Development Continues in Miami-Dade County’s Active Retail Marke
The retail market in Miami-Dade County has remained resilient as retailers across the nation continue to transition with a rapidly changing industry. Retail fundamentals have reached a healthy status in the second quarter of 2018. The vacancy rate in Miami-Dade currently stands at 3.9 percent, a 10-basis point decrease quarter-over-quarter. Vacancy rates have remained below 4 percent in Miami-Dade since 2014. The demand for retail space in Miami-Dade has been sustained through the 283,314 square feet of space absorbed. The market delivered 250,667 square feet of space in the second quarter and still has 1.95 million square feet of retail space under construction.
Retail Demand Follows Population Growth in the Suburbs of Broward County
The retail market in Broward County has remained lively in the first half of 2018. Vacancy rates currently stand at 3.8 percent, a 10-basis point decrease year-over-year. Vacancy rates have remained below 4 percent since the second quarter of 2017. Sawgrass Park continues to boast low vacancy rates at 0.5 percent as an expansion is scheduled to open in 2018 called the “Town Center at Sawgrass Mills” which will feature 25 full-price retailers, 4 new restaurants, and another new parking garage for 2,000 vehicles. More than 500,000 square feet of retail space was leased in Broward County in the second quarter of 2018.
Leasing Activity in Palm Beach County’s Retail Market Continues to Prosper
Palm Beach’s retail market ended the second quarter of 2018 unhurried. The vacancy rate currently stands at 4.6 percent, a 10-basis point increase year-over-year. Vacancy rates in Palm Beach County have remained below 5 percent since the end of 2016. Rental rates in the second quarter of 2018 currently average $22.65, a 12 percent increase year-over-year. Average retail rates in Palm Beach have been rapidly increasing over the past 5 years and represent 31 percent growth since 2013. As major tenants enter Palm Beach’s retail market, rental rates are expected to continue escalating.