Miami-Dade Industrial Market Stabilizing

MIAMI-The Miami-Dade County industrial market seems to be stabilizing, according to Cushman & Wakefield’s fourth-quarter industrial overview.

The Miami industrial market is expected to benefit from growth in the Latin American economy this year, the report states. Improvement in that economy should increase industrial activity around Miami International Airport and the entire county. Meanwhile, employers in South Florida are optimistic in their hiring estimates for this year.

For 2003, leasing activity was virtually unchanged from 2002, decreasing slightly in 2003 to 7.3 million sf. The overall vacancy rate for the market also has been pretty constant at 9.4% in the past year. In addition, overall weighted average asking gross rental rates dropped 24 cents per sf from the end of 2002 to $8.23 per sf a year later.Sublease space decreased 25% from year-end 2002 to the same time in 2003–a sign of an improving market. Sublease space was one million sf at the end of 2003. Direct net absorption also improved in 2003, to positive 411,043 sf, compared with the positive absorption of just 107,736 sf a year earlier.