2019 is already shaping up to be a promising year in Florida’s commercial real estate market. New, major developments are already underway in several locations, domestic and international investors are contributing to the market, and overall the financial data in Florida’s CRE is positive. Analysts continue their bullish outlook on the commercial real estate market here with positive predictions in the future for investors and CRE companies alike.
We’ve compiled some of the commercial real estate news highlights and eye-catching headlines around Florida and nationwide to shed some light on the current state of the market. This update for Q1 2019 includes: predictions for the South Florida commercial real estate market in 2019, MMG Equity Partners sale of Whitworth Farms Shopping Center, international investments in the CRE market, grocery stores experiencing expansion nationwide, an update on the Miami MLS expansion team, and much more.
Florida Commercial Real Estate News – Q1 2019
Bisnow.com provides a breakdown of predictions for this coming year, including: market consolidation, new technologies in CRE, submarkets that will thrive, the scooter craze, and sustainability.
MMG Equity Partners joint venture with Global Fund Investments sold Whitworth Farms for $19.35 million in February 2019. Whitworth Farms is an 88,424 sf Publix-anchored retail at Hagen Ranch Road and Whitworth Parkway in Boynton Beach, FL.
Grocery companies were responsible for opening nearly 17M square feet of space nationwide. In Florida this trend was led by Publix, which is rapidly expanding in the region. Around the country, Aldi (a German grocer) accounted over 15% of the total square footage added by grocery stores.
Kaufman Lynn Constructions begins phase 1 on Plantation Walk project 8 miles west of Fort Lauderdale. The first phase will have a 7-story building featuring 63,000 sq ft of retail space, 12,000 sq ft of amenity space, and 171 multifamily units. The initial phase of the project is set to be complete in Q2 2020.
GlobeSt.com covers specific market factors that are contributing to South Florida’s growing demand with both domestic and international investors in an interview with an industry expert. They also discuss what to expect in 2019.
The Magic City Innovation District, a massive residential and commercial real estate project proposed for Little Haiti moved one step closer to complete approval by passing an initial nod by Miami’s commissioners. The project also got an initial nod for a $31 million dollar aid package by the commission.
Inter Miami, David Bechkam’s South Florida MLS Expansion Team, Looks for Other Viable Stadium Options
After years of back-and-forth with the city of Miami regarding stadium proposals and other important logistical details, Inter Milan is looking at other options to get the ball rolling. Most recently, Fort Lauderdale is seen as a possible option in case things don’t work out in Miami.
Giles Capital Group, Rosemurgy Properties and Schmier Property Group, collectively with Wheelock Street Capital was approved for $125.65 million in financing for the construction of a new project in West Boca Raton. The mixed-use project is set to be over 1 million square feet. It will feature 456 Class A luxury apartments and nearly 172,000 sq feet of retail space.
Last year, Toys “R” Us left nearly 30M square feet vacant in the retail market around the United States. This has opened opportunities for buyers and investors, as we’ve covered several sales of former Toys “R” Us locations in our Top South Florida Retail Center Transactions 2018. This location in Royal Palm Beach sold for $15,800,000 and is 55,962 square feet.
South Florida is seen as one of the top industrial commercial real estate markets in the USA. 2018 did not disappoint as several records were broken during the calendar year, such as rental asking rates, leasing activity, and investment sales.