2026 YTD MARKET SNAPSHOT
It’s been a busy summer for our team, and the latest numbers show momentum. Through May, Pennington County recorded 59 commercial sales totaling $109.90 million, up 16% in transactions and 85% in volume over last year.
Monument Health’s acquisition of four Rapid City Medical Center properties drove much of that increase. However, even without those sales, volume is up more than 13%, an encouraging sign of broader activity.
A July cyberattack has delayed county reporting, so our sales data stops at May 31, 2026. The summer activity we’ve seen firsthand has yet to appear in these numbers.
MARKET INSIGHTS
OFFICE Sales totaled $55.35 million, largely from the Monument Health acquisitions. But the remaining office market is also ahead of last year in both transactions and volume.
RETAIL Sales have been steady, without the larger deals that boosted last year’s totals. We expect the comparison to improve as the remaining second-quarter sales become available.
INDUSTRIAL Volume is down 24%, but transactions are up, including eight sales in April and May. Improved inventory is helping meet pent-up demand from 2025.
LAND Volume is up 104%, with 13 of 18 sales occurring in April and May. Acquisitions tied to the Hwy 16/Catron redevelopment and Black Hills Industrial Center account for much of the increase.
MULTI-FAMILY Volume and transactions are up, led primarily by fourplexes and sixplexes. A 48-unit apartment sale offers an encouraging sign that buyers and sellers may be getting closer on price expectations.
HOSPITALITY has seen zero closed sales in Pennington County in 2026. That said, we have pending transactions underway and are fielding strong buyer interest.
LEASING The latest local MLS figures show 54 leased spaces, including 28 office leases. Yet 83 office listings remain available. Owners need to pay close attention to competing options and adjust pricing accordingly.
Industrial space continues to lease consistently, with outside storage, parking, and truck access influencing decisions.
Retail faces an inventory shortage, both below 5,000 SF and for national retailers seeking 16,000–20,000 SF.
TEAM NEWS
Hannah Dusing is now a Broker Associate with Rapid City Commercial. Hannah has been with RCC since August 2018, most recently as our Licensed Transaction Coordinator. Her years of experience guiding commercial transactions from contract to closing bring a strong foundation to her new role.
LOOKING AHEAD
This has been one of our busiest summers on record, and I expect the delayed sales reports to shift some of these trends by our fourth-quarter newsletter.
If you have any questions about specific properties and where we see opportunities in the future, don’t hesitate to give us a call or swing by the office.
