If you are searching for a warehouse for rent in Modesto, or industrial space for lease, you are looking at the lowest-cost industrial corridor in the Stockton MSA. Modesto asking rents run 15 to 25 percent below Stockton and Tracy, which is why tenants priced out of the I-5 corridor keep moving south down Highway 99. This guide breaks down what warehouse and industrial space actually costs to lease in Modesto in 2026, where the inventory sits, and what to check before you sign.

Modesto Industrial Lease Rates in 2026

Modesto industrial space is quoted on a NNN (triple net) basis, meaning you pay a base rent plus a pro-rata share of property taxes, insurance, and maintenance (CAM). NNN charges typically add $0.10 to $0.25 per square foot per year on top of the base rate. Smaller bays and older buildings are sometimes leased gross or modified-gross, so always confirm the structure before comparing two rates.

As of 2026, Modesto asking rents run $0.50 to $0.85/SF per month NNN, which annualizes to roughly $6.00 to $10.20/SF per year NNN (Lee & Associates Q1 2026). That is the lowest band in the Stockton MSA:

MarketAsking rent (NNN)Positioning
Modesto / Stanislaus Co.$0.50-$0.85/SF/mo ($6.00-$10.20/SF/yr)Hwy 99, no port, lowest basis
Stockton / San Joaquin Co.$0.74-$0.79/SF/moPort + dual rail + I-5
Tracy$0.65-$1.10/SF/moI-580 Bay Area access, Class A
Sacramento~$0.79/SF/moI-80/I-5/US-50

Sources: Lee & Associates Q1 2026 (Modesto lease rates $0.50-$0.85/SF NNN, 15-25% below Stockton and Tracy); Colliers Q1 2026 San Joaquin County; CBRE Q1 2026 South Central Valley. See the Modesto Industrial Market Report Q3 2026 for vacancy and the full data set.

To estimate your monthly base rent on any listing:

Monthly base rent = (annual $/SF/yr rate × square footage) ÷ 12

A 10,000 SF Modesto warehouse at $7.20/SF/yr NNN works out to $6,000 per month base rent, plus CAM. The same building in Stockton’s Port submarket at $9.00/SF/yr would run $7,500 per month. Over a five-year term that gap is $90,000, which is the whole reason the Modesto lease search exists.

Modesto Industrial Space by Corridor

Modesto industrial inventory clusters along four corridors, and which one fits depends on your clear-height, loading, and class needs:

Kiernan Avenue / Claribel Road

The newest industrial parks in Modesto. Class A distribution product with dock-high loading, higher clear heights, and modern construction. This is where large-format distribution and logistics tenants land, and it carries the top of the Modesto rate range. If you need dock doors and 28 ft-plus clear height, start here.

  • Product: Newer Class A distribution, dock-high loading
  • Typical size: 20,000-250,000+ SF
  • Tenant profile: Regional distribution, logistics, food-grade

McHenry Avenue

The flex and light-industrial corridor. A mix of office-warehouse combo buildings and Class B light industrial, suited to contractors, service businesses, showroom-plus-shop users, and small distributors that need a professional front with a working rear. If flex is your target type, our Stockton office-warehouse flex space guide covers combo rates and layouts in detail.

  • Product: Light industrial, flex, Class B
  • Typical size: 2,000-25,000 SF
  • Tenant profile: Contractors, trades, flex users, small e-commerce

Crows Landing Road

Modesto’s established warehouse and manufacturing spine. Class B and C buildings, grade-level and some dock-high loading, the deepest supply of mid-size warehouse space in the city, and the most competitive rents. This is where value-seeking warehouse and fabrication tenants concentrate.

  • Product: Established warehouse and manufacturing, Class B/C
  • Typical size: 5,000-100,000 SF
  • Tenant profile: Warehousing, manufacturing, fabrication, storage

South Modesto / Highway 99

Older mixed-industrial product at the lowest rents in the market. Lower clear heights and older infrastructure, but the entry point for tenants whose priority is cost per square foot over building spec.

  • Product: Older mixed industrial
  • Typical size: 2,000-50,000 SF
  • Tenant profile: Cost-driven storage, small manufacturing, owner-users

Active inventory context: stocktonwarehouses.com currently tracks 21 active Modesto industrial listings, spanning from roughly 1,970 SF owner-user flex up to a 246,485 SF distribution facility at 1215 E. Whitmore Avenue, with the Crows Landing and Kiernan/Claribel corridors carrying the most product. Browse current Modesto listings →

Why Tenants Lease in Modesto

1. The Lowest Occupancy Cost in the Region

Modesto’s $0.50 to $0.85/SF NNN asking rents sit 15 to 25 percent below Stockton and Tracy. For a tenant leasing 30,000 SF, that spread is $45,000 to $90,000 per year versus the I-5 corridor. If your operation does not need deep-water port access or dual rail, you are paying a premium for infrastructure you will not use by leasing north.

2. Highway 99 Positioning

Highway 99 runs straight through Modesto, connecting it 25 minutes north to Stockton, 60 minutes north to Sacramento, and 90 minutes west to the Bay Area via Highway 120 and I-580. That makes Modesto a workable distribution point for tenants serving Northern California population centers without paying I-5 corridor rent. Union Pacific rail serves the area and Modesto City-County Airport supports general aviation.

3. Food Processing and Ag-Industrial Demand

Modesto and Stanislaus County anchor California’s food-processing economy: dairy, almonds, wine, and canning. Food-grade and cold-storage-adjacent space stays structurally tight, so well-configured facilities lease quickly. If your use is food-grade, expect competition for the right building and move on good space fast.

4. Room for Small and Mid-Size Tenants

Unlike Tracy and Lathrop, which skew toward large Class A distribution, Modesto has real depth in the 2,000 to 50,000 SF range along McHenry and Crows Landing. Small warehouse, flex, and contractor tenants who cannot find a fit in the big-box submarkets often find it here.

What to Check Before You Lease in Modesto

  1. Clear height. Older Crows Landing and South Modesto buildings run 12 to 18 ft clear. If you are stacking racking or running a conveyor, confirm the height before you fall for the rate.
  2. Loading type. Grade-level versus dock-high changes your whole operation. Class A Kiernan/Claribel product is dock-high; much of the older stock is grade-level only.
  3. Power. Verify amperage and phase. Light-industrial and manufacturing uses often need 3-phase power that an older building may not have.
  4. Yard and truck access. If you need trailer staging or outdoor storage, confirm the yard is paved and sized for your trucks, and that the route in avoids weight-restricted roads.
  5. NNN load. Ask for the actual CAM, tax, and insurance figures, not an estimate. On older buildings deferred maintenance can push CAM higher than the headline rate suggests.
  6. Lease structure. Confirm NNN versus gross before comparing listings. A low gross rate and a low NNN base rate are not the same number.

Lease vs. Buy in Modesto

If your horizon is long and your capital cost is below prevailing cap rates, buying can beat leasing in Modesto, where sale prices ($75 to $130/SF) are the lowest in the MSA. For most tenants with a 3 to 5 year horizon, leasing at $0.50 to $0.85/SF NNN preserves capital and flexibility. We cover the purchase side in the Modesto Warehouses for Sale guide, including cap rates and corridor sale pricing.

Frequently Asked Questions

How much does industrial space cost to lease in Modesto in 2026?

Modesto industrial and warehouse space leases for $0.50 to $0.85 per square foot per month NNN, which annualizes to roughly $6.00 to $10.20 per square foot per year NNN (Lee & Associates Q1 2026). That is 15 to 25 percent below Stockton and Tracy. Newer Class A distribution in the Kiernan/Claribel corridor sits at the top of the range; older warehouse on Crows Landing Road and South Modesto/Hwy 99 sits at the bottom. NNN charges typically add $0.10 to $0.25/SF/yr on top of the base rate.

Where is industrial space for rent concentrated in Modesto?

Modesto industrial inventory clusters along four corridors: Kiernan Avenue/Claribel Road (newer Class A distribution, dock-high), McHenry Avenue (flex and light industrial), Crows Landing Road (established Class B/C warehouse and manufacturing, the deepest supply of mid-size space), and South Modesto/Highway 99 (older mixed industrial at the lowest rents). Crows Landing and Kiernan/Claribel carry the most active listings.

Why is Modesto cheaper than Stockton or Tracy?

Modesto lacks the deep-water port and dual rail that anchor Stockton, and it does not have Tracy’s I-580 Bay Area access. For tenants who do not need those features, the 15 to 25 percent discount is pure savings on the same Highway 99 logistics spine. Modesto connects 25 minutes north to Stockton and 90 minutes west to the Bay Area via Highway 120 and I-580.

How much Modesto industrial space is available for lease?

stocktonwarehouses.com currently tracks 21 active Modesto industrial listings, ranging from roughly 1,970 SF owner-user flex space up to a 246,485 SF distribution facility at 1215 E. Whitmore Avenue. Browse current Modesto listings or contact us with your size, loading, and budget and we will send a curated short list.

Should I lease or buy industrial space in Modesto?

For a 3 to 5 year horizon, leasing at $0.50 to $0.85/SF NNN preserves capital and flexibility. Owner-users with a longer horizon and financing below prevailing cap rates may do better buying, since Modesto sale prices ($75 to $130/SF) are the lowest in the Stockton MSA. See our Modesto Warehouses for Sale guide for the purchase analysis.

Looking for industrial space for lease in Modesto? Browse active Modesto listings or contact us with your size, clear-height, loading, and budget requirements and we will send a curated short list of matching properties. This service is free.