Dear Friends and Clients,
2020 continues to bring us change and uncertainty. What’s the positive news? Mounting evidence indicates that our economy began recovering from the COVID-19 recession in May or June, and our Q3 2020 data reflects that.
No matter what the future brings, Cushman & Wakefield Commercial Property Southwest Florida has the data and resources to help you navigate it. We’ll continue analyzing the data and providing you with our expert assessments of trends so you can make informed decisions about your commercial property.
As always, thank you for being a part of our network. Feel free to call or email me any time with questions about commercial real estate in our region.
CEO & Principal Broker
Navigating the Southwest Florida commercial real estate market and economic indicators affecting its performance can be a challenging task. Cushman & Wakefield | Commercial Property Southwest Florida offers quarterly MarketBeat reports to help you stay ahead of the real estate curve.
MarketBeat reports offer trends, insights and forecasts on all segments of the commercial real estate market in the region. They provide answers to questions such as the current state of the market, and where the real estate market is going. Q3 2020 reports are now available.
Distribution and warehouse leasing led the way in industrial transactions in Q3 2020, but even with 283,902 SF leased, lags significantly behind 2019 numbers. One bright spot is an increase in manufacturing asking rents, which have jumped more than 10% over the last three months. This increase is likely because manufacturers are focusing more on the health and safety of their people and retooling their technology systems to handle changes brought forth by COVID-19.
Although the unemployment rate has improved significantly since last quarter, the COVID recession continues to impact office vacancy rates in Southwest Florida. Overall, our region’s vacancy rate in 5.9%, a slight increase from Q2, however, the North Naples submarket has a 12.2% vacancy rate, a 230 basis point increase over the least three months, and Collier County as a whole has a 10.5% office vacancy rate.
In recent years, Medical Office Building (MOB) tenants have comprised an outsized portion of companies leasing space in the Southwest Florida metro. This can largely be attributed to retirees moving into the area seeking healthcare services. Medical office in Fort Myers has seen vacancy levels drop to approximately *%, almost half of the rate from five years ago.
Even with the high level of need for medical services in our region, Southwest Florida ended Q3 with MOB vacancy at 9.5%, a 70 basis-point increase from Q3 2019.
The industrial property segment has been among the top performing asset classes in terms of net occupancy growth, rent growth and capital appreciation over the past several years.
As COVID-19 spread across the country, real estate markets across the country have been affected in various ways. However, the industrial asset class seems to endure despite the challenges that the COVID-19 recession has brought forth. Much of this is due to the industrial market’s strong position heading into the pandemic.
Fort Myers’ River District has been on the cusp of a renaissance for several years. The walkable streets, charming shops, outdoor dining, and plentiful events have drawn visitors back to the city’s once-struggling downtown.
The opening of the long-awaited Luminary Hotel & Co. may well represent the tipping point in Fort Myers’ downtown transformation from a local favorite to a national conference and vacation destination.
In this episode of “What’s your Take”, Cushman & Wakefield’s Global Head of Forecasting, Rebecca Rockey, talks about the economy, timing of the recovery and more.
Our discussion touches on:
- How the economy will look over the next 24 months
- Growth in office-based employment
- The sectors that will recover most quickly
- The biggest surprise of the year
- Creating a view of the future in a time of fundamental uncertainty
For the third consecutive year, Cushman & Wakefield has been named the world’s top commercial real estate advisor and consultant in Euromoney’s annual Real Estate Survey.
Cushman & Wakefield was also named the No. 1 advisor and consultant for Property Valuation and No. 1 in Agency Letting/Sales. The firm also claimed the No. 1 spot for Investment Managers.
The Cushman & Wakefield Global Economy Reopening Tracker provides a vantage into the changing landscape of economic and social activity across major markets around the world.
While the dynamics and details of reopening vary from city-to-city and country to country, governments, health organizations and businesses are working together to reopen multiple sectors of the global economy.
COVID-19 is disrupting the economy, accelerating shifts and creating structural changes that will persist for years.
Several forces are at play-from office-using job losses, to higher vacancy and downward pressure on rental rates, to an increase in the share of employees who will now work from home either permanently or more regularly.
Lane Boy joined Cushman & Wakefield | Commercial Property Southwest Florida in July of 2017 and is a director with a passion for commercial property of all types and a particular interest in industrial property and land brokerage.
Prior to joining our firm, Lane spent two decades as the CEO of two different real-estate-related businesses, finely honing his negotiating skills to deliver outstanding results for his clients (both buyers and sellers) in even the most complex transactions.
Recently, Lane put his skills to work on brokering the sale of a 1.05 acre lot in a prime location just off Metro Parkway. Even in a pandemic, he was able to move the transaction from contract signing to closing in just 21 days, and earn the seller 94% of the asking price. Even more recently, Lane sold 2,213 acres on the Caloosahatchee River in Hendry & Glades Counties for $8.5 million, and placed another property under contract with the Lee County Land Conservation Program.
For the first time in the history of Junior Achievement of Southwest Florida, the nonprofit leased their own office space in August 2018. This was made possible by the efforts of Cushman & Wakefield and Principal Broker Gary Tasman (Previous JASWFL Board Chair & current Board Member) and David Lanaux of Title Professionals of Florida.
To further cement Junior Achievement’s presence in the community, with the support of Cushman & Wakefield and The Rotary Club of Fort Myers, JASWFL was able to acquire the outdoor signage it needed to announce it’s presence to the community.
Gary Tasman and Shawn Stoneburner are pleased exclusively offer the sale of the former Riverbend Golf Club, consisting of 41.83 Acres, Zoned RM2 & TFC-2 for $3,800,000
Closed on Sep. 11, 2020 – Bexley Sumter, Inc purchased a 2,233.95 acres at 18265 Marshall Field Rd in LaBelle, FL from Amtel Farm, Inc for $8,511,401.08. (Lane Boy represented the buyer and seller in negotiating the transaction)
Closed in 10 Days – Viorel Toader purchased 10500 Metro Pkwy, Fort Myers for $1,300,000 from HML Properties, LLC. (Gary Tasman and Shawn Stoneburner represented the buyer and seller in negotiating the transaction)
Closed in 21 Days – Olga Freeman of Freeman Properties of SWFL purchased 14191 Metropolis Ave, Fort Myers for $637,000 from TJD Holdings, Inc. at 95% of the listing price. (Gary Tasman and Lane Boy represented the buyer and seller in negotiating the transaction)
Sold to Alan Braga: 12559/12561 New Brittany Blvd, Fort Myers for $359,000 from By the Sea Bookkeeping. (Gary Tasman and Gretchen Smith represented the seller in negotiating the transaction)
Red Bull Distribution Company, Inc leased 23,611 square feet ($8.95/SF) of warehouse space for a lease term of 5 years and 2 months at 10400 Meridian Center Pkwy, Ste. 5-6, Fort Myers from Meridian Center North, LLC. (Gary Tasman and Shawn Stoneburner represented the tenant in negotiating the transaction)
Guardian Pharmacy of Southwest Florida, LLC leased 9,431 square feet of office and warehouse space for a lease term of 8 years ($9,234.52/mo) at North Port Business Park, I-75 and Toledo Blvd, North Port from Panacea Associates III TIC. (Gary Tasman and Shawn Stoneburner represented the landlord in negotiating the transaction)
DNA Comprehensive Therapy, LLC leased 6,931 square feet ($8.00/SF) of office space for a term of 2 years at 6430 Plantation Park Ct, Unit 200 & 300, Fort Myers from FLT TWO, LLC. (Gary Tasman and Gretchen Smith represented the landlord and tenant in negotiating the transaction)
Firmaskin Medical Aesthetics leased 3,134 square feet ($10.84/SF) of office space for a term of 37 months at 5260 Summerlin Commons Way, Suite 304, Fort Myers from Gulf Stream East, LLC. (Gary Tasman and Gretchen Smith represented the tenant and landlord in negotiating the transaction)
North American Properties – Southeast, Inc leased 3,096 square feet of office space for a term of 5 years ($5,074.63/mo) at 1412 Jackson St, Ste. 1, Fort Myers from Bradford Arcade Properties, LLC. (Gary Tasman and Gretchen Smith represented the tenant and landlord in negotiating the transaction)
3946/48 & 3954 Pine Island Rd. NW, Matlacha, FL 33993 – Gary Tasman and Shawn Stoneburner are offering a rare waterfront redevelopment opportunity at a bank owned vacant property (2 buildings – condemned), zoned C-2 allowing flexible uses, 1.28 acres for $1,475,000.
7700 & 7750 Bayshore Rd., N. Fort Myers, FL 33917 – Gary Tasman and Lane Boy listed a 66.85-acre vacant land property for sale, Zoned AG-2, for $1,950,000
10970 S. Cleveland Ave., Unit 301/302, Ft. Myers, FL 33907 – Gary Tasman and Gretchen Smith are offering this flex condo for sale consisting of 2,313 SF for $370,080
806 E. Marion Ave., Punta Gorda, FL 33950 – Lane Boy is offering a waterfront vacant land property for sale consisting of .43 Acres for $186,900
2090 Hendry St., Ft. Myers, FL 33901 – Gary Tasman and Gretchen Smith are leasing this free-standing office building in the downtown Fort Myers district consisting of 1,356 SF – $15 MG
5425 Golden Gate Pkwy., Unit 1E, Naples, FL 34116 – Gary Tasman and Shawn Stoneburner are sub-leasing office space in this property consisting of 1,066 SF – $1,750 + tax per month
12810 Tamiami Trl N., Ste 100, Naples, FL 34110 – Gary Tasman and Shawn Stoneburner are offering office space for sub-lease consisting of 5,994 SF – $20.81 NNN