Miami Real Estate Market Reports

Miami Office Market

Annual full-service asking rental rates increased to a historical high of $55.93/SF, a 10.4% increase year over year. Occupancy remained positive, keeping overall vacancy rates flat with no change year over year, at 14.3%. Under-construction pipeline decreases, with 1.2 MSF still in progress following the 556,035 SF delivery of 830 Brickell. Total leasing activity closed the quarter at 880,049 SF, reflecting slower leasing activity due to fewer and smaller deals being completed. Leases signed averaged 2,619 SF per deal, reflecting a 1,253 SF decrease in average deal size year over year.

Miami Industrial Market

The market realized 94,424 SF of negative absorption in the third quarter of 2024, reflecting a 125.7% decline quarter over quarter. Slowly rebounding leasing activity as well as delayed buildout times for new tenants are primarily attributed to the temporary stay in positive absorption. Overall rental rates declined by 0.3% quarter over quarter but grew by 2.3% year over year to $15.41/SF. Construction deliveries totaled 767,162 SF in the third quarter of 2024 with 3.5 MSF of ongoing and newly started projects under construction. Supply continued to outpace demand through the third quarter of 2024 and, as a result, vacancy has climbed to 4.5%, reflecting an increase of 30 basis points quarter over quarter. Of the space under construction, 3.6% is currently preleased, which indicates that the market is still bullish on speculative construction.