Orlando Office Market
Annual full-service asking rental rates remain elevated at $25.16/SF, a 1.3% increase year over year. Occupancy declined, pushing overall vacancy rates to increase by 130 basis points year over year, to a recent high of 11.7%. The under-construction pipeline remains muted but has inched up slowly to 628,712 SF in progress since the pandemic. Total leasing activity closed the quarter at 888,834 SF, averaging 4,467 SF per deal and reflecting an increase in deal size of 7.7% quarter over quarter and 1.5% year over year.
Orlando Industrial Market
The market reported 838,760 SF of positive absorption in the third quarter of 2023, bringing year-to-date totals to 3.7 MSF. Overall rental rates grew 12.6% year over year to $9.66/SF, with asking rents reaching a historical high. Construction pipeline remains strong with 519,887 SF of deliveries as of the end of the third quarter of 2023, with another 8.9 MSF under construction. Following yearly supply outpacing demand for the first time since the pandemic, as of the end of the third quarter of 2023, vacancy increased by 50 basis points year over year to 4.4%.Download Orlando Industrial Report 3Q23