Broward County Multi-Tenant Retail Market Report

Market Performance

The Broward County market remains strong as demand continues to outweigh supply for retail space, driven by sustained migration to south Florida. In 2023, the Miami-Fort Lauderdale-Palm Beach metro area became the 10th largest growing metro area in the country, with employment rapidly growing as companies relocate to the Sunshine State. Despite rising retail rents and vacancy rates sitting below the national average, Broward County retail vacancies have increased across the past four quarters. Overall, leasing activity and annual rent growth has slowed from peak levels in 2022.

Rents at $36.00 per square foot as of the third quarter place Broward County for the third-highest retail rent in Florida. The highest rents are seen in Downtown Fort Lauderdale, with the Southwest Broward and Hallandale submarkets trailing behind.

With the increase in rents, transaction volume decreased over the past year. During this period, the metro noted $839 million in trades, below the five-year annual average of $1.0 billion. Higher interest rates across the country also contributed to the decline in sales volume. Average quarterly cap rates increased to more than 6% since Q4 2023.

Submarket Performance

Hollywood

• Vacancy Rate: 3.2%
• Average Asking Rent: $35.77
• Available SF: 425K
• Average Sale PPSF: $352/SF
• YTD Rent Growth: 3.9%
• 12-Month Net Absorption: -117,325 SF

Hallandale

• Vacancy Rate: 2.8%
• Average Asking Rent: $39.37
• Available SF: 201K
• Average Sale PPSF: $364/SF
• YTD Rent Growth: 4.1%
• 12-Month Net Absorption: -50,045 SF

Southwest Broward

• Vacancy Rate: 2.0%
• Average Asking Rent: $41.33
• Available SF: 547K
• Average Sale PPSF: $363/SF
• YTD Rent Growth: 4.1%
• 12-Month Net Absorption: -29,693 SF

Fort Lauderdale

• Vacancy Rate: 4.2%
• Average Asking Rent: $33.88
• Available SF: 865K
• Average Sale PPSF: $356/SF
• YTD Rent Growth: 4.0%
• 12-Month Net Absorption: 28,702 SF

Plantation

• Vacancy Rate: 5.0%
• Average Asking Rent: $31.74
• Available SF: 703K
• Average Sale PPSF: $301/SF
• YTD Rent Growth: 4.3%
• 12-Month Net Absorption: 19,973 SF

Downtown Fort Lauderdale

• Vacancy Rate: 4.9%
• Average Asking Rent: $51.08
• Available SF: 198K
• Average Sale PPSF: $453/SF
• YTD Rent Growth: 4.2%
• 12-Month Net Absorption: 5,974 SF

Pompano Beach

• Vacancy Rate: 3.8%
• Average Asking Rent: $33.64
• Available SF: 773K
• Average Sale PPSF: $336/SF
• YTD Rent Growth: 4.5%
• 12-Month Net Absorption: -58,767 SF

Northwest Broward/Coral Springs

• Vacancy Rate: 4.9%
• Average Asking Rent: $32.47
• Available SF: 752K
• Average Sale PPSF: $315/SF
• YTD Rent Growth: 4.3%
• 12-Month Net Absorption: -106,106 SF