Tampa Bay Commercial Real Estate: Market Trends Report

The Tampa Bay commercial real estate market presents a mixed picture in late 2024, with strong industrial performance offsetting challenges in the office sector.

Industrial Sector

Industrial remains the standout performer with vacancy rates under 4% and rental rates averaging $12.50 per square foot NNN. E-commerce fulfillment and logistics continue to drive demand, particularly along the I-4 and I-75 corridors.

Office Market

Office vacancy has increased to 14.2%, reflecting the ongoing hybrid work adjustment. Class A properties in Westshore and downtown Tampa are outperforming, while suburban Class B and C properties face higher vacancies and rental pressure.

Retail Outlook

Neighborhood retail anchored by grocery and essential services continues to perform well. Strip center occupancy averages 92%, though older enclosed malls continue to struggle with repositioning challenges.

Appraisal Insights

Commercial property valuations require careful consideration of lease structures, tenant credit quality, and market rent adjustments. Our certified appraisers have extensive experience with Tampa Bay commercial properties across all asset classes.