Clockwise from top still left: 1800 West Indiantown Road in Jupiter, PGIM’s Eric Adler with 12503-12681 Miramar Parkway in Miramar and Orion Authentic Estate Group’s Kevin Sanz with 13605-13619 South Dixie Highway in Pinecrest (LoopNet, Google Maps, PGIM, Orion)
South Florida’s population development is a boon to retail landlords, which once again lifted rents, as vacancies hit very low one digits in the last quarter of previous yr, according to a current Colliers report.
Out of doors buying facilities remained the top rated asset course for commercial investors in Miami-Dade and Broward counties. And Walgreens cashing out of two pharmacy qualities represented the largest trades in Palm Beach County, Colliers also located.
Miami-Dade County
In the fourth quarter, Miami-Dade knowledgeable good web absorption of 205,388 sq. feet, the maximum of any quarter in 2022, the report states.
Leasing exercise hit 1.8 million sq. ft for the entire calendar year, contributing to a document very low emptiness charge of 3.3 percent in past year’s fourth quarter. For the duration of the very same period of time of 2021, the emptiness fee was 3.6 p.c.
As a result, landlords increased the average asking lease to $44.16 a sq. foot in the fourth quarter of past year, representing a just about 3 percent boost from the preceding quarter and an 11.9 % bounce as opposed to the same interval in 2021, when the average inquiring hire was $39.45 a square foot.
The biggest sale of the fourth quarter was Colonial Palms Plaza, a browsing centre in Pinecrest showcasing a Marshalls/Homegoods and a PetSmart. A joint venture among Limestone Asset Administration and Orion Real Estate Group purchased Colonial Palms for $70.5 million.
Broward County
The retail industry in Broward observed favourable web absorption of 365,000 sq. feet in the fourth quarter, ending the year with 1.4 million square toes absorbed, Colliers found. It outpaced new development, which totaled 715,000 sq. toes for all of 2022.
Leasing action strike 2.1 million square feet previous year in Broward, pushing the emptiness fee down in the fourth quarter to 4 per cent. Throughout the very same interval of 2021, the vacancy amount was 4.7 percent, the report reveals.
Landlords jacked up asking rents to $26.84 a square foot in previous year’s fourth quarter, compared to $24.39 a square foot for the duration of the identical period of time of 2021. Which is a 10 p.c raise, year-above-12 months, Colliers identified.
PGIM Authentic Estate’s $61.5 million acquisition of Monarch City Center, a Publix-anchored shopping centre in Miramar, represented Broward’s most significant retail deal of the fourth quarter.
Palm Beach front County
The northernmost county in South Florida experienced web absorption of 82,400 sq. toes in the fourth quarter, ending the yr with nearly 1 million square ft absorbed. That marked the optimum amount of money absorbed since 2016, the report states.
Leasing exercise in Palm Beach County’s retail sector strike 1.2 million square feet for all of 2022, resulting in a vacancy charge of 3.5 per cent during the fourth quarter. That is a fall from the 4.6 percent emptiness level in the course of the identical period of time of 2021.
Next the craze in Miami-Dade and Broward, Palm Seashore County landlords raised the asking hire to $29.16 a square foot, an boost of 4.1 per cent from the previous quarter. It’s also a practically 9 % hike in contrast to the exact time period in 2021, when the asking lease was $26.77 a sq. foot.
The two premier gross sales of the fourth quarter have been two freestanding Walgreens suppliers, the report states. An entity managed by Joe Katz compensated $11.2 million for a pharmacy in Jupiter, and Forest Hills Home Team picked up a Walgreens in Wellington for $8.2 million.
