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

Downtown 68% of CBD Leases

Direct Class A: $71.29 PSF Direct Class B: $47.09 PSF

Year-to-Date Leasing 451K SF

Largest Volume Executed YTD:

CLASS A & CLASS B BUILDINGS 82% % of SF Leased in Class A Buildings

YTD Overall Net Absorption -39,696 SF

14.4% Q3 2023 Direct Vacancy

638,355 SF Under Construction

CBD OVERVIEW

HIGHLIGHTS Most of Miami’s new inventory built since 2010 was in the CBD, increasing Class A product by nearly 2.6 msf over the past 13 years. No new buildings have been delivered since 2018, with only two projects currently under construction combining for over 766,000 sf. This was over 51.0% of the total office space underway throughout the county and over 72.0% preleased, with all of the deals signed taking place in the 638,000 sf at 830 Brickell Avenue project. Notably, Class A inventory’s overall vacancy rate of 12.9% recorded at the close of Q3 matched the previous record low rate recorded in 2020 prior to the impacts of the global pandemic. The affects from COVID-19 caused overall vacancy for trophy properties to peak at 16.6% at midyear 2021. Since then, Miami’s CBD Class A office segment rebounded in force, dropping 370 bps over the past two years and remained well below the 17.8% high recorded in 2013 after the Great Recession. The CBD is well positioned to absorb any increases in added Class A supply from current economic headwinds along with new developments.

Percent CBD - DIRECT VACANCY (%) 2013 - Q3 2023

25.0%

20.0%

15.0%

10.0%

5.0%

0.0%

CBD CONSTRUCTION PIPELINE

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

Class A

Class B

Submarket

Address/Building Name

Construction Type Construction Status

Class

Office Sqft

Class A

Class B

Brickell Avenue 830 Brickell Plaza/830 Brickell

Speculative

Under Construction

A

638,355

Downtown

Offices @ 601

Speculative

Under Construction

A

127,800

One Brickell City Centre/ One Brickell City Centre

Brickell Avenue

Speculative

Proposed

A

1,170,000

Brickell Avenue 1201 Brickell Bay Drive/Citadel HQ

Build-To-Suit

Proposed

A

900,000

Brickell Avenue 848 Brickell Avenue/

Speculative

Proposed

A

704,000

Downtown

700 N Miami Ave/Miami Worldcenter

Speculative

Proposed

A

540,000

100 South Biscayne Boulevard/ One Bayfront Plaza ll

Downtown

Speculative

Proposed

A

537,200

312 S Miami Ave/ MRP Plat 6 Mixed Use Project

Downtown

Speculative

Proposed

A

462,492

Brickell Avenue 888 Brickell Ave/888 Brickell

Speculative

Proposed

A

304,950

Cushman & Wakefield of Florida, LLC. / 5

Brickell Avenue 1105-1133 SW 2nd Ave/ 1 Southside Park

Speculative

Proposed

A

200,000