TUCSON, AZ  (December 1, 2025) — With a shortened holiday work week and no reported lease transactions, Real Estate Daily News is providing a special Holiday Week Market Snapshot in place of the standard weekly lease report. While deal announcements were quiet, the underlying fundamentals in Southern Arizona’s industrial, retail, and office sectors remain active, with tenant searches, construction progress, and holiday-season activity continuing to shape the region’s commercial real estate landscape. Below is a sector-by-sector look at the trends driving the Tucson market as we begin December. All market data in this snapshot is sourced from the Trend Report December 2025 issue, “Pivot to 2026.”

INDUSTRIAL MARKET SNAPSHOT

Vacancy & Demand

• Tucson’s industrial vacancy is sitting in the 4.2%–4.5% range.
• South Airport, Northwest, and Southwest continue to show the tightest conditions.
• Tenant search activity is still strongest in the 3,000–10,000 square foot bracket.

Most of the region’s vacancy softness is tied to one major availability — the Black & Decker distribution facility — rather than broad market weakness. Requirements in the 3,000–10,000 SF range remain the dominant driver of tours.

Construction Pipeline

• Over 700,000 square feet of space remains under construction regionwide.
• Deliveries have slowed enough that vacancy is not rising.
• Developers continue to face power-capacity limits in certain submarkets.

Tenant Search Patterns  being  reported

• Small-bay flex with 14–16’ clear.
• Dock-high for 15k–40k users.
• Yard-heavy sites in the Southwest and Northwest.

RETAIL MARKET SNAPSHOT

Openings

• Retail openings remain active across Tucson, Marana, Sahuarita, and Oro Valley.
• November saw consistent grand openings.

Demand Themes

• QSR pads and drive-thrus remain the most competitive segment.
• Medical retail and boutique fitness continue steady expansion.
• Second-generation space is absorbing quickly, especially 1,200–3,000 SF bays.

Vacancy

• Shopping center vacancy is hovering near 6%, the lowest in more than a decade.

Holiday Retail Activity

• Centers saw higher traffic starting the week before Thanksgiving, reflecting stronger consumer foot traffic versus last year.

OFFICE MARKET SNAPSHOT

Stabilization Signs

• Vacancy has flattened in the 16%–17% range.
• Class A outperforming Class B and C.
• Medical office strongest, especially in Oro Valley and the Foothills.

Tenant Trends

• Most active suite sizes: 1,500–3,000 square feet.
• Rising preference for turn-key medical or move-in-ready professional spaces continues to rise.
• Downtown demand remains mixed but is not declining further.

With Thanksgiving week behind us, seasonal patterns will continue to shape commercial real estate activity across Southern Arizona. While leasing activity typically eases during the holiday season, the investment side of the market often moves in the opposite direction. Year-end deadlines, particularly for buyers completing 1031 exchanges, usually contribute to a measurable uptick in sales volume across Southern Arizona. Real Estate Daily News will continue monitoring lease announcements, retail openings, permit activity, and end-of-year sales, and will resume the standard weekly lease report as soon as new transactions are publicly released.

SCOTTSDALE, Ariz. (December 1, 2025) – Nick Miner, CCIM, of ORION Investment Real Estate, represented the buyer, BTC Enterprises, LP/LMSAME, LP, in the purchase of the Northsight Retail Pad Strip Center located at 15227 N. 87th Street in Scottsdale, Arizona. The property sold for $6,960,000 at a 6.2% cap rate.

The property is part of the Northsight Retail Center, an outparcel to a high-performing Walmart Supercenter, and features national tenants including Starbucks, T-Mobile, Capriotti’s, and Express Employment Professionals. Nearby uses are predominantly retail and service-oriented, including restaurants, a massage spa, staffing offices, and various shops, with convenient access from the Loop 101/Frank Lloyd Wright–Raintree area, resulting in strong vehicle traffic and convenience-driven customers.

“This was a great property for the buyer. They were looking for a long-term acquisition in an area with proven fundamentals. Being a Walmart-anchored property only further solidified this as a key investment for their exchange requirement,” said Miner.

For more information about this sale or to inquire about other opportunities, please contact Nick Miner, CCIM, at ORION Investment Real Estate.

The seller, HSB Northsight, LLC, was represented by Kevin Fryman of Hanley Investment Group.

The buyer, BTC Enterprises, LP/LMSAME, LP, was represented by Nick Miner, CCIM, of ORION Investment Real Estate.

Tucson, AZ (December 1, 2025) — Each year, the HSL Properties Tucson Jazz Festival (TJF) expands the experience of jazz throughout the community. In 2026, the festival promises its most inclusive celebration yet. From January 16th–24th, with more than 20 performances across Tucson—including the free Downtown Jazz Fiesta and a range of artist outreach activities—this year’s event offers something for everyone.

The signature Downtown Jazz Fiesta on Monday, January 19, showcases an incredible lineup of talent from 11 a.m. to 7 p.m. at 340 N 6th Avenue at Corbett’s. Local food trucks and Corbett’s kitchen will serve Tucson specialties, ensuring a lively experience for music lovers and families alike. Headlined by Cha Wa—the acclaimed “New Orleans brass-band-meets-Mardi Gras Indian” group that channels the city’s street-culture energy—this free, all-day event blends brass-band traditions with the spirit of the Mardi Gras Indians. PopMatters calls their sound “a grand gumbo of singing, intoxicating rhythms, and deep funk grooves.”

“Mardi Gras Indian songs are inherently songs about freedom,” says drummer Joe Gelini. “That struggle is as relevant today as it’s ever been.”

The Downtown Jazz Fiesta features non-stop performances on two stages with top local and national artists:

Corbett’s Stage

11:00 AM THMS Jazz Ensemble
12:15 PM The Jazztechs
1:45 PM Liz Cracchiolo
3:35 PM Agua de Coco
5:30 PM Soul Essential

Mainstage

11:30 AM TJI Ellington Big Band
1:00 PM Joe Bourne – The Music of Sam Cooke and Lou Rawls
2:30 PM Cha Wa
4:30 PM Low Down Brass Band

The Downtown Jazz Fiesta is sponsored in part by Tucson Appliance Company.

STUDENT OUTREACH & COMMUNITY EVENTS

The Tucson Jazz Festival’s mission is to inspire the discovery and celebration of live jazz and music education through community engagement anchored by a world-class downtown festival. Outreach programs led by visiting artists are among TJF’s most important activities—and, for Executive and Artistic Director Khris Dodge, among the most meaningful.

“Every time we bring world-class artists into a classroom or a neighborhood, you can feel something shift,” says Dodge. “A student who’s never heard live jazz suddenly realizes they can be part of that sound. Those sparks of connection—between music, culture, and curiosity—are what this festival is all about.”

During their visit, Cha Wa will also headline a special school cook-out at John B. Wright Elementary School, presented in collaboration with the UA School Garden Workshop, TUSD Food Services, and Vantage Credit Union. The event celebrates community, culture, and the joy of shared music and food.

The Children’s Museum Tucson will host a unique field-trip program where young professional musicians lead a live performance for 1st–5th grade students, inviting them to join in and improvise as the session develops. Follow-up activities—including recordings, art projects, and educational videos produced by the Tucson Jazz Festival—will extend the learning beyond the event.

Featured artists include Jenny Scheinman, a violinist, fiddler, and songwriter whose work bridges folk and jazz traditions, and Braxton Cook, an Emmy-winning, Juilliard-trained saxophonist and vocalist who fuses jazz, soul, and hip-hop.

“Seeing young people light up during these programs is the heartbeat of the festival,” Dodge adds. “It reminds us that jazz isn’t a museum piece—it’s alive, it’s joyful, and it belongs to everyone.”

TJF ARTISTS IN THE NEWS

TJF performing artists continue to shine on the world stage. Hamilton de Holanda recently won the Latin Grammy Award for Best Latin Jazz/Jazz Album for his record Live in NYC, marking his fourth Latin Grammy win.

At the Grammy Awards:

• Gerald Clayton won Best Contemporary Instrumental Album for Ones & Twos.
• Sullivan Fortner earned Best Jazz Instrumental Album for Southern Nights featuring Peter Washington and Marcus Gilmore.
• Dee Dee Bridgewater and Bill Charlap received Best Jazz Vocal Album for Elemental.
• Emmet Cohen was named Pianist of the Year by Downbeat Magazine

For full details on the complete TJF lineup and to purchase tickets, visit tucsonjazzfestival.org or download the TJF App.

About the Tucson Jazz Festival

Presented by HSL Properties, The Tucson Jazz Festival’s mission is to influence the discovery and celebration of live jazz performance and music education through community engagement anchored by a world‑class jazz festival in downtown Tucson.  Since 2015, the festival has woven together international artists, rising stars, and Tucson’s vibrant cultural roots-bringing unforgettable performances, educational outreach, and artistic connections to the heart of the city. For additional information, visit http://www.tucsonjazzfestival.org/. Artist photos and assets are available upon request.