range depends on submarket (West IE trades above East IE), building size, and building spec. Rents have corrected hard from the 2023 peak: the triple-net asking-rent average for available space sits about 25% below it, per Apex’s analysis of CoStar data (Q3 2026). Yet CoStar also notes market asking rents remain roughly 20% above five years ago and have nearly doubled over the past decade. This guide covers the quoting convention, the current CoStar data, the full cost stack beyond base rent, and the levers tenants are using to sign below asking.

How Warehouse Rent Is Quoted in Southern California ($/SF/Month NNN)

Southern California industrial rents are quoted in dollars per square foot per month on a triple-net (NNN) basis. CoStar’s Inland Empire figures follow the same monthly convention — the $0.97 and $1.03/SF averages above. To convert, multiply monthly by 12: a $1.00/SF/month quote equals $12.00/SF/year. National reports usually quote annually, so confirm the convention before comparing markets.

The NNN part matters just as much as the number. A triple-net quote is base rent only — the tenant reimburses the landlord’s property taxes, building insurance, and common-area maintenance (CAM) on top of it. If lease structures are new territory, start with our triple net (NNN) lease guide and gross lease vs net lease comparison, or look up any term in the A–Z CRE glossary.

Inland Empire Warehouse Rents in 2026: Apex’s Analysis of CoStar Data

CoStar tracks Inland Empire asking rents by property type and by submarket, and the spread between them is where the pricing story sits. Here is Apex’s analysis of CoStar’s Q3 2026 figures by property type; the submarket split follows in the West vs East section below:

Segment (CoStar, Q3 2026)	Market asking rent	Vacancy · availability
All Inland Empire industrial	$1.03/SF/mo (−0.9% year over year)	8.7% · 12.5%
Logistics (warehouse & distribution)	$0.97/SF/mo	9.5% · 13.6%
Specialized industrial	$1.33/SF/mo	3.9% · 5.9%
Flex	$1.55/SF/mo	6.2% · 6.7%

For broader context, CoStar’s Q3 2026 report notes that including all advertised rate types, Inland Empire market rent averages $12.30/SF/year, 5–10% above the national average — and the spread widens to roughly 30% for large logistics boxes: 250,000+ SF buildings command near $1.00/SF in the IE versus under $0.75 nationally. CoStar also measured market asking-rent growth at −0.9% year over year as of Q3 2026, and reads the triple-net asking-rent average for available space as having bottomed in Q1 2025.

The Full Cost Stack: Base Rent + NNN + Everything Else

1. Base rent

Base rent is the quoted NNN rate times your square footage. It is the number brokers advertise and publishers track — and only the first layer of your occupancy cost.

2. NNN pass-throughs (taxes, insurance, CAM)

Under a triple-net lease you also reimburse the property’s real estate taxes, building insurance, and CAM charges. No brokerage publishes an Inland Empire-specific NNN expense load, so treat any specific dollar figure you hear with care — pass-through costs vary widely with each building’s tax basis, insurance, and upkeep, and national rules of thumb are not IE market data. The honest move is to request the property’s actual expense history. One California nuance: under Prop 13, property tax follows assessed value — a recently sold building typically carries a heavier tax pass-through than one held for decades.

3. A worked example (showing the math)

4. Asking vs effective: what tenants actually pay

Sticker prices overstate real deals right now. CoStar’s Q3 2026 report puts the asking average for available space about 25% below its 2023 peak and notes that, with concessions counted, effective rental rates are down as much as 40% depending on location, size, and vintage, and that landlords commonly offer one to several months of free rent on new, larger leases of five years or longer. Two CoStar-tracked examples: Hanchett Paper leased a 223,000 SF Fontana building on a six-year, four-month term with six months free at a $1.08/SF net starting rate, and WECRO took a 60,000 SF Jurupa Valley building on a 28-month term with four months free up front. Tenant-improvement allowances are also on the table in 2026, though no publisher prints an IE average — negotiate TI deal-by-deal.

What Drives Warehouse Rent Differences in the Inland Empire

Drawing on CoStar’s Q3 2026 market commentary, five factors explain most of the rent spread between buildings:

1. Port and airport proximity. West IE cities closer to the Ports of Los Angeles and Long Beach — and the I-10 / I-15 / SR-60 freight spine and Ontario airport — command premiums; rents step down as you move east.
2. Building size. CoStar’s Q3 2026 availability by segment: 250,000–500,000 SF buildings are about 18% available; 100,000–250,000 SF around 14%; 500,000 SF–1M SF and over 1M SF in the 12% range; 50,000–100,000 SF around 10%; and buildings under 50,000 SF are tightest at under 7%. Buildings under 100,000 SF are the scarcest and hold pricing; the 250,000–500,000 SF segment has the most available space and the most negotiating room.
3. Building spec. Modern high-clear-height, high-power logistics buildings maintain high occupancy because comparable product is difficult to replicate closer to the ports on today’s land constraints, per CoStar. Dock-door counts, trailer parking, secured yard, and power capacity all move the rate.
4. Vintage. Older buildings are being vacated as tenants trade up to new supply — aging product must price against that.
5. Direct vs sublease. Sublease space trades at a discount of more than 20% versus directly listed space, per CoStar. These are rent drivers only; for the fuller site-search framework, see our guide to warehouse site selection.

West IE vs East IE: The Premium, Quantified

CoStar submarket (Q3 2026)	Market asking rent	Vacancy
West IE
Airport Area (Ontario, Rancho Cucamonga, Fontana)	$1.06/SF/mo	8.2%
Chino/Chino Hills	$1.08/SF/mo	6.2%
Corona/Eastvale	$1.24/SF/mo	7.5%
Upland/Montclair	$1.39/SF/mo	5.8%
East IE
Riverside	$1.07/SF/mo	7.5%
San Bernardino	$0.90/SF/mo	10.5%
Moreno Valley/Perris	$0.86/SF/mo	9.6%
Redlands/Loma Linda	$0.90/SF/mo	8.2%
Beaumont/Hemet	$0.93/SF/mo	19.7%

CoStar’s read on the split: rents are higher in West IE cities closer to the ports, East-side rents have fallen more severely, and new construction remains concentrated in the Airport Area cities of Ontario, Rancho Cucamonga, and Fontana because of port and rail connectivity. Vacancy splits by submarket, too: among the five largest submarkets, Chino/Chino Hills sits at 6.2%, while San Bernardino (10.5%) and Moreno Valley/Perris (9.6%) run the highest rates. Beaumont/Hemet is the outlier: its vacancy jumped to 19.7%, the highest of CoStar’s 15 IE submarkets, after about 2.4 million SF of negative net absorption over the past year. Tenants chasing the deepest discounts look east; tenants buying supply-chain speed pay the West IE premium.

Is 2026 the Bottom? Vacancy, Demand, and Supply

Vacancy is elevated but leveling off. Apex’s analysis of CoStar data puts Inland Empire industrial vacancy at 8.7% in Q3 2026, with availability at 12.5%, a 15-year high, after nearly 75M SF of new supply delivered since 2023 (a quarter of it still available). Inconsistent absorption has kept vacancy moving sideways over the past year, and CoStar’s house view has it falling to 8% in 2027 and near 7% by the end of 2028.

Demand is back even with vacancy elevated. CoStar counts around 50 million SF of new leasing in 2025, only the second year the market has reached that level, and a new quarterly leasing record of over 13 million SF in Q2 2026. Net absorption has been uneven: it turned negative again in Q2 2026 on large move-outs, then positive in Q3, with distribution companies leading big-box move-ins. Trailing 12-month net absorption was still only about 6.1 million SF, against a prior 10-year average of 17.2 million SF, so the recovery is early. Big-box space is leasing, if slowly: iDC Logistics leased an 844,000 SF San Bernardino building in July 2025 that had been listed for 30 months at a $0.95/SF asking rate, per CoStar.

The supply pipeline has thinned substantially. CoStar’s Q3 2026 count of 14.0M SF under construction equals just 1.8% of inventory (versus 2.1% nationally), down from a 45.7M SF high-water mark in 2022. Construction starts fell to 9M SF in 2025 from a 34M SF peak in 2022, and CoStar reports deliveries receded to roughly 14M SF in 2025 and could drop below 10M SF in 2026. Regulation is tightening supply further: California’s AB 98 warehouse setback rules took effect for projects commencing January 1, 2026; CoStar notes temporary moratoriums on industrial construction were enacted in several IE cities in recent years, and Beaumont, Moreno Valley, and Fontana have rejected some recent industrial proposals.

The demand backdrop cuts both ways. The Port of Long Beach posted its busiest year ever in 2025 at 9.9M TEU, and the combined San Pedro Bay ports expected 18.5–19M TEU in 2026 despite tariff headwinds (per Apex CRE Signal Radar, citing Semafor and CNBC). On the risk side, CoStar flags tariffs as a risk to its improving forecast (the IE is a bulk distribution market reliant on goods imported through LA ports) and sees slower retail sales growth and weaker population growth as the broader risk to demand. CoStar’s house view nets it out: vacancy falls to 8% in 2027 and near 7% by the end of 2028, and asking rents — having found a floor — are forecast to rise again in 2027 as completions slow. In plain terms, 2026 is likely the bottom of the tenant’s-market window.

Owners and investors are reading the same signals. Apex’s analysis of CoStar data counts 463 Inland Empire industrial sales over the past 12 months, averaging a 5.9% cap rate and $204/SF, and CoStar notes cap rates on logistics sales over $10 million have expanded about 150 to 200 basis points from averages below 4%, into the mid-5% to 6% range. Owner-users are buying, too: Walmart purchased a 507,000 SF Riverside business park in early 2026 (per Apex CRE Signal Radar, citing Commercial Real Estate Direct).

Negotiation Levers for Inland Empire Warehouse Tenants

1. Negotiate off effective rates, not asking rates. CoStar’s Q3 2026 report puts the asking average for available space about 25% below its 2023 peak and notes that, with concessions counted, effective rents are down as much as 40%, depending on location, size, and vintage, with East-side rents down more severely. Anchor your offer to what comparable deals actually signed at, not the sticker.
2. Ask for free rent — landlords expect it. Per CoStar, one to several months free is common on new, larger leases of five years or longer; the two CoStar-tracked examples above landed six months free (Fontana, on a six-year, four-month term) and four months free (Jurupa Valley, on a 28-month term). Longer terms buy more concession.
3. Price the sublease market before you sign direct. Sublease space is about 19% of total IE availability and trades more than 20% below direct space, per CoStar — roughly 40 buildings offer sublets of 50,000–200,000 SF and another 30 offer 200,000+ SF, typically at $1.00–$1.50/SF. Example: 3950 Airport Dr in Ontario, a 414,000 SF building, was asking $1.05/SF NNN as a sublease in Q3 2026.
4. Use size-segment leverage. Big-box space (250,000–500,000 SF) is about 18% available per CoStar — maximum negotiating room. Sub-50,000 SF buildings sit below 7% availability: expect less movement and move decisively when a good small building lists.
5. Mind the calendar. CoStar forecasts rents rising again in 2027 as vacancy falls — and warns that longer-term tenants still face rent hikes at expiration because of the 2021–22 spike. Renewing early or extending now can lock the trough.
6. Get representation. Our step-by-step guide to how to lease commercial property covers the process, and the Inland Empire industrial market hub tracks current conditions and listings. To lock those concessions in early, see our guide to the commercial lease letter of intent.

Inland Empire Warehouse Cost FAQ

How much does it cost to lease a 10,000 square foot warehouse in the Inland Empire?

At CoStar’s Q3 2026 Inland Empire logistics average of $0.97 per square foot per month, a 10,000 SF warehouse runs about $9,700 per month in base rent, or $116,400 per year, per Apex’s analysis of CoStar data. Triple-net pass-throughs — property taxes, building insurance, and common-area maintenance — are billed on top of that base rent, so budget above the sticker rate. This is an illustrative calculation, not a quote.

What does NNN mean in an Inland Empire warehouse rent quote?

NNN (triple net) means the quoted rate is base rent only, and the tenant reimburses the landlord for the property’s three “nets” — property taxes, building insurance, and common-area maintenance — on top of it. Southern California industrial rents are quoted per square foot per month on an NNN basis, so a $0.97 quote means $0.97/SF/month before pass-throughs.

Are Inland Empire warehouse rents going up or down in 2026?

Down year over year, but near the floor. Apex’s analysis of CoStar data shows Inland Empire industrial market asking rents down 0.9% over the 12 months to Q3 2026, with 10 of CoStar’s 15 submarkets still negative. CoStar reads the triple-net asking-rent average for available space as having bottomed in Q1 2025, notes rents ticked up in recent quarters, and forecasts them rising again in 2027 as stronger demand and slower completions push vacancy lower.

Is warehouse space cheaper in the East Inland Empire than the West?

Yes. In Apex’s analysis of CoStar data for Q3 2026, the West IE submarkets — Airport Area, Chino/Chino Hills, Corona/Eastvale and Upland/Montclair — ask $1.06 to $1.39 per SF per month, versus $0.86 to $1.07 in the East IE submarkets of Riverside, San Bernardino, Moreno Valley/Perris, Redlands/Loma Linda and Beaumont/Hemet. The West commands a premium because of port and rail proximity, per CoStar, while East-side rents have fallen more severely from the peak — which is where tenants find the deepest discounts.

What is the vacancy rate for Inland Empire warehouse space in 2026?

Apex’s analysis of CoStar data puts Inland Empire industrial vacancy at 8.7% in Q3 2026, and 9.5% for logistics buildings. Availability — all space being marketed, including sublease space and buildings under construction — runs higher, at 12.5%, a 15-year high. Among the five largest submarkets, vacancy ranges from 6.2% in Chino/Chino Hills to 10.5% in San Bernardino, while smaller Beaumont/Hemet has jumped to 19.7%, the highest of CoStar’s 15 IE submarkets.

How do Inland Empire warehouse rents compare to the national average?

The Inland Empire is a premium market: CoStar puts IE market rent at $12.30/SF/year across all advertised rate types, 5–10% above the national average, and big-box space over 250,000 SF commands near $1.00/SF/month versus under $0.75 nationally. Between the West and East IE, rents run higher in the West IE submarkets closer to the ports, per CoStar.

Are landlords offering free rent on Inland Empire warehouse leases?

Yes. Per CoStar’s Q3 2026 Inland Empire report, landlords commonly offer one to several months of free rent on new, larger leases of five years or longer. Recent examples include a 223,000 SF Fontana lease with six months free on a six-year, four-month term at a $1.08/SF net starting rate, and a 60,000 SF Jurupa Valley lease with four months free on a 28-month term. Sublease space trades at a further discount of more than 20% versus direct space.

Sources: CoStar, Inland Empire Industrial Market Report, Q3 2026 (dated September 30, 2026), analyzed by Apex Real Estate Services; Apex CRE Signal Radar market intelligence (Q1 2026), with each underlying news source named in-text. Rent figures are CoStar market asking rents per SF per month unless noted and do not constitute a quote or offer.

Robert Mendieta Jr., CCIM · Associate Broker · DRE #01422904 · Apex Real Estate Services · 3750 E. Florida Ave Suite A, Hemet, CA 92544 · (951) 977-3251 · Joseph Lombera, Commercial Agent + CMO, DRE #01971957. Reviewed by Robert Mendieta Jr., CCIM (DRE #01422904). Last updated: September 30, 2026.