Demand continues to outpace supply, with net absorption over the past four-quarters exceeding new supply by 42%, driving occupancy to 94.6%, a 55 basis point annual improvement.
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The construction pipeline is contracting rapidly, with starts down sharply from a year ago, leaving the market with one of the leanest supply pipelines in the region heading into 2027.
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El Paso now leads its Southwest and border-region peer markets in occupancy and ranks near the top of the region for rent growth, with pricing momentum broadening across nearly every tracked submarket.
Few Southwest border markets enter the back half of 2026 as well-positioned on the supply side as El Paso. The market has moved past peak deliveries...
