Construction activity levels fell by 48.0% from one year ago, which is attributed to the moderation in tenant demand and higher interest rates. The Pennsylvania I-81/78 Corridor recorded 6.9 million square feet (msf) of new warehouse and distribution space under construction in Q1 2025. Most construction activity was centered around York (1.5 msf), Schuylkill (1.4 msf) and Lancaster (1.1 msf) counties. Quarterly deliveries amounted to 3.9 msf across the market, a 22.0% decrease from Q1 2024. Notable deliveries included the 1.2 million square feet (msf) at 3379 Pocono Summit Road and the 1.1 million square feet at Hazelton Logistics 141. Both are in the Northeast PA submarket.