This week we are looking at the largest tenants who represent 5% of the total number of tenants. When we look at these elephants, they oftentimes indicate current and future trends for everyone else.
These are the largest deals in Miami for 2Q2012:
|
Tenant |
Sq Feet |
Submarket | Transaction Type |
| Lennar Corporation Homebuilder |
150,000 |
Airport West |
Renewal/ |
| Brightstar Telecommunications |
61,053 |
Airport West |
Renewal |
| Young & Rubicam Advertising Agency |
43,000 |
Brickell |
Renewal |
| Merrill Lynch Financial Services |
30,827 |
Coral Gables |
Renewal |
| FIU Education |
28,350 |
Brickell |
Expansion |
| Healthsun Health Plans Healthcare provider |
28,000 |
Coconut Grove |
Renewal/ |
What do they all have in common? Nobody is moving. What does that mean? I have a couple of theories. The first is that the existing landlords are taking the necessary steps to insure the long-term tenancy (and income stream) of their major tenants. It also means that for the renewals, the competing landlords could not provide lease terms that would compel a large tenant to move and/or company leadership was unwilling to make a bold decision in our uncertain economic times. It is encouraging to see three large tenants expanding because that adding on more office space is a long-term fixed cost, so it’s a clear sign that those three are feeling confident about their business.
Landlords count on 70% of their tenants renewing their lease. It takes a tenant rep broker like me to insure a level playing field for companies who are negotiating their leases. Call me today to discuss your specific office situation.
