Office Sector
The South Florida Office market ended the second quarter 2012 with a vacancy rate of 14.2%.
The vacancy rate was down over the previous quarter, with net absorption totaling positive 689,344 square feet in the second quarter. Vacant sublease space decreased in the quarter, ending the quarter at 650,004 square feet.
Tenants moving into large blocks of space in 2012 include: Citrix Systems moving into 54,902 square feetat Park Center; University Of Miami Bascom-Palmer moving into 52,205 square feet at Crossroads 3; and State Farm Mutual Automobile Insurance moving into 50,000 square feet at Convergys at Westpoint Centre.
Rental rates ended the second quarter at $26.29, an increase over the previous quarter.
A total of three buildings delivered to the market in the quarter totaling 278,762 square feet, with 384,523 square feet still under construction at the end of the quarter.
This trend is compared to the U.S. national office vacancy rate, which decreased to 12.1% from the previous quarter, with net absorption positive 20.72 million square feet in the second quarter.
Industrial Sector
The decrease in vacancy rates is evident in other market sectors as well. The South Florida Industrial market ended the second quarter 2012 with a vacancy rate of 8.0%.
The vacancy rate was down over the previous quarter, with net absorption totaling positive 1,241,489 square feet in the second quarter. Vacant sublease space decreased in the quarter, ending the quarter at 572,922 square feet.
Tenants moving into large blocks of space in 2012 include: Banah International moving into 301,000 square feet at 213 SE 10th Ave, TVM Studio moving into 258,270 square feet at Mohawk – Buildings G/H,and MIFS moving into 166,220 square feet at 14100 NW 60th Ave.
Rental rates ended the second quarter at $7.48, an increase over the previous quarter.
A total of four buildings delivered to the market in the quarter totaling 140,033 square feet, with 671,778 square feet still under construction at the end of the quarter.
This trend is compared to the U.S. national industrial vacancy rate, which decreased to 9.2% from the previous quarter, with net absorption positive 46.48 million square feet in the second quarter.
CoStar’s MidYear 2012 reports for Industrial, Office and Retail are available on this site. You can access them by clicking on the following links:
CLICK HERE FOR THE OFFICE MID YEAR 2012 MARKET REPORT
CLICK HERE FOR THE INDUSTRIAL MID YEAR 2012 MARKET REPORT
CLICK HERE FOR THE RETAIL MID YEAR 2012 MARKET REPORT
Source: CoStar
