The Real Deal Miami

Miami office market strengthening

April 12, 2011 09:13AM

The Miami-Dade County office market should strengthen this year, as
space demand continues to recover, construction decreases and rents inch
higher, according to a report from Marcus and Millichap. While
investment activity has not yet improved relative to the strong
performance of a number of submarkets, accelerating job growth could
mean as much as 400,000 square feet of positive net absorption. The
report predicts a 50-basis point  drop in vacancy to 15.4 percent,
compared to a 120-basis point jump last year. Rents are on track to
increase by 0.5 percent, up to $29.91 per square foot, with effective
rents up to $24.06. TRD