Record low vacancy rates, combined with a continued population surge in the region, have driven local demand for commercial property to historic levels. In contrast, high interest rates, inflation, and hybrid work conditions have made the commercial property outlook in other parts of the nation much less positive. We are taking the opportunity to reflect on some of the landmark transactions we’ve overseen during the last 12 months and what they mean for Southwest Florida.
Hurricane Ian changed the course of development in Southwest Florida. With more than $5 billion in estimated damages in Lee County alone, our region is focused not just on building but rebuilding. The hurricane will accelerate growth in our region, thanks to infrastructure funding that will bolster our regional emergency preparedness. Where will we see growth in 2023? Continue reading for our five commercial property trends to watch.
Ask the average Southwest Floridian what they dislike most about our region, and you’ll often hear the same answer over and over again: traffic. Fortunately, work-from-home initiatives, new transportation corridors, and employers who have relocated to more commuter-friendly locations have relieved some of the congestion. For those still frustrated by traffic, we have good news: More relief is coming from the Florida Department of Transportation (FDOT). Read more about how population growth will change the transportation infrastructure in our region.
Immediately after a disaster event, like Hurricane Ian, property owners and managers will assess the storm’s impact. While some may choose to leave Southwest Florida for higher ground, those who stay and rebuild could see many benefits for their business in the coming years. Our data predicts that commercial real estate will have a stronger seller’s market than ever. Thinking about investing or selling property in this post-Ian landscape? Don’t make any decisions without reading this article first.
Whenever a disaster like Hurricane Ian occurs, fraudsters seem to come out of the woodwork, offering to repair roofs, remove trees, or expedite government assistance. One of the most common is real estate fraud, which can impact both residential and commercial property owners, often with devastating consequences. Read more about the different kinds of fraud and how to recognize the signs – it will save your business!
Did you know that more than 75% of senior executives of commercial real estate firms in the US are white men? At Cushman & Wakefield | Commercial Property Southwest Florida (CPSWFL), we strive to develop and foster an inclusive workforce. We believe that diversity, equity and inclusion (DEI) help to create and strengthen a collaborative and productive team. Learn more about “The CPSWFL Difference”.
The ways that we both live and work have actually modified tremendously over the last two years, and our commercial property needs are following suit. Because of our rapidly growing population, some businesses have outgrown their capacity. Other workplaces have less need for space because of a shift to remote or semi-remote work. Delivery services and BOPIS (buy online, pick up in-store) models are changing space needs for retailers including grocery stores and restaurants. As businesses try to adapt to this paradigm shift, many will need to renovate their space or rebuild it entirely to remain competitive.
Close to one year ago, 12-month inflation numbers began a steep climb into historic territory, reaching levels not seen in 40 years. Although banking systems worldwide continue to take measures, including raising interest rates, to manage inflation growth, it’s clear that these economic conditions will be with us for some time. For commercial renters, this ongoing inflation may cause significant ramifications.