NAI NP Dodge, the commercial real estate division of N.P. Dodge, produces a report on Omaha’s commercial real estate market each quarter. Below are some highlights from the first quarter of this year.
Office
The 48.8 million sq. ft. Omaha office market ended the 1st quarter of 2025 with a vacancy rate of 8.0 percent, which was the same as last quarter. Absorption over the past 12 months was -451,000 sq. ft. Rental rates were down slightly to $24.44. Approximately 1.3 million sq. ft. of office space is under construction at this time, a little more than last quarter.
Retail
More than 66.6 million sq. ft. of retail space was considered for this report, which is based on CoStar data. At this time, 281,000 sq. ft. of retail space is under construction, which is up a bit from last quarter. Vacancy went up to 4.5 percent. Rental rates were $17.67 per square foot. The 12-month net absorption was 539,000 sq. ft. at the end of the quarter, up from the previous period.
Industrial
Omaha’s industrial sector continues to be strong. The total market size is 109 million sq. ft. Approximately 4.4 million sq. ft. of industrial space is currently under construction, up over the previous quarter. Industrial vacancy is 2.8 percent, which is down from last quarter. Rental rates are $8.28, up 2 cents over last quarter. The 12-month net absorption is 1.3 million sq. ft., which up quite a bit from last quarter.
First Quarter News & Announcements
During the first quarter, U.S. News & World Report named Omaha as America’s hottest housing market just ahead of markets like Austin, Houston and Denver. Additionally, the U.S. Census Bureau reported that the Omaha Metropolitan Statistical Area population exceeded 1 million people for the first time. The metro’s official population estimate is currently 1,001,010.
The future streetcar route continues to attract urban development projects as GreenSlate Development announced it will build a 5-story apartment building on the site of WOWT’s former television studio in the Blackstone District.
Noddle Companies announced it will build a 31-acre mixed-use development as part of the Gretna Landing project near 192nd & Highway 370.
The City of Bellevue broke ground on its $60 million Bellevue Bay Water Park, which will be the fourth largest indoor water park in America.
Photo by Brad Williams
