📈 Absorption: Despite facing challenges with a negative absorption rate, the negative absorption is shrinking. Currently we are reporting a negative absorption of -9900 square feet, a dramatic improvement from negative 124,000 in August 2023. What is absorption? The rate at which vacant space is rented out or utilized by tenants is referred to as … Continue reading Market Absorption

“✨ Competitive Edge: Sarasota’s office market boasts a low vacancy rate of 4.4%, underscoring a competitive edge even as we navigate Commercial Real Estate in vacancy and tenant movement. This metric showcases office demand, a reminder of the strength and appeal of our market, and the need for strategic foresight in leasing decisions. #CompetitiveMarket #StrategicLeasing

Office Market Insights: Valued at $5.3 billion with 2,808 properties, SRQ’s (Sarasota and Manatee Counties) Commercial Real Estate market is a testament to our region’s vibrancy. Despite a recent dip in sales volume, the commitment of private investors highlights the underlying confidence in our market’s fundamentals. #CRE Vibrancy #InvestorConfidence

📊 Population & Prosperity: With the Sarasota and Manatee Counties nearing 900,000 residents, our community’s growth fuels diverse economic opportunities, especially in sectors like tourism and healthcare. Our region has shown that plans for growth respect both our strengths and the importance of adapting to change. #SustainableGrowth #CommunityFocus

🚀 Dynamic Growth: Sarasota’s job market and population are among the fastest-growing in the nation, thanks to our warm weather and no income tax policy. October 2023 saw a 1.7% employment increase, equating to 339 jobs in just one month. #JobGrowth #PopulationGrowth

💡Economic Resilience in Sarasota: Our local economy, buoyed by $151.5 million in office investments over the past year, stands resilient amid broader challenges. While strong and compelling, this number is 20.5% below the $190.5 million reported in August over the previous 12 month period. #EconomicCommercialRealEstateResilience #MindfulInvesting #SarasotaEconomy #RealEstateResilience

🌟 Navigating the SRQ Office Market: With 28.6 million square feet of office space, Sarasota and Manatee Counties shine as the beacon of Southwest Florida’s Commercial Real Estate market. Despite facing national headwinds, our local market demonstrates remarkable resilience and potential for stability. Stay tuned for insights on how our region navigates the Commercial Real … Continue reading Introduction to SRQ Office Market Pulse

Part 3: Other Factors to Consider Quality and Location AdjustmentsThe quality of the office space and its location can significantly impact its value. High-quality amenities or a desirable location may justify a higher lease rate, even if the nominal costs seem steep at first glance. Lease Term BenefitsLonger lease terms can offer benefits such as … Continue reading Navigating Commercial Lease Comparisons: A Comprehensive Guide: Not all Lease Rates are Created Equal

Comprehensive Cost AnalysisStart by identifying all the costs associated with each lease type, including base rent, property taxes, insurance, maintenance, and any additional expenses specified. Don’t forget to account for the load factor, which can significantly impact the effective cost per square foot. Effective Rate CalculationTo compare leases effectively, convert all costs into a common … Continue reading Navigating Commercial Lease Comparisons: A Comprehensive Guide: Not all Lease Rates are Created Equal – Part 2: A Methodology for Accurate Lease Comparisons

This 3 part series breaks down the complex topic of commercial lease comparisons by detailing basic concepts as well as more nuanced considerations. The case study serves as a practical example to solidify understanding before moving on to additional factors that influence lease decisions. The intent is to both educate and provide a clear path … Continue reading Navigating Commercial Lease Comparisons: A Comprehensive Guide: Not all Lease Rates are Created Equal