Dive Brief:
- Burger King is building its new 150,000 square foot five-story headquarters in the same business park where it currently leases space, the South Florida Business Journal reported first.
- The burger giant is downsizing from its current 200,000 square foot digs, but its future home is a custom space with an open, collaborative floorplan.
- Although Burger King's parent company is in Canada, the fast food company decided to stay in Miami, its home since 1959.
Dive Insight:
The Burger King deal was the largest office lease deal in South Florida during the fourth quarter of 2015, according to real estate company Newmark Grubb Knight Frank.
According to Newmark Grubb, in the fourth quarter of 2015, Miami-Dade had a vacancy rate of 12.9%, down from 14.9% the year before. The average asking rent increased to $32.03 per square foot, with 572,067 square feet of office space under construction.
According to real estate research firm JLL, Miami is on trend with the rest of the country. JLL says growth in the U.S. office market sector showed no signs of letting up in the fourth quarter, with an occupancy growth rate 1.3 times that of new supply. JLL also says that even with 44.2 million new square feet of supply across the U.S., total vacancies declined to their lowest levels in eight years, falling 40 basis points in the fourth quarter to 14.7%. Sunbelt markets did especially well in the fourth quarter, says JLL, with average rent growth of 4.4%.
