Fort Lauderdale Industrial Market Report (Q1 2021)5 May 2021
Total vacancy has risen by a nearly imperceptible one basis point since the end of 2020 to 8.7%, the highest rate in South Florida. Leasing activity during the first quarter in Fort Lauderdale was steady, accounting for just over 1.5 million square feet (sf), although 84% of all deals were below 10,000 sf and just two were above 50,000 sf. Net absorption was solid at just over 630,000 sf. Deal terms remain strong and asking rents have grown by 2.3% over the last quarter to $9.81 per sf on a NNN basis with a minimal delta between asking rents and effective rents.
New development continues to break ground across Broward County. The growth is driven by e-commerce demand as online sales surge and distribution companies look to capitalize on the rapid population growth in South Florida. Amazon’s appetite for space remains unabated. The e-commerce giant is planning an 823,969-sf fulfillment center east of the Sawgrass Expressway in Sunrise.