- STRONG QUARTER OF OCCUPANCIES
The occupancy of notable tenants including K-1 Speed, GummyWorks and Aventi Health pushed YTD absorption to 128,312 SF.
- RENEWALS LED DEALS
New leasing activity at midyear was 514,934 SF, down 61.3% YOY. Despite another down quarter of new deal activity, the 285,000 SF Serta lease highlighted a strong quarter for renewals.
- COMPLETIONS PUSHED FORWARD
Construction completions totaled 654,066 SF at the end of the second quarter. The influx of new high-quality space offered much-needed supply to a market that has dealt with record low vacancy over the past year.
- PROJECT COMPLETIONS INCREASED VACANCY
Overall vacancy was 3.9% at quarter end, up 90 BPS from the previous quarter. The completion of the four-building Silver Beach Industrial Park introduced 371,949 SF of much-needed product into the market.
- AVERAGE RENTS STILL CLIMBING
Overall rental rate averages in Palm Beach were $15.23 PSF NNN at midyear, up 11.0% YOY. Rates have skyrocketed since Q2 2020, up $4.73 PSF NNN over the past three years.