Top Trends in the Space Coast Commercial Property Market

top trends in the space coast commercial property marketWhen you ask many people about Florida, the first thing that comes to mind is “vacation.” While Florida does have some of the best beaches and the top tourist attractions in the country, it’s also quickly becoming a hub for high-tech industry that rivals even Silicon Valley. Business owners are rushing to take advantage of Brevard County’s vibrant, growing economy by investing in our commercial property market.

Florida’s commercial real estate market is changing to meet the demand caused by population growth and the shift in business models. Florida’s business climate and low taxes contribute to the state’s economic growth. Developers are constructing larger and more advanced industrial buildings. Co-working spaces and flexible office arrangements are gaining popularity. The hospitality, retail, and multifamily sectors are all seeing growth.

“The Space Coast’s innovation stock is rising, and is rivaling some of the bigger cities in the nation for the top spot of technologically-advanced locations,” said Dr. Abram Walton, EDC Innovation Council Chair and Associate Professor – College of Business at the Florida Institute of Technology (Space Coast Daily)

What should you know about Florida’s Space Coast commercial real estate market?

Let’s look at some trends in the commercial property market today.

Demand Is Outpacing Supply

Because the need for commercial property nationwide is beating the pace of newly constructed properties, prices are being pushed higher, especially for rapidly growing locations on the bleeding edge of industry like Brevard County. As a buyer, you’ll have to work harder (and smarter) to find a good deal. If you’re a seller, you’re in a fairly enviable position, as this trend of greater demand will likely continue.

Rise of the Workplace as a Brand

Looking at other high-tech industry giants, Google is a great example; you will increasingly see the workplace environment put front and center. Google has an entire campus full of amenities for its employees, including gyms, yoga studios, libraries, and even places to sleep. In many tech companies, the workplace is talked about almost as much as the company itself. As an extension of their brand, it helps attract high-level talent. Although most businesses are incapable of the same perks as Google, this trend will likely continue as employees see the workplace as a hub of community and cooperation rather than a station to work quietly with their heads down.

Retail Space is Shifting

As more business opportunities in the e-commerce sector develop, the interest in industrial flex buildings has become more popular than traditional retail space in many areas of Florida. The convenience of combining professional office space and warehouse space in one location is attracting a variety of businesses to invest in Palm Bay, Satellite Beach, Melbourne Beach, and other communities around Florida’s Space Coast. Retail space redevelopment opportunities are attracting a diverse group of businesses to move to our beautiful cities.

Commercial Buildings are Modernizing

Many landlords are renovating their older commercial buildings to reflect a more modern aesthetic and use of technology. Owners are also updating older properties to reflect a more energetic, warm, and welcoming space conducive to team-building and collaboration. There is a specific expectation about the appearance and functionality of modern buildings, which can significantly affect how desirable a property is to a business looking to relocate. Modernized security systems and high-tech networking and communications systems, for example, have become standard, and commercial property owners are updating their buildings to attract new tenants.

In 2018, the Milken Institute named Brevard County’s economy the number one most concentrated high-tech economy in Florida, while the Brookings Institute found that the area boasts the largest share of STEM-related jobs in the state. (EDC Space Coast) Add this to the attractive tax climate, a high quality of life, and a highly trained technical workforce, and the Space Coast is garnering a reputation as one of the prime areas for high-tech business and commercial growth in the US.

Knowing the trends is one thing, but only a commercial real estate agency can help you keep up with the rapidly changing market and get the most out of your real estate ventures. A real estate agent knowledgeable about the local commercial property market can take the burden off you and let you focus on your business. Contact Ullian Realty, located in Melbourne, FL, serving the Space Coast commercial real estate market and all of Brevard County.

This article was originally published on January 24, 2017 but has been updated for accuracy and freshness.