Tampa Office Real Estate Activity Highlights 2022 – 2023
Tampa’s office real estate market has posted roughly $1.4 billion in sales volume over the past 12 months with a high sale of $120,000,000 in Q3 2022, and an average of $3,484,248 / sale. The office real estate cap rates continue to compress, tightening yields for investors, but sits at a healthy 6.6% currently. As of Q1 2023, market cap rates were notably above the U.S. average at 6%; however, the market cap rates for 4 & 5 Star properties are closer to the national benchmark. Investors keeping their eyes on longer-term opportunities continue to invest in the urban core.
Total sales activity is already starting off with a very strong start to the year with 7 of the top 20 sales taking place in Q1 2023 and 4 of the top 10. The biggest sale in the first three months of 2023 was James A Haley VA Hospital (13515 Lake Terrace Ln) in January, 2023 for $55.1M at $471 / square foot. As mentioned above, the highest transaction over the last 12 months was in Q3 2022, the Wells Fargo Center (100 S Ashley Dr) sold for a total of $120M at a final value of $305 / square foot.
It’s also important to note that the top 16 Tampa office property sales over the course of the last 12 months were sold for at least $20M. It will be interesting to see if this high sales volume keeps up into Q2 2023 and the rest of the year.
You can view our commercial properties in Tampa and elsewhere in Central Florida to see what real estate assets are available for lease / sale.
Tampa Office Real Estate Stats Highlights Q1 2023
Over the last 12 months, the total deliveries of completed Tampa office real estate space is 490K square feet, while there has been an aggregated absorption of -42.8K square feet. The current vacancy rate of office space in the area is 9.1%, and the rental rate has grown 3.6% total during the same time. To give some context, Tampa’s office vacancy rate is below the national average of 12.5% overall.
12 Month Deliveries (in SF): 490,00
12 Month Absorption (in SF): -42,800
Vacancy Rate: 9.1%
12 Month Rent Growth: 3.6%
Tampa Florida Significant Office Property Sales for Q1 2023
Here are the top office real estate sales statistics in Tampa, FL from a total of 576 sales comparables. The average cap rate of these sales was 6.6% with an average price per square foot of $227. The properties were sold with an average vacancy of 12.6%.
Sales Comparables: 576
Average Cap Rate: 6.6%
Average Price / SF: $227
Average Vacancy During Sale: 12.6%
Here are the Top 10 Tampa Office Property sales during the last 12 months with 4 of the top 10 taking place in Q1 2023.
1. Wells Fargo Center – 100 S Ashley Dr
Rating: 4*
Bldg SF: 393,649
Year Built: 1985
Vacancy: 17.7%
Sale Date: 8/11/2022
Price: $120,000,000
Price/SF: $305
2. 5525 W Gray St
Rating: 4*
Bldg SF: 138,093
Year Built: 2005
Vacancy: 0%
Sale Date: 5/19/2022
Price: $70,350,000
Price/SF: $509
3. James A Haley VA – 13515 Lake Terrace Ln
Rating: 3*
Bldg SF: 117,037
Year Built: 2014
Vacancy: 0%
Sale Date: 1/12/2023
Price: $55,100,000
Price/SF: $471
4. Bridgeport Center – 5201 W Kennedy Blvd
Rating: 4*
Bldg SF: 180,247
Year Built: 1980
Vacancy: 4.4%
Sale Date: 02/23/2023
Price: $40,000,000
Price/SF: $222
Cap Rate: 4.4%
5. 16400 State Road 54
Rating: 3*
Bldg SF: 164,377
Year Built: 2006
Vacancy: 0%
Sale Date: 10/25/2022
Price: $39,490,000
Price/SF: $240
6. Women’s Care Florida – 515 S Kings Ave
Rating: 3*
Bldg SF: 60,000
Year Built: 2019
Vacancy: 0%
Sale Date: 6/1/2022
Price: $39,000,000
Price/SF: $650
7. Tampa Medical Tower – 2727 W Martin Luther King Blvd
Rating: 3*
Bldg SF: 115,708
Year Built: 1984
Vacancy: 4.9%
Sale Date: 03/10/2023
Price: $31,500,000
Price/SF: $272
8. 6302 Corporate Center
Rating: 2*
Bldg SF: 350,000
Year Built: 1985
Vacancy: 21.2%
Sale Date: 1/18/2023
Price: $31,000,000
Price/SF: $89
9. 200 Carillon Pky
Rating: 4*
Bldg SF: 157,755
Year Built: 2000
Vacancy: 0%
Sale Date: 11/16/2022
Price: $29,500,000
Price/SF: $187
10. Tampa PainRelief Center – 2333 W Hillsborough Ave
Rating: 3*
Bldg SF: 55,000
Year Built: 1979
Vacancy: 100%
Sale Date: 8/2/2022
Price: $28,000,000
Price/SF: $509
Cap Rate: Not Listed
Office Space Under Construction in Tampa Q1 2023
Here are the top stats for office properties currently under construction in Tampa, FL. From the 35 properties under construction there is a total of 1,132,794 square feet being added to the market, which represents nearly 1% of the total market.
Total Properties Under Construction: 35
Total Square Feet Being Built: 1,132,794
% of Inventory Under Construction: 0.9%
Preleased: 71.3%
Here are the top under construction assets in the Tampa office real estate market.
1. BayCare Medical Arts Building – Bruce B Downs Boulevard
Rating: 4*
Building Sq Ft: 80, 000
Stories: 3
Start: January 2021
Complete: January 2023
2. 10050 N Florida Ave
Rating: 4*
Building Sq Ft: 75,000
Stories: 3
Start: March 2021
Complete: November 2021
3. BayCare Medical Office- N Park Rd & E Sam Allen Rd
Rating: 3*
Building Sq Ft: 80,000
Stories: 6
Start: July 2021
Complete: Jan 2023
Developer: Not Listed
Owner: Not Listed
4. 54 Crossings • South Building
17919 State Road 54
Rating: 4*
Building Sq Ft: 60,000
Stories: 3
Start: August 2021
Complete: August 2022
Developer: Colwell Avenue Properties LLC
Owner: Rizzetta & Company
5. ARK Innovation Center – 17907 Aprile Dr
Rating: 4*
Building Sq Ft: 45,000
Stories: 2
Start: February 2022
Complete: July 2023
6. 607 S Kings Ave
Rating: 3*
Building Sq Ft: 40,000
Stories: 2
Start: March 2023
Complete: May 2023
Owner: Harrod Properties
7. 8527 Land O Lakes Blvd
Rating: 3*
Building Sq Ft: 26,300
Stories: 1
Start: February 2022
Complete: November 2023
Owner: Connerton Medical Center
8. Premier Community Health Center – 5955 Rowan Rd
Rating: 4*
Building Sq Ft: 23,000
Stories: 1
Start: July 2022
Complete: June 2023
Owner: Not Listed
9. Casa Gomez – 1205 E 8th Ave
Rating: 3*
Building Sq Ft: 20,012
Stories: 5
Start: April 2022
Complete: June 2023
Owner: Not Listed
10. Citrus Park Medical Office – 13515 Sheldon Rd
Rating: 4*
Building Sq Ft: 10,992
Stories: 2
Start: May 2022
Complete: May 2023
Developer: Not Listed
Owner: Not Listed
Take a look at our featured Tampa office real estate spaces, or other Tampa commercial real estate properties here, or contact the Bounat team to start your own search for properties in the area.