2018-2019 Miami Retail Major Markets Report

MARKET DYNAMICS INMIAMI-DADE

Visitor Impact and Shadow Market Tourist numbers include short-term visitors as well as many who have purchased homes in the region and stay for extended periods of time, from a few weeks to several months. These temporary residents use South Florida as their second or third home and participate in the “Shadow Market,” which is not easily quantified in demographics or spending statistics, and is not included in the Census. However, temporary residents do contribute and drive the economic vitality of the region and come from all over the world. Many Retail Sales in Billions vs. Household Income

buy homes and park money in real estate assets, with most willing to pay all cash for assets. The Shadow Market includes many international residents, primarily from Latin America, and remains one of the main factors behind the region’s strong real estate market and elevated retail sales growth. On average, 62% of foreign buyers spend more than twice that of domestic buyers on residential properties in Miami.

$60B

$50K

$50B

$45K

$40B

$40K

$30B

$20B In Billions

$35K

$10B

30K

$0B 2000 ‘01 ‘02 ‘03 ‘04 ‘05 ‘06 ‘07 ‘08 ‘09 ‘10 ‘11 ‘12 ‘13 ‘14 ‘15 ‘16 ‘17

Retail Sales

Household Income

Sources: Moody’s , 2018

MIAMI RETAIL MAJOR MARKETS REPORT

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