Office square footage under development reaches 10-year high, but this time it’s the suburbs leading the way
Miami’s office market is experience a construction boom – but its not occurring in the downtown core.
October 23, 2019
- Miami’s office market is experience a construction boom – but its not occurring in the downtown core. There is currently 1.8 million square feet under construction throughout the county which will increase the overall inventory by 4.7 percent. Given the submarket’s nascent nature, office construction in Wynwood is not included – there is nearly 451,000 square feet currently being developed in the untracked submarket.
- Unlike the prior cycle when the CBD accounted for the majority of construction, however, suburban markets have been leading the development surge in recent years.
- There is currently over 1.2 million square feet of office space being developed in Miami’s suburban submarkets, with Coral Gables accounting for 37.4 percent of that development alone.
- These are not the traditional suburban office developments that have historically dominated suburban office construction. The projects currently being built in the suburbs are in amenity rich areas (not traditional office parks) and the buildings themselves have more in common with properties typically found in downtowns across the country, such as coworking spaces, multiple uses and amenities such as rooftop bars, tenant lounges and modern, high quality finishes.
Source: JLL Research