The Real Deal Miami

McKinsey ditches Miami Tower for full floor at Two Brickell City Centre

Company nearly doubled its Miami footprint with new lease
By Sean Stewart-Muniz | November 09, 2016 02:15PM

Two Brickell City Center

Two Brickell City Centre

Swire Properties has wooed away McKinsey & Co. from the company’s long-time offices at the Miami Tower, signing the global consulting firm for a full floor at the developer’s newly opened Two Brickell City Centre, sources told The Real Deal.

McKinsey has agreed to lease 17,000 square feet at the 12-story office building, marking a big boost in space from the firm’s current 7,110-square-foot digs on Miami Tower’s 21st floor.

Terms of the lease are unknown, but data from the CoStar Group shows asking rents for the building’s sister tower, Three Brickell City Centre, average $53 per square foot.

McKinsey is one of the world’s largest research and consulting firms, raking in an annual revenue of $8.4 billion in 2014, according to Forbes. Outside of more than doubling its footprint in Miami, the company appears to be on a growth path — its revenues were $7 billion in 2011, according to Forbes, marking a $1.4 billion boost in just three years.

The lease brings the 132,280-square-foot Two Brickell City Centre to 60 percent occupancy, coming two months after co-working giant WeWork agreed to occupy a whopping 65,000 square feet at the Class A building.

Swire Properties President Stephen Owens told TRD during a meeting last month that Two Brickell City Centre had received its temporary certificate of occupancy, signaling the office building was ready to open. Brickell City Centre’s retail portion also opened last week, bringing the project’s first phase to completion.

CoStar data shows McKinsey is set to leave its current space by February 2017.

Miami’s office market has tightened in the past year, as evidenced by a dwindling vacancy rate and quickly growing average rents. As Donna Abood, principal of Avison Young’s Miami branch recently said, condo developers have drained the city’s urban core of lots ripe for office projects, starving the market of new supply.