The general definition of commercial real estate commonly implies referring to a wide range of office buildings, licensed brokers, available listings, company agents, sales prices, high-rise leases, lending agencies, development conditions, offices, spaces with views, listings for sale, special sales in office space, credit officers, appraisal companies, lease terms, public parks and land auction prices.

The commercial real estate scene in Miami, and in all of South Florida as well, continues to thrive despite the anger sparked by the foreclosure crisis. While the residential market continues to take a beating, the commercial real estate markets, while also bearing the brunt, continue to attract buyers and not succumb to the pinch caused by rising mortgage rates, foreclosures and falling median home values. homes, due to the fact that commercial real estate investors tend to be larger companies or investment funds, rather than individual homebuyers.

Miami-Dade office markets remain attractive

Lower demand seen today in the office space market today will result in a higher vacancy rate and a more moderate pace of rental growth in Miami-Dade County this year, analysts say, although overall conditions will remain relatively flat. healthy, according to the 2008 National Office Report by Marcus & Millichap.

Vacancies will increase in 2008, however the long-term outlook is positive as demand is expected to pick up in 2009. The report also includes the company’s annual National Office Index, which analyzes and ranks 43 job markets. offices based on a 12-month series. , forward-looking indicators of supply and demand. Miami is down six spots this year to No. 23.

According to Marcus & Millichap’s regional manager, properties in infill areas in northern Miami-Dade, Hialeah and Kendall counties will continue to be attractive defensive investments, due to the consistent demand history in the area and the difficulty in adding new supply. . Highlights from the reports include: developers expected to complete 600,000 square feet of lease space; vacancy is forecast to remain at 9.7% by the end of the year; Requested rents are expected to increase 4.6% to $30.32 psf; and effective rents will rise 4.1% to $26.01 psf.

The South Florida region continues to rank high among commercial real estate investments

According to Real Capital Analytics’ recently released report on global real estate transactions, the South Florida region ranks 15th in the world for commercial real estate transactions. The report is the first to comprehensively track transactions in major metropolitan areas globally, tracking $1.04 trillion in office, industrial, hotel, retail, land and apartment sales worldwide in 2007. In total, 114 metro areas recorded more than $1 billion in transactions. .

South Florida is ranked as the 15th largest metropolitan area in the world for commercial real estate investment, and it’s also one of those highly desirable markets, with plenty of conglomerates looking to invest there. South Florida’s popularity as an international travel, trade and business destination builds familiarity among foreign investors, the report added. It also helps reduce the notion of investment risk, because the region’s commercial leasing, sales and consumer markets are not entirely dependent on US economic conditions and demand.

South Florida’s rise on the global investment sales scene is paralleled by its rise as an international center of commerce. The Real Capital Analytics report further states that the conclusion is that South Florida, due to its strategic location, has become attractive to international trade and the entire world.