Commercial Real Estate Market in Federal Way, WA
Updated monthly: sale, lease, property records, location trend, and more… · Last update: September 30
119 active listings and 808 off-market properties in Federal Way, WA. Commercial property asks $50/SF to buy and $22.59/SF/Yr to lease.
Market Trends
Federal Way, WA spans 40.4 square miles in King County, Washington. Figures below refresh monthly; last updated 30 September 2026.
Office
Office vacancy in Federal Way, WA runs 20.8% across the West region in 2025, up from 11% in 2019.
Vacancy Rate % in West region
Retail
Retail vacancy in Federal Way, WA runs 5.8% across the West region in 2025, down from 7% in 2020.
Vacancy Rate % in West region
Industrial
Industrial vacancy in Federal Way, WA runs 7.9% across the West region in 2025, up from 3.7% in 2019. Nearly 3.2x the 2022 low of 2.5%.
Vacancy Rate % in West region
Multifamily
Multifamily vacancy in Federal Way, WA runs 8.6% across the West region in 2025, up from 7% in 2022.
Vacancy Rate % in West region
Market overview
Demographics & Economy
Federal Way, WA has 139,537 residents in 51,526 households. Density runs 3,454 people per square mile. Median household income here is $91,763 and median gross rent $1,805 a month.
139,537
Population
51,526
Households
2.7
Avg Household Size
38
Median Age
30%
College-Educated
90%
High-School Grad
40.4 sq mi
ZIP Area
3,454
Density / Sq Mi
$91,763
Median Household Income
$47,294
Median Earnings
$1,805
Median Rent
$500,412
Median Home Value
Tools
Nearby Markets
| Market | Average Sale Price, $/SF | Average Lease Price, $/SF/Yr |
|---|---|---|
| Auburn | — | $19.37 |
| Pacific | — | — |
| Kent | — | $15.08 |
| Edgewood | — | — |
Commercial property in Federal Way, WA asks $50/SF.
Frequently Asked Questions
What is the average price per square foot for commercial property in Federal Way?
Commercial property in Federal Way, WA asks an average of $50 per square foot. The 4 most recent recorded sales traded at a median of $328/SF.
How much does it cost to lease commercial space in Federal Way?
Asking lease rates in Federal Way, WA average $22.59 per square foot per year.
Where does Realmo's Federal Way market data come from?
Realmo compiles Federal Way, WA figures from 6 recent recorded sales, 54 active sale listings, 65 active lease listings, 808 tracked off-market properties. Sale and lease figures refresh monthly; vacancy annually. Last updated 30 September 2026.
Methodology & data sources
- Asking prices and averages
- Computed from 54 active for-sale and 65 active for-lease listings in Federal Way, WA. 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.
- 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.
- Refresh
- The monthly aggregates close at the end of the previous month, so 30 September 2026 — not today — is the honest last update.
- Known limitations
- office vacancy is reported at West region level, retail vacancy is reported at West region level and industrial vacancy is reported at West 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 30 September 2026 · How Realmo checks market page data · Report a data issue
