When the NAIOP, the commercial real estate development association, conducted its analysis to determine the top states for commercial development, it looked at GDP, salaries, wages, and the amount of jobs created and supported from the development and operation of commercial real estate.
People in South Florida, though, merely had to look at the number of cranes and construction projects filling the skyline to realize that Florida is in the top 5.
The compiled data indicates that Florida’s future is very bright, indeed. The Sunshine State ranked:
Additionally, $7.59 billion was spent on commercial real estate in 2016, which resulted in more than 134,000 jobs, contributed nearly $16 billion to the state’s economy, and earned workers more than $5 billion. The end result is new job creation, infrastructure improvements, and opportunities to develop new spaces in which to work, shop, and play.
For decades, Florida’s climate had always played a major role in attracting developers to the state. While weather is still an influence, it’s difficult to ignore a dynamic economy, a low tax burden, and a growing population that is culturally diverse and globally connected.
According to a report from the CBRE Group, foreign investors are attracted to the state’s strong cultural and economic connection to Latin America and the Caribbean. It also helps that many of the state’s cities, like Miami and Orlando, are strong global brands that are familiar to investors and developers from around the world.
Florida is in a great position to meet the needs of a changing labor market and a new work model. Technology has created a workforce that is able to work remotely, while at the same time shrinking the average square footage needs of employees when they’re in the office.
At the same time, smaller businesses and start-ups are sharing workspaces. As a result, traditional office spaces are being repurposed or new spaces need to be built from the ground up. New opportunities will be available in all areas of the region, from multi-building complexes in suburban areas to mixed-use facilities in downtowns.
In terms of industrial space, a growing e-commerce economy means there is a greater need for warehouse space to promote faster delivery of goods. It also means that some large box stores are closing down, and these spaces will have to be torn down to become something else, or converted into something smaller. In other words, it’s a chance for developers to think outside the box store.
Morris Southeast Group is excited by the possibilities of Florida’s excellent development ranking. Our team of professionals is able to connect investors and developers to the right property so that the economy can continue to thrive.
For a free consultation, call Morris Southeast Group at 954.474.1776. You can also reach Ken Morris directly at 954.240.4400 or via email at email@example.com.