Miami Extends Office Leasing Gains, But Vacancy Is Rising

The office leasing market in Miami-Dade County got off to a good start, recording 141,000 square feet in positive absorption in the first quarter of 2025. That’s up by just over 10 percent year-over-year, according to data from CBRE.  

Brickell, Miami’s financial district and trophy office hub, drove much of the absorption, accounting for 118,700 square feet, in part thanks to 830 Brickell, the city’s first stand-alone office skyscraper in over a decade. The tower landed several high-profile companies during the height of the pandemic, including Citadel and Microsoft. After six years of construction, the 57-story office tower is finally starting to receive tenants.

Average rents also improved, rising 9.1 percent year-over-year to $62.35 per square foot per year. Brickell again led the charge, with rents averaging $91.56 a square foot. Wynwood and Coconut Grove weren’t far behind, averaging $87.51 and $71.92, respectively.

Despite the gains, vacancies widened by 8 percent to 15.3 percent year-over-year. The vacancy rate is likely to grow, as nearly 349,000 square feet of new office space is scheduled to be delivered before the end of this year. 

Still, demand remains strong. In the first three months of this year, the county recorded 514,000 square feet in new leases, already more than a third of the 1.4 million square feet recorded last year. 

Coral Gables accounted for the lion’s share of new lease activity this year. City National Bank of Florida signed a 144,878-square-foot deal to relocate its headquarters within the tony Miami suburb, which represented South Florida’s largest office lease since 2023. Nicklaus Children’s Hospital also inked a 65,000-square-foot agreement. 

Julia Echikson can be reached at jechikson@commercialobserver.com.