Broward office space to see decrease in demand

Broward County office space has been hit with a decrease in demand across
all grades of office space and every submarket in Broward County, and the
vacancy rate is projected to climb to 19 percent. A fourth-quarter office report by
Marcus & Millichap, the nation’s largest real estate investment services
firm, said rents also will decline, falling to their lowest level since
2007. Gregory Matus, regional manager of the Fort Lauderdale office of the
brokerage, said deal activity this year has consisted primarily of sales of
less than $1 million to owner-users. This year, asking rents are forecast to
fall 4.8 percent to $25.15 per square foot. Effective rents are projected to
slide 8.5 percent to $20.14 per square foot. In 2008, asking rents gained
0.9 percent, and effective rents declined 1 percent. TRD