By Andy Westby, President, Managing Broker & Auctioneer | Goldmark Commercial Real Estate
If you step back and look at the numbers from Q1, one thing becomes very clear. Big deals are playing a major role in shaping the market right now.
We saw that most clearly in the industrial sector, where multiple leases over 100,000 square feet helped push total leasing volume to record levels. On the sales side, large single-tenant industrial buildings also traded at significant values, including deals approaching $20 million.
When deals of that size happen, they don’t just add to the totals. They influence the direction of the market.
Large Users Move the Needle
A handful of large tenants or buyers can have an outsized impact on overall activity.
When one company leases or buys a large block of space, it reduces available inventory in a meaningful way. That shift can tighten the market quickly and shift negotiating leverage for other large users already in, or preparing to enter, the market.
Momentum Can Build Quickly
Big deals also create momentum.
They signal confidence. When other users see activity at that level, it can encourage additional movement in the market.
That is part of what we saw in Q1, particularly in industrial.
But It Can Also Skew Perception
At the same time, it is important to look beyond the headlines.
A strong quarter driven by a few large transactions does not always mean that activity is equally strong across all deal sizes. Smaller users may still be moving at a more measured pace.
That is why it is important to understand what is driving the numbers, not just the numbers themselves.
What This Means for Clients
If you are a large user, timing matters. The right opportunity can move quickly, and competition can be limited but impactful.
If you are a smaller tenant or investor, it is important to recognize that market conditions may feel different depending on your size and requirements.
From my perspective, big deals are a positive sign. They reflect confidence and bring energy back into the market. But they are just one piece of the overall picture.
Final Thoughts
At Goldmark Commercial, we track market activity like this every day so our Clients can stay ahead of shifts, not react to them. Our Quarterly Connect report breaks down the trends, data, and real insights driving the FM market.
If you want to stay informed and make confident decisions, you can sign up to receive our Quarterly Connect report.