South Florida Retail Summary (Q1 2018)

May 14
South Florida Retail Summary (Q1 2018)

Market Snapshot for South Florida Retail

A summary of the highlights, trends, and current market activity of Q1 2018 for South Florida commercial real estate focusing on Miami-Dade County: Analysis derived and compiled from leasing data and transaction reports in order to better understand the health of the CRE market in Miami-Dade County.

In Q1, 2018 Miami-Dade County’s vacancy rate moved up a bit to 3.8% from 3.5% in Q4 2017, with the asking rate per sq. foot rising to an average of $39.59, up from $38.30 in contrast to Q4. Concurrently the absorption rate is 232,303 for Q1.

The key transaction highlights in Q1 are: Jamestown acquiring 140,000 SF of property in Doral for $71.6 million and Crown Acquisitions purchasing 7,500 SF of property in Miami Beach for $25.6 million.

Jamestown, an Atlanta-based investment and management firm, acquired Doral Commons from Terra Group, an integrated development company based in Coconut Grove (FL), for $511/ SF. The 95% leased retail center is anchored by Publix with other household names as tenants, including: TJ Maxx, Citibank, GNC, AT&T Wireless, and McDonald’s. Jamestown is heavily active in both the New York and South Florida commercial real estate markets.

“Investor and retailer appetite for the South Florida commercial real estate market continues to be very positive.  Strong demand from domestic and international investors for well-positioned South Florida grocery-anchored shopping centers, a limited supply, and historically low interest rates, are continuing to keep cap-rates at historically low levels.”

Gabriel Navarro, Principal

KEY STATS: Miami-Dade

  • Vacancy: 3.8% (Compared to 3.5% in Q4)
  • Absorption: 232,303 (Compared to -18,209 in Q4)
  • Asking rate PSF: $39.59 (Up from $38.30 in Q4)


Publix-anchored retail centers led the top CRE sales transactions with 2 of the top 5 sales in Miami-Dade County. This trend illustrates that investors are very much still interested in retail, especially if the centers are grocery-anchored

Village at Oriole Plaza

1. Doral Commons, 7520 NW 104th Ave (Doral, FL)
Buyer: Jamestown
Size: 140,000 SF
Price: $71,600,000 ($511/ SF)

2. 947 Lincoln Road (Miami Beach, FL)
Buyer: Crown Acquisitions
Size: 7,500 SF
Price: $25,650,000 ($3,420/ SF)

3. Plaza del Paraiso, 12100 SW 127th Ave (Kendall, FL)
Buyer: Publix Super Markets
Size: 93,631 SF
Price: $21,580,000 ($230/ SF)

4.Valls Family Retail Portfolio (Miami Lakes, FL)
2 Properties: Country Club Shopping Center- 7600 NW 186th St & Palmetto Plaza Center- 1995 W 6th St
Buyer: R.I.C. Inc.
Size: 92,749
Price: $16,000,000 ($172/ SF)

5. Heritage Investors FL Mixed Portfolio (Miami Beach, FL)
2 Properties: 1510 Alton Rd & 1509 West Ave
Buyer: Bulldog Capital Investments
Size: 8,160 SF
Price: $7,700,000 ($944/ SF)


Properties Currently Under Construction: 55
Total Size:
2,039,114 SF
Percent of Inventory:

There are currently 55 retail properties under construction in the Miami market representing 2.04M square feet of new product. The following are the top 5 largest retail projects currently under development.

Miami Worldcenter in Florida

1. Miami Worldcenter (NE 1st Ave)
Size: 450,000 SF
Completion Date: June 2019
Developer/ Owner: Miami Worldcenter Associates, LLC & The Taubman Company

2. Gardens Promenade (18000 NW 27th Ave)
Size: 300,000 SF
Completion Date: July 2018
Developer/ Owner: IMC Equity Group

3. MiamiCentral Retail (200 NW 1st Ave)
Size: 180,000 SF
Completion Date: May 2018
Developer/ Owner: All Aboard Florida

4. Met Square- Silverspot Center (300 SE 3rd Ave)
Size: 113,508 SF
Completion Date: September 2018
Developer/ Owner: MDM Development, LLC

5. 2525 NW 82nd Ave 
Size: 90,000 SF
Completion Date: January 2019
Developer/ Owner: Easton Group

6. Crystal Lakes Shopping Center (Homestead, FL)
Size: 85,000 SF
Completion Date: Q4 2018
Developer/ Owner: MMG Equity Partners


Vacancy rates in the South Florida commercial real estate market have stayed around 3-4% consistently for 3 years now, even with rental rates reaching historic highs. Miami-Dade County continues to lead rental rates in the area at $39.59/ sf), opposed to Broward County at $22.77/ sf), and Palm Beach County at $21.11/ sf respectively.

TJ Maxx Florida

1. Homestead Pavilion, 2611 NE 10th Ct (South Dade, FL)
Tenant: TJ Maxx
Size: 22,100 SF
Lease Type: New

2. London Square, 13550 SW 120th St (Kendall, FL)
Tenant: Total Bank
Size: 10,906 SF
Lease Type: Renewal

3. Palm Plaza, 9200 SW 158th Ln (Kendall, FL)
Tenant: Face to Face Medial Center
Size: 8,000 SF
Lease Type: New

4. Kendall Mall, 8811-8851 SW 107th Ave (Kendall, FL)
Tenant: Pet Supermarket
Size: 7,990 SF
Lease Type: New 

5. Kendall Lakes Plaza, 13755- 14091 N Kendall Dr (Kendall, FL)
Buyer: Salons by JC
Size: 7,100 SF
Lease Type: New

Data sources: CoStar and Colliers