Burlington is New England's smallest major market but punches well above its weight in commercial real estate fundamentals. The 230,000-person metro anchored by the University of Vermont and UVM Medical Center has a knowledge economy profile typically associated with much larger cities, with a technology sector, biomedical research base, and outdoor recreation economy that drives demographic desirability far exceeding the market's population.
Burlington Market Overview: Key Metrics
The Burlington commercial real estate market in 2026 reflects a market shaped by University of Vermont, UVM Medical Center, GlobalFoundries (Essex Junction), Vermont state government, MyWebGrocer, Seventh Generation, Community College of Vermont, Fletcher Allen Health Care. Here are the key metrics investors and borrowers should know:
- Multifamily Vacancy: 3.8% — well below the national average, signaling tight supply conditions
- Industrial Vacancy: 5.0% — reflecting strong logistics and distribution demand
- Office Vacancy: 10.0%
- Retail Vacancy: 7.5%
- Rent Growth: 5.0% year-over-year
- Job Growth: 1.5% — tracking near the national average
- Population Growth: 0.8% annually
- Median Asking Rent: $1,750
Multifamily Outlook in Burlington
Industrial & Logistics Market
Office & Retail Dynamics
Financing Landscape in Burlington
Commercial Lending Solutions arranges commercial real estate financing in Burlington from $1 million upward. Vermont's strong market fundamentals attract institutional agency, life insurance, and CMBS lender interest in a market that is often underserved by national capital.
For borrowers in the Burlington-South Burlington area, current commercial mortgage rates range from 5.50% for agency multifamily to higher rates for transitional and value-add projects. Key factors that influence your rate include property type, leverage, sponsor experience, and asset location within the metro.
Top Submarkets to Watch
The Burlington metro features several distinct submarkets that present unique investment opportunities:
- Downtown Burlington
- South End
- Old North End
- New North End
- South Burlington
- Williston
- Essex Junction
- Colchester
- Milton
- Winooski
- St. Albans
- Shelburne
Each of these submarkets has distinct characteristics in terms of tenant demand, development activity, and pricing. The top investment corridors in Burlington include Downtown Burlington, South Burlington, Williston, Essex Junction, Shelburne, Colchester, Winooski, South End Arts District.
Investment Outlook: Burlington 2026
Burlington's outlook is strongly positive. GlobalFoundries' long-term commitment to the Essex Junction fabrication facility anchors the private sector. UVM's capital expansion program ensures ongoing construction and healthcare real estate demand. The outdoor recreation economy (skiing, lake activities, cycling) continues to drive residential demand from remote-working professionals. The severe housing undersupply relative to demand creates sustained rent growth pressure.
CLS CRE in Burlington
CLS CRE provides commercial mortgage brokerage services throughout the Burlington-South Burlington metropolitan area, with access to 1,000+ lenders including banks, life insurance companies, CMBS conduits, agency lenders, debt funds, and credit unions. Whether you're acquiring, refinancing, or developing commercial property in Burlington, our market expertise and lender relationships help you secure the most competitive terms available.
Explore our financing programs for Burlington: