Commercial Real Estate Market in Providence, RI
Updated monthly: sale, lease, property records, location trend, and more… · Last update: August 31
538 active listings and 4,789 off-market properties in Providence, RI. Commercial property asks $194/SF to buy and $27.13/SF/Yr to lease. Office vacancy runs 12.8%, the loosest of the segments tracked here.
Market Trends
Providence, RI spans 52.2 square miles in Providence County, Rhode Island. Figures below refresh monthly; last updated 31 August 2026.
Office
Office space in Providence, RI asks $163/SF to buy. Vacancy runs 12.8% in 2025, up from 11.3% in 2019. Nearly 1.2x the 2021 low of 11.1%.
Average Sale Price $/SF
Listings
Vacancy Rate %
Retail
Retail space in Providence, RI asks $177/SF to buy. Vacancy runs 6.7% in 2025, down from 8.5% in 2019. Down from a 2020 peak of 8.8%.
Average Sale Price $/SF
Listings
Vacancy Rate %
Industrial
Industrial vacancy in Providence, RI runs 0.4% in 2025, little changed from 0.2% in 2019.
Vacancy Rate %
Multifamily
Multifamily space in Providence, RI asks $203/SF to buy. Vacancy runs 5.6% across the Northeast region in 2025, up from 4% in 2022.
Average Sale Price $/SF
Listings
Vacancy Rate % in Northeast region
Zoning & Land Use
Land Use Mix share of zoned land by category
- Residential 47.7%
- Commercial 13.7%
- Open space 13.5%
- Industrial 10.4%
- Civic 8.5%
- Mixed use 6.2%
Largest Zones share of zoned land by district
Residential District
Residential District
Open Space District
General Commercial District
Light Industrial District
Providence, RI zones 12,133 acres across 26 districts. Commercial zoning covers 13.7% of zoned land, residential 47.7%, open space 13.5% and industrial 10.4%. The largest single district is Residential District at 27.5%. For commercial buyers the practical constraint is that only 24.1% of land carries a commercial or industrial designation.
Residential District (R-3)
The purpose of the R-3 Residential District is intended for higher density residential areas of detached single family, two family and three family residential development as well as rowhouse development, additionally, limited nonresidential uses which are compatible with surrounding residential neighborhoods may be allowed
Market overview
Demographics & Economy
Providence, RI has 286,780 residents in 120,411 households. Density runs 5,490 people per square mile. Median household income here is $72,323 and median gross rent $1,327 a month.
286,780
Population
120,411
Households
2.4
Avg Household Size
35
Median Age
34%
College-Educated
85%
High-School Grad
52.2 sq mi
ZIP Area
5,490
Density / Sq Mi
$72,323
Median Household Income
$43,182
Median Earnings
$1,327
Median Rent
$333,203
Median Home Value
Tools
Lease vs Buy Breakeven
At $27.13/SF/Yr lease vs $194/SF buy → buying wins if held > 0.8 years.
The comparison uses county-wide sale comps against Providence asking rents, so the implied 14% gross yield is computed off asking rents rather than a closed-deal cap-rate benchmark. Assumes 30% down at 6.5% fixed, 2% a year in taxes and upkeep, 3% appreciation, 5% opportunity cost, 2% closing plus 5% selling costs, and a 3% annual rent escalator.
Nearby Markets
| Market | Average Sale Price, $/SF | Average Lease Price, $/SF/Yr |
|---|---|---|
| Pawtucket | $194 (county avg) | $13.48 |
| North Providence | $194 (county avg) | $30.61 |
| Central Falls | $194 (county avg) | — |
| East Providence | $194 (county avg) | $15.48 |
Commercial property in Providence, RI asks $194/SF. The 4 bordering markets run from $194/SF in Pawtucket to $194/SF in Pawtucket, and the city sits in line with their $194/SF median.
Frequently Asked Questions
What is the average price per square foot for commercial property in Providence?
Commercial property in Providence, RI asks an average of $194 per square foot. The 5 most recent recorded sales traded at a median of $173/SF, so asking sits 12% above the achieved median. Multifamily carries the highest asking price at $203/SF.
How much does it cost to lease commercial space in Providence?
Asking lease rates in Providence, RI average $27.13 per square foot per year.
What is the office vacancy rate in Providence?
Office vacancy in Providence, RI is 12.8% as of 2025, up from 11.3% in 2019. That is the highest in the 7-year series. Retail vacancy is 6.7%, below Office vacancy.
Which property type has the lowest vacancy in Providence?
Industrial has the lowest vacancy in Providence, RI at 0.4%, inside a 0–0.4% band since 2019. For comparison: office 12.8%, retail 6.7% and multifamily 5.6% (Northeast).
Is it cheaper to lease or buy commercial space in Providence?
Buying beats leasing in Providence, RI if the property is held longer than 0.8 years, comparing $27.13/SF/Yr asking rent with $194/SF asking price. The model assumes 30% down at 6.5% fixed, 2% of value per year in taxes and upkeep, 3% appreciation, 5% opportunity cost on the cash and a 3% annual rent escalator.
How does Providence compare to nearby markets on price?
Providence, RI asks $194/SF against $194/SF in Pawtucket, $194/SF in North Providence, $194/SF in Central Falls and $194/SF in East Providence.
What zoning applies to commercial property in Providence?
Providence, RI zones 12,133 acres across 26 districts, of which 13.7% is commercial and 10.4% industrial. The largest single district is Residential District at 27.5% of zoned land. The purpose of the R-3 Residential District is intended for higher density residential areas of detached single family, two family and three family residential development as well as rowhouse development, additionally, limited nonresidential uses which are compatible with surrounding residential neighborhoods may be allowed Residential zoning covers 47.7% and open space 13.5%.
Where does Realmo's Providence market data come from?
Realmo compiles Providence, RI figures from 8 recent recorded sales, 452 active sale listings, 86 active lease listings, 4,789 tracked off-market properties, the current Providence zoning release. Sale and lease figures refresh monthly; vacancy annually. Last updated 31 August 2026.
Methodology & data sources
- Asking prices and averages
- Computed from 452 active for-sale and 86 active for-lease listings in Providence, RI. These are ASKING figures from live listings, not closed-transaction prices, and a segment carried by a handful of listings reads as indicative rather than an average.
- Price per square foot
- The county-level $/SF blends closed sales aggregated over the trailing months of available data, not a single day's snapshot — it can differ from any one month's own median.
- Vacancy rates
- Published per-sector market series, taken at the metro level where one exists and otherwise at the Census-region level — a chart reading "in <region> region" is a regional number, not this city's.
- Zoning and land use
- The current municipal zoning release: 12,133 zoned acres across 26 districts. Shares are of zoned land, so parcels the release leaves unclassified are excluded from the mix.
- Refresh
- The monthly aggregates close at the end of the previous month, so 31 August 2026 — not today — is the honest last update.
- Known limitations
- the lease-vs-buy comparison mixes county-wide sale comps with city asking rents and multifamily vacancy is reported at Northeast region level.
- Coverage
- Metrics below the 10-observation threshold fall back one geographic level. The geography used is named on each figure.
Compiled by the Realmo Data team · reviewed 31 August 2026 · report a data issue
