The Real Deal Miami

Miami’s office sector improves to pre-recession levels: report

Positive absorption in 2014 already higher than the previous nine years
October 16, 2014 11:15AM

marketdataThrough the first nine months of 2014, Miami’s office market already has experienced more positive absorption of space than any year dating back to 2005, according to a new quarterly report from real estate firm JLL.

The 712,454 square feet of positive absorption – with more than 338,000 square feet of that occurring during the third quarter – drove Miami’s vacancy rate down to 15.4 percent. That represents the lowest total vacancy rate since onset of the recession.

Miami’s average asking rent rose by 3.9 percent to $32.53 per square foot during the quarter. That is the market’s highest asking rent since 2009.

Financial services companies and law firms continued to be the most active office space occupiers throughout the market, especially in the Central Business District. The two sectors represent 81 percent of the district’s tenant base. — Eric Kalis