Two global logistics giants are leasing more than 104,000 square feet near Miami International Airport in transactions that speak to the strength of the industrial market.
Geodis Logistics, a subsidiary of France’s SNCF Logistics, has signed a lease for 65,130 square feet in Building 7 at the South Florida Logistics Center at 3200 NW 67th Ave. northwest of the airport.
Crowley Logistics, part of Jacksonville-based Crowley Maritime Corp., renewed its lease for 38,925 square feet at Flagler Station at 11401 NW 100th Road in Medley.
Supply chain manager Flagler Global Logistics is the landlord and developer of both properties. The long-term leases signed this month are valued at more than $5 million total. The individual lease values weren’t disclosed.
South Florida and particularly Miami-Dade County are especially strong in the industrial sector with some of the lowest vacancy rates, which also feed higher rental rates. By year’s end, the vacancy rate is expected to decrease to 3.8%, according to Marcus & Millichap data.
By the end of last year, Miami-Dade experienced a positive net absorption of 1.3 million square feet led by the Miami Airport, Medley and Hialeah submarkets, according to Transwestern Commercial Services, which negotiated both leases on behalf of the tenants.
The Miami-based Transwestern team comprised Florida industrial team executive managing directors Walter Byrd and Ben Eisenberg, managing director Thomas Kresse and vice president Carlos Gaviria.
“We anticipate further tightening of the market as competition among industrial users and particularly logistics companies remains strong for locations that will position their business operations near or with superior connectivity to the airport, seaport and major roadways,” Byrd said in a news release.