The Miami Commercial Real Estate Market

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From buyers to tenants to brokers, commercial real estate professionals close more deals using Crexi’s commercial real estate technology tools. Nationwide, investors and businesses consider Miami’s CRE market an attractive investment option with a rapidly growing population, favorable tax rates, incentives, and encouraging ROI.

Buyers and tenants in Miami and beyond use Crexi’s technology suite to explore thousands of Miami-Fort Lauderdale-West Palm Beach MSA properties, quickly narrow their search results, and instantly reach out to Miami-specializing brokers. Over 92% of Crexi’s digital traffic is composed of actively seeking principals and tenants, many searching for the ideal Miami commercial real estate investment.

On the other side of the table, brokers utilize Crexi’s robust suite of listing, lead management, and marketing tools to close deals in Miami and the surrounding cities on their buyers’ behalf. Thanks to Crexi’s simplified marketplace, Miami commercial brokers can connect with prospective, interested buyers and tenants in a snap.

Crexi has facilitated over $330 billion in commercial property transactions and has marketed over $2 trillion in total property value.

Crexi proudly serves Miami, Doral, Aventura, Hialeah, Coral Gables, and the entirety of Miami-Dade County as the fastest-growing digital commercial real estate marketplace.

Miami coast skyline

The State of Commercial Real Estate in Miami

An area that was once swampland a little over 100 years ago is now one of the most vibrant metropolitan areas globally. Located at the southern tip of Florida, Miami is nicknamed the “Magic City” for its robust economic growth, surging population, and cosmopolitan population.Miami also has a strong transportation infrastructure, earning it a second name of “Gateway of the Americas .”

The Port of Miami handles some of the largest cruise ships in the world and is home to several cruise lines. Florida handles 53% of all US exports to Central America, 49% of exports to the Caribbean, and 43% of exports to South America.

Florida experienced a population surge during the pandemic due to its beautiful weather, low taxes, and pro-business government. Demand for property is high, and inventory is low, making Miami a great city to buy, sell, or lease commercial real estate.

Miami Regional Breakdown

According to the most recent US Census, the City of Miami is home to over 442,000 people and has grown by nearly 11% since 2010. It is the 2nd largest city in Florida, after Jacksonville, and the 41st largest city in the US. The population continues to grow throughout the entire state, with Florida ranked second for gaining the most residents from July 2020 through July 2021. In fact, in just one year, Florida grew by 211,196 residents for a total population of 21,781,128.

  • Miami is home to more than 442,000, with over 2.7 million residents in the metropolitan area.
  • Over the past ten years, the City of Miami added nearly 42,800 new residents.
  • Miami is ranked second in the country for gaining the most residents (July 2020 to July 2021).
  • Over 70% of the residents of Miami are Hispanic, while 54% of the total population was born in a country other than the US.
  • The median age in the Miami metropolitan area is 40.1, a little less than the figure in Florida.
  • Per capita income in Miami is $31,437, and the median household income is $44,268.
  • Over the past year, median household incomes in Miami increased by 5.7%, while property values grew by 4.2%.

Miami Job Market

The economy in Miami is increasing overall, with the unemployment rate dropping from 6.8% in March 2021 to 3.0% percent in March 2022. The Miami labor force grew by 56,474, for a 4.4% yearly increase, while private sector employment also increased. In March 2022, Miami’s private sector unemployment increased by 8%, making it the second-highest increase of private-sector jobs throughout all metro areas.

  • GDP for the Miami-Fort Lauderdale-West Palm Beach MSA is $365 billion and has grown by nearly 46% over the past ten years.
  • The unemployment rate in Miami is 3.0% as of February 2022.
  • Industry sectors in Miami with the most significant increase in employment include professional and business services, trade and transportation, and leisure and hospitality.
  • The largest employment sectors in the Miami metropolitan area are banking and financial services, education, transportation and tourism, and real estate.
  • Global companies based in Miami include Kraft Foods, Office Depot, Hilton International, and American Airlines.
  • Miami is also the Latin American headquarters for companies such as Canon, Hewlett-Packard, and Western Union.
  • Miami’s major colleges and universities include Miami Dade College, Florida International University, University of Miami, and Barry University.
  • Nearly 82% of the residents are high school graduates, while 31% hold a bachelor’s degree or an advanced degree.

The transportation infrastructure of Miami includes PortMiami (one of the largest ports in the US), freight rail service, four interstate highways, the 24-mile Metrorail line connecting the central business district with the western suburbs, and Miami International Airport, one of the busiest international airports in the world. 

Palm trees in the foreground with Miami towers behind

Miami Industrial Market

Industrial rents in Miami continue to climb as the demand for industrial space tightens. In Miami, net absorption almost tripled from 527,878 SF in Q3 2020 to 1.4 million SF in 2021. Miami’s industrial market had its best year in 2021, with vacancy rates dropping to new lows and rental rates increasing.

  • Total industrial inventory: 25,210,041 SF
  • Average asking rent: $9.54/SF per year, NNN
  • Vacancy rate: 2.7%
  • Absorption: 5.7 million SF in 2021
  • Leasing activity: 9.4 million SF in 2021
  • Key lease transactions by tenant: USPS for 179,634 RSF, Custom Veterinary Services for 147,768 RSF, and Capital Logistics for 136,989 RSF
  • New construction: 2.7 million SF currently under construction
  • Key construction completions: Home Depot for 1,050,000 SF, and Intcomex for 221,984 SF
  • Largest industrial submarkets: Airport west Submarket (including the City of Doral), Sweetwater, and unincorporated areas of Miami

Learn more about Miami industrial property for lease.

Miami Office Market

The Miami office sector continues to see a capital increase, even after the pandemic, due to its beautiful weather and ample business opportunities. Miami’s most popular submarkets, such as its Brickell area, Miami Beach, West Palm Beach, Wynwood, and Coconut Grove, have been seeing an influx of leases being signed for private equity,family offices, and hedge fund companies.  

  • Total office inventory: 62,877,914 SF
  • Average asking rents: $47.53/SF per year for Class A office space and $28.86/SF per year for Class B office space.
  • The vacancy rate is 16.6%.
  • Net absorption: -311,727 from 2020 to Q3 2021.
  • Leasing activity: 2.6 million SF in 2021.
  • Key lease transactions by tenant: 830 Brickell Plaza for 505,031 SF (developed by OKO Group and Cain International), Plaza Coral Gables for 392,568 SF (developed by Agave holdings), Royal Caribbean Headquarters for 350,000 SF (designed by HOK).
  • New construction: More than 3.5 million square feet of office space is currently under construction.
  • Largest office submarkets: Brickell, Downtown Miami, Miami Airport, Coral Gables.

Learn more about Miami office property for lease. 

Miami's downtown with palm trees in the foreground

Miami Retail Market

Retail activity has been increasing in Miami due to its growing population. In Q2 of 2021, Miami saw a declining vacancy rate of 20-basis points quarter-over-quarter with positive net absorption of more than 352,000 square feet. The direct asking rental rate also showed an increase of 2.8% year-over-year for $36.70 per SF (NNN).    

  • Total retail inventory: 35,300,386 SF
  • Average asking rent: $36.70/SF per year, NNN
  • Vacancy rate: 4.3%
  • Net absorption: Over 352,000 SF in 2021
  • Key leasing activity by tenant: Walmart for 158,000 SF, South Motors for 72,249 SF, and Publix for 47,955 SF
  • New construction: 39 retail properties are currently under construction in Miami, for a total of 3,884,385 SF
  • Largest retail submarkets: Miami-Dade, Palm Beach, and Broward

Learn more about Miami retail property for lease.

Miami Multifamily Market

Due to Miami’s increasing population, its multifamily market is expected to do well with moderate but steady growth. In 2021, Miami reached a record-breaking $7.4 billion in multifamily deals with total completion of 16,221 units. In August 2021, $4.2 billion in deals were recorded, increasing $1.3 billion compared to the past five years.  

  • Total housing units: 1,032,310
  • Renter occupied: 48%
  • Effective rent per unit: $1,905
  • Effective rent growth: 14.9%
  • Vacancy rate: 6.8%
  • New construction: 22,555 under construction in South Florida with expected deliveries from 2022 to 2024
  • Investment sales trends: A record average of $236,900 for the first three quarters of 2021. Cap rates range between 3.3%-3.75% for Class A properties and between 4.0% and 4.5% for Class B and C properties
  • Median household income: $44,268
  • Per capita income: $31,437

Learn more about Miami multifamily property for sale.

Downtown Miami's arena with coastal and harbor view

How Crexi Connects Buyers and Tenants to Miami Commercial Properties

Crexi’s open marketplace allows buyers and tenants nationwide to browse through Miami listings across asset classes efficiently. As one of Florida’s largest and fastest-growing metropolitans, Miami serves as a thriving global and cultural center with fruitful investment opportunities, healthy asset class performance, and attractive cap rates.

Buyers and tenants on the hunt for Miami property for sale or lease utilize Crexi’s free, powerful search tool to find suitable options quickly. As interested parties narrow their search, the tool enables filtering by asset class and subtypes, price, rate per square foot, cap rates, square footage, and even neighborhood.

Once a commercial property has been selected, a principal or tenant can immediately reach out to the listing’s broker with a button. Crexi also allows Miami property seekers to download brochures and OMs easily and even submit a letter of Intent (LOI) via its secure platform.

Intelligence Equips Investors with Data and Market Knowledge 

Crexi Intelligence strives to equip Miami investors and renters to make the best business decisions possible when seeking Miami property.

Using Crexi Intelligence, CRE investors and organizations are equipped with a massive database containing millions of third-party-verified sales comps and historical property data nationwide. Buyers and tenants also gain unparalleled access to Miami’s latest market trends and data, pulled directly from Crexi’s property database and featured in-depth demographic data on every listing page. 

Intelligence is available to buyers, sellers, and tenants on a subscription basis.

tall buildings in Miami, Florida

How Miami Brokers Thrive with Crexi

Crexi features more than 2,000 Miami properties for sale and for lease within the metropolitan area. Industrial and multifamily are among Miami-Dade County’s best performing properties, attracting tenants and investors seeking favorable cap rates in a fast-growing economy.

Using Crexi, Magic City brokers can efficiently list and manage properties regardless of asset class, including:

  • Land parcels
  • Industrial units
  • Mixed-Use developments
  • Office buildings
  • Multifamily units
  • Hospitality facilities
  • Retail buildings
  • Non-traditional buildings such as data centers, medical offices, etc.

Crexi’s broker tools allow Miami CRE professionals to navigate properties from the initial list to close. Miami brokers can reach out to interested leads with a few clicks while monitoring buyer and tenant behavior in real-time. Crexi’s secure file storage also allows brokers to collect and store due diligence paperwork online.

The full potential of Crexi’s broker technology reveals itself with Sale PRO, Lease PRO, and All PRO. 

Crexi PRO Dashboard 2020

Crexi All PRO

Crexi Sale PRO and Lease PRO help accelerate and simplify Miami brokers’ workflows. Using robust lead management capabilities, branded and customized lead reports, and detailed marketing analytics, PRO brokers can quickly reach and effectively interact with an already-interested buyer and tenant base. Additionally, PRO brokers’ listings are automatically placed at the top of Crexi’s search pages, viewable by buyers and tenants seeking Miami property.

Crexi also sends out weekly email blasts to a database of thousands of nationwide leads, containing relevant PRO listings aggregated based on each buyer or tenant’s search history. Powered by machine learning, this customization earns Crexi property emails a much higher engagement level, with an average click-through rate (CTR) of 10-15%.

Crexi PRO members also receive unlimited access to Intelligence’s database of over 40 million sales comps and detailed MSA market reports. 

Overhead view of cars driving down a highway in Miami beach

Brokers — including those in the Miami-Fort Lauderdale-West Palm Beach MSA — use Crexi PRO to directly and efficiently connect with the more than 200,000 leads interested in Miami commercial real estate and over 3 million leads nationwide added just in 2020. 

On average, PRO brokers obtain 125% more leads and close six to eight times more deals than non-PRO users.

Contact to learn more about PRO.

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Shanti Ryle
Shanti Ryle

Content Marketing Manager

Shanti leads Crexi's content marketing strategies with 7+ years of content development experience, creating everything from blog posts to award-winning podcasts. Previously, she worked on content teams at Snapchat, Weedmaps, and HopSkipDrive as well as developed copy, articles, and media for freelance publications.

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