Downtown Miami's Brickell neighborhood is where big-name firms are clamoring for space in new office towers.Major financial and tech firms are clamoring to secure South Florida office space as the coronavirus pandemic has pushed companies, executives, and startup founders to make moves to the Sunshine State.
As major companies, C-suite executives, and startup founders migrate to the Sunshine State at an accelerated pace — thanks to the migration of businesses away from urban centers like New York City set off by the coronavirus pandemic as well as alluring tax incentives — competition to lease prime office space is growing fierce.
Elliott Management is close to inking a roughly 40,000 square foot lease at at 360 Rosemary Avenue in West Palm Beach, a new office building from mega-developer Related. Maryland-based mortgage company New Day USA is finalizing a lease for about 50,000 square feet at 360 Rosemary, a roughly 300,000-square-foot office building scheduled for completion in the second quarter of 2021. A spokeswoman for New Day USA said the company could not yet comment on the pending deal.
That's a key indicator that the Miami market has become increasingly tight as both in-state and out-of-state interest in new office space has picked up in recent months. "They're trophy assets for the new-to-market tenants streaming into South Florida," Blanca said. "We certainly are engaged in active negotiations to lease more space."The transactions are part of a wave of office deals in the South Florida market. Low taxes, year-round warm and sunny weather, and an influx of wealthy corporate and financial industry executives have made it a rare bright spot of activity in an otherwise moribund office leasing market nationally.