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The Real Deal Miami

SF office inventory drop outpaces national average

July 21, 2011 05:10PM

South Florida office space inventory fell 1.5 percent in the second quarter of 2011, with the supply of Class A office space falling 1.9 percent. The drop far surpassed the national average; U.S. office inventory inched down by only a fraction — 0.2 percent.

South Florida had an availability rate of 21.3 percent, compared with 11.3 percent in New York and 23.2 percent in Tampa Bay, the only other Florida area mentioned. The average leasing rent for South Florida was $27.16 per square foot compared with $50.69 in New York City and $20.52 in Tampa Bay.

For South Florida, overall leasing totaled 1.6 million square feet, up 26.9 percent from the first quarter of 2011.

In Miami-Dade County, the number of contiguous blocks of space that were available — 50,000 square feet or more — was unchanged quarter-over-quarter at 22. The number of blocks in Palm Beach County declined to eight from nine. In Broward, the number was 17, up from 15

Overall rents fell nationally, recording a decrease of 0.2 percent to $28.41 a foot, while Class A rates rose by 0.5 percent. On a trailing four-quarter basis, leasing nationwide fell by 2 percent to 194.9 million square feet. — Katherine Clarke