The Miami Downtown Development Authority (DDA) has released its findings on the latest data for the Miami market, finding that vacancy rates continue to decline with Brickell's vacancy rate at about 15% — down from roughly 24.6% since 2011 — and the CBD posting a 20% vacancy rate — down from over 23% at the height of the recession. Vacancy remains relatively high in the Miami DDA Office Area, it is well off its peak and we have experienced strong positive net absorption during several consecutive quarters, according to a GlobeSt.com report.
So, the question is this: What are the aspects about Miami's CBD and office buildings that continue to attract tenants?
"Since becoming active here in 1982, the evolution of Miami's CBD has been intriguing," Donald Cartwright, senior vice president of JLL, tells GlobeSt.com. "Having personally moved from the suburbs to the Miami CBD, I have a great appreciation for the unique urban 'live, work and play' environment that continues to get better with world-class retail, dining, cultural and recreational venues."
Steady and growing positive net absorption has fueled a rapid recovery of the office market in the last three years. Although challenges remain, there are still plenty of new market entrants, expansions and relocations to Downtown Miami's office market.
"Combined with the weather and waterfront orientation which the city has always been known for, Miami's appeal continues to shine," Cartwright says. "However, buildings and amenities alone do not create demand for tenants. There must be a compelling business reason for companies to operate offices here, and Miami's CBD certainly delivers."
To read the DDA 2015 Greater Downtown Residential Real Estate Report, click here. For an interactive map of active developments in Miami, click here. For more news and information visit Blumberg Capital Partners.