May 27, 2016
There is a very strong demand currently adjusting into the Central and Downtown Miami office market. Investors and sponsors still believe the Miami’s Downtown and Brickell areas will continue to grow and yield higher rents in the coming years. There is a great office debate weather which area will be hosting the highest changes throughout the coming years, with investors strategically reaching for the Downtown Miami office markets.
With just over an 11% vacancy rate, the average rent in Downtown Miami is clocking in at more than $40/FS – Far above the rest of Miami’s office submarkets. Fueled by Brickell’s demand and with 305k SF delivered this year, with another 1M SF on the way with the opening of BCC, there was a 100SF absorption loss.