NEW-Miami Occupier and Pricing Trends_C&W Q3 2023 RFS

MARKET HIGHLIGHTS Leasing activity in Q3 remained level from the previous quarter with 471,000 sf of new deals signed, bringing over 1.7 msf of leases signed YTD. Demand has noticeably fallen from the 2.8 msf recorded this time one year ago, as companies ease back from the previous two years’ healthy demand. The flight to quality held with 64.8% of new deals signed in Class A product. The Airport West submarket led the market in deals signed, contributing 26.2% of new leases with Downtown following suit with 18.1% of activity. SUBMARKETS: “HONORABLE MENTIONS” Coral Gables rounded out the top three in leasing activity with nearly 300,000 sf of new deals signed. Although the submarket saw supply outpace demand during Q3, this should be made up in the near future as companies find the suburban submarket an affordable and close location alternative to Miami’s CBD. The Wynwood/Midtown & Design District corridor also appeared to benefit from its close proximity to the CBD as the only other submarket experiencing over 200,000 sf of new deals signed so far in 2023. Notably placing it above the Brickell Avenue Submarket’s 142,000 sf of new leasing activity.

MIAMI DIRECT VACANCY (%), 2013 - Q3 2023

Percent

10.0% 12.0% 14.0% 16.0% 18.0% 20.0%

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

Class A

Class B

MIAMI TOTAL NET ABSORPTION, 2013 - Q3 2023

SF

(600,000) (400,000) (200,000) 0 200,000 400,000 600,000 800,000 1,000,000 1,200,000

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

Class A

Class B

MIAMI LEASING ACTIVITY 2013 - Q3 2023

SF

MIAMI AVERAGE DIRECT RENTAL RATES, 2013 - Q3 2023

MIAMI LEASING ACTIVITY 2013 - 3Q 2023

1,000,000 1,500,000 2,000,000 2,500,000 3,000,000

Quoted Rate PSF

$0.00 $10.00 $20.00 $30.00 $40.00 $50.00 $60.00

0 500,000

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 YTD

Class A

Class B

Class A

Class B

A

B

Cushman & Wakefield of Florida, LLC. / 3

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