The Evolution of Tampa’s Commercial Real Estate Market: Insights from Industry Experts

Tampa’s Commercial Real Estate Market Booms as City Evolves

Tampa, Florida has seen a remarkable transformation in its real estate market over the past two decades, according to industry experts. Paul Carr, Executive Vice President of Investment Services at Colliers, reflects on the significant changes he has witnessed since arriving in Tampa in 2002.

“Downtown Tampa was a relatively 9-5 p.m. city back then, Downtown St. Petersburg was considered a retiree area, and most of the legacy office buildings and other property types were developed in the ’80s and ’90s. To see how much the market has changed over the past 20+ years is pretty staggering,” Carr says.

With Forbes naming Tampa the best city to live in Florida, the influx of residents moving to the Bay area has led to a surge in both residential and commercial property development. Carr notes that Tampa is now considered a strong secondary market, comparable to cities like Nashville and Austin.

The growth in the Tampa Bay area is evident in the numerous new multi-family, retail, restaurant, industrial, mixed-use, and office projects that have emerged in recent years. Projects like Water Street, Midtown, the Heights District, Gas Worx, and others are reshaping the city’s landscape for generations to come.

Despite the challenges brought on by the pandemic, Tampa’s commercial real estate market has remained resilient. Andrew Wright, Founder and Chairman of Franklin Street, highlights Tampa’s positive performance compared to other markets across the country.

While the trend of remote work has impacted the demand for traditional office space in many cities, Tampa has seen an increase in demand for commercial properties in its central business district. Scott Garlick, Managing Principal at Cushman & Wakefield Tampa Bay, notes that Tampa was one of six markets in the country to report a decrease in overall vacancy rates for the second consecutive quarter.

As the commercial real estate industry continues to evolve, industry experts like Claire Calzon, Senior Vice President at Colliers, emphasize the importance of adapting to changing times. While the future trends of the market remain uncertain, one thing is clear – commercial real estate will always be a vital part of our lives.

With Tampa’s commercial real estate market booming and the city’s evolution showing no signs of slowing down, it’s clear that Tampa is a city on the rise.