(Originally Published 3/15/08)
Near the end of 2006 small warehouse units (1,000 - 2,000 sq. ft.) in the area reached a peak, and a level of unsustainability, at $160.00 per sq. ft. We have since seen a decline to a level near $135.00 per sq. ft. Existing office condo units in the area have faired well and have declined very little, as they did not experience the run up that the new office construction did. They remain at a value between $180.00 - $210.00 per sq. ft. for the older finished office complexes such as Tamiami Commerce Center or Park Place I-IV.
As amateur investors flooded our market in '05, developers responded in quick fashion by buying up some of the last remaining vacant land parcels and
constructing speculative office condos. As a result, there is c
urrently a huge oversupply (approximately 150,000 sq. ft. ) of completed office space sitting on the market empty. As developers struggle to hold on to these empty buildings and their carrying costs mount, the unit prices will inevitably begin to come down (this is already happening.) Savvy investors should be ready to purchase these shell office units at deep discounts in the coming months. They will eventually come in line with rental prices and make sense as an investment rental property and become affordable again for small business's to purchase for their own use.
The long term forecast for commercial values in our area is positive, as our land supply continues to diminish and as people move into newly finished housing units. Our area is seeing capital improvements, such as, the 4 lane-ing of SW 124th and 136th St., the connecting of SW 136th and 120th St. behind Tamiami airport, and the completion of the 40 acre retail center London Square. Most experts agree that our diverse and international economy is better suited to work out of a downturn, and local recovery should come sooner than the rest of the country.
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new ramp connection from SR 874 the (Don Shula Expressway) to SW 136th Street at SW 127th Avenue. SR 874 currently ends at the interchange with SR 821/Florida’s Turnpike. This new ramp connection would provide an additional expressway access and relieve congestion on SW 120th Street where it connects to the Turnpike. The concept phase will end in June 08, at which time they will evaluate the next step in proceeding..jpg)
new ramp connection from SR 874 the (Don Shula Expressway) to SW 136th Street at SW 127th Avenue. SR 874 currently ends at the interchange with SR 821/Florida’s Turnpike. This new ramp connection would provide an additional expressway access and relieve congestion on SW 120th Street where it connects to the Turnpike. The concept phase will end in June 08, at which time they will evaluate the next step in proceeding.
