Tampa Retail Real Estate Summary: Leases, Sales & Construction Projects

May 14
Tampa Retail Real Estate Summary: Leases, Sales & Construction Projects

Market Snapshot for Tampa Retail Real Estate

We’ve compiled a range of the latest statistics (vacancy rates, absorption rates, and rental rates) and property transactions for Tampa retail real estate in this report. The Tampa retail report is updated quarterly by our commercial real estate professionals. However, in order to give a broader spectrum of what is going on here, it is important to provide some context for one of the main drivers of investments in retail and commercial real estate in general, population growth.

It is well known that Florida is one of the top states for population growth in the United States. This is due to several key factors: 1) it’s tax-friendly, 2) many people from other states come to Florida to retire, and 3) it’s famous for having wonderful weather year-round, hence its nickname: The Sunshine State. According to World Population Review, Florida is ranked 7th in the country for population growth during 2021 with an increase of +1.1%

Furthermore, according to the US News and World Report, Florida has 11 of the 25 Fastest-Growing Places in the United States with Tampa ranked 15th. Population growth is not the only important factor to consider when looking at the potential of a retail real estate market (or commercial real estate overall); however, it is definitely a solid indicator of where money is going in general.

View our commercial properties in Florida to see what real estate assets are available for lease / sale.

Before we dive into the specific statistics for Tampa’s retail real estate market in Q1 2024, let’s give some perspective with the overall capital markets figures to give some context to the region’s retail sector.

Tampa Retail Capital Markets Statistics Q1 2024

Total Asset Value: $45.8B
12-Month Sales Volume: $1.4B
Average Market Cap Rate: 6.3%
12-Month Market Sale Price Change / SF: +8.5%

Tampa Retail Real Estate Sales Volume by Buyer Type & Origin (Past 12 Months)

Below are the buyer types and their origins, i.e.: local, national, or international investors of retail properties in Tampa.

Buyer Type:

Private: 80%
User: 9%
Institutional: 6%
Private Equity: 2%
REIT / Public: 3%

Buyer Origin:

Local: 20%
National: 72%
Foreign: 8%

Tampa Retail Real Estate Asset Value by Owner Type & Origin (Past 12 Months)

Below are the owner types and the origins of retail property owners in Tampa broken down by their percentage of representation.

Owner Type:

Private: 56%
User: 20%
REIT / Public: 9%
Institutional: 13%
Private Equity: 2%

Owner Origin:

Local: 37%
National: 60%
Foreign: 3%

Tampa Retail Real Estate Statistics: Leases, Sales, and Projects Under Construction – Q1 2024

Here’s a summary of the statistical highlights, latest retail transactions, vacancy / lease trends, and current market activity for Central Florida focusing on Tampa. The analysis below is derived and compiled from leasing stats, latest transactions, and projects under construction in order to further understand the overall state of the retail real estate market in Tampa.

Full List of Top Transactions for Q1 2024 Provided Below

Tampa Retail Real Estate Report Q1 2024 - MMG Equity Partners Real Estate Florida

KEY RETAIL LEASE STATS: Tampa (Q1 2024)

  • Vacancy: 3.1% (+0.1% compared to 3.0% in Q3 2023)
  • Absorption: 144,565 (+237,814 compared to -93,249 in Q3 2023)
  • Asking rate PSF: $26.01 (+$0.89 compared to $25.12 in Q3 2023)

 

TOP RETAIL LEASING STATISTICS: Tampa (Past 12 Months)

12 Month Deliveries in SF: 768K 
12 Month Net Absorption in SF:
388K 
Vacancy Rate:
3.1%
12 Month Rental Growth: 7.1%

 

Q1 2024 TOP LEASING TRANSACTIONS: Tampa (Past 12 Months)

1. Public Storage – South Pinellas
Tenant: Public Storage
Size: 300,000 SF
Space Type: Storage Center
Tenant Rep Co: Not Listed
Leasing Rep Co: Not Listed

2. Coastal Way – Hernando County
Tenant:
Not Listed
Size: 86,071 SF
Space Type: Shopping Center
Tenant Rep Co: Not Listed
Leasing Rep Co: Brixmore Property Group

3. 11638 Rhombus Ct – Pasco County
Tenant:
Cube Smart LP
Size: 80,000 SF
Space Type: Shopping Center
Tenant Rep Co: Not Listed
Leasing Rep Co: Not Listed

4. 1701 E 2nd Ave – Downtown Tampa
Tenant:
Tampa Pickleball Crew
Size: 68,781 SF
Space Type: Shopping Center
Tenant Rep Co: Not Listed
Leasing Rep Co: A.L. Commercial

5. Town & Country Plaza – Northwest Tampa
Tenant:
City Thrift
Size: 50,000 SF
Space Type: Shopping Center
Tenant Rep Co: Not Listed
Leasing Rep Co: Bay Street Commercial

 

TOP RETAIL SALES STATISTICS: Tampa (Past 12 Months)

Over the course of the past 12 months there have been 610 total retail real estate transactions in Tampa with an average cap rate of 6.3%. The average price per square foot at the time of sale was $291, and the average vacancy was 1.2%.

Sales Comparables: 610
Average Cap Rate:
6.3% 
Average Price/ SF:
$291
Average Vacancy at Sale: 1.2%

TOP RETAIL SALES TRANSACTIONS: Tampa (Q1 2024)

Top Transaction Highlight in Q3 2023: Westfield Brandon 

1. Brandon Town Center (303 – 675 Brandon Town Court)
Price: 
$220,000,000
Size:
743,398 SF
Price/ SF: 
$296
Cap Rate:
Not Listed
Vacancy:
0%

2. Lake Brandon Plaza
Price: $38,000,000
Size: 177,696
Price/ SF: $214
Cap Rate: Not Listed
Vacancy: 0%

3. Shoppes at New Tampa (1738 – 1932 Bruce B Down Blvd)
Price: $35,000,000
Size: 158,540 SF
Price/ SF: $221
Cap Rate: Not Listed
Vacancy: 0%

4. Bass Pro Shops
Price: $33,442,900
Size: 132,734 SF
Price/ SF: $252
Cap Rate: Not Listed
Vacancy: 0%

5. 6665 – 6775 22nd Ave N
Price: $32,030,982
Size: 109,231 SF
Price/ SF: $293
Cap Rate: Not Listed
Vacancy: 0%

 

Tampa Retail Real Estate - MMG Equity Partners

RETAIL CONSTRUCTION PROJECTS STATISTICS: Tampa (Past 12 Months)

There are currently 35 retail assets / properties under construction in the Tampa market representing a little over 400K square feet of new product. This represents 0.2% of the total retail real estate inventory and over 80% of the total space is pre-leased.

Below the stats you’ll find the top-5 largest retail projects currently under development.

Properties Currently Under Construction: 35
Total Size:
417,717
Percent of Inventory:
0.2%
Pre-leased: 81.8%

RETAIL CONSTRUCTION PROJECTS: Tampa (Past 12 Months)

1. The Shops at Big Bend – SW Big Bend Rd
Size: 67,880 SF
Completion Date: Q3 2024
Developer/ Owner: Boos Development Group, Inc / Bayview Properties Ltd LLLP
Stories: 1

2. Proposed Anchor / Grocery – 8224 Little Rd
Size: 45,000 SF
Completion Date: Q2 2024
Developer/ Owner: Not Listed / Pantropic Design
Stories: 1

3. 4424 Friendly Way
Size: 23,720 SF
Completion Date: Q2 2024
Developer/ Owner: Not Listed / Newland
Stories: 1

4. 4424 Friendly Way
Size: 23,720 SF
Completion Date: Q2 2024
Developer/ Owner: LEMA Construction & Developers / Avalon Park Group
Stories: 1

5. Encore – 1281 Ray Charles Blvd
Size: 20,000 SF
Completion Date: Q4 2024
Developer/ Owner: Not Listed / Dr Kiran Patel
Stories: 1

Data sources: MMG Equity Partners & CoStar

 

Florida Retail Real Estate Reports

We also provide retail real estate reports for other regions of Florida.

Miami Retail Real Estate Report

Orlando Retail Real Estate Report


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