Palm Beach County Office Market Report (Q4 2020)8 Feb 2021
Palm Beach County’s office market showed a greater level of resiliency during 2020 than its neighboring South Florida markets with net absorption ending the year in a less severe position of negative 193,319 sf. Overall vacancy rose slightly by 30 basis points (bps) over the quarter to 14.2%. As of the close of 2020, Palm Beach County boasts the lowest vacancy in the South Florida region and also remains the least impacted by the increase of sublease space with only 1.2% of sublease vacancy (+40 bps y-o-y). Downtown West Palm Beach has been gaining significant traction from financial services and tech firms from the Northeast seeking to relocate. Although headwinds persist leading into 2021, the rollout of the vaccine has created a stronger sense of optimism and renewed confidence in the market.