Figures
Miami Industrial Figures - Q4 2024
January 10, 2025 5 Minute Read
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- Net absorption closed the year at a modest 1.1 million sq. ft., marking the lowest annual total in a decade. Despite this, leasing activity has gained notable traction, especially for transactions exceeding 100,000 sq. ft. However, deals are taking longer to finalize across the board, indicating that while leasing momentum is building, it has yet to translate into measurable absorption growth.
- This year, the development pipeline reached a historic peak, delivering nearly 5.6 million sq. ft. of industrial space over the past 12 months—the highest in Florida. Consequently, overall vacancy has climbed to a multi-year high of 5.7%, but projected to peak in 2025 as the overall construction has slowed from all time peaks in early 2023.
- The increasing vacancy rate has placed downward pressure on rent growth, a trend likely to persist. Following a cycle-high of 18.0% in mid-2022, Miami’s industrial rent growth has slowed significantly, reaching 7.7% over the past 12 months as of Q4 2024.