The Tampa office market is buzzing with activity! With 2024 coming to a close, I have some end-of-year thoughts to share with you for insights into the market’s evolving landscape.  

In Tampa, two major submarkets stand out: Westshore and Downtown Tampa. These areas are of particular interest because they’re right in the middle of everything, offering shiny new office buildings and a broad selection of desirable amenities in the vicinity. Businesses love being there, but it comes at a price—rent is higher. 

For those looking to save money, Tampa’s suburbs, like Carrollwood (Hillsborough County) and Gateway (Pinellas County), are great options. These areas have plenty of attractive space at lower rents—sometimes 20% to 35% less!

Tampa’s Office Market Remains Desirable 

Businesses are renting office space all across the Tampa Bay area. Over the past year, about 5 million square feet of office space was leased. A lot of the leases executed just prior to Covid are finally starting to roll, so companies are shifting locations and making adjustments to their occupied space as their workforce needs have shifted. 

For those companies in longer leases, there has been an interesting rise in sublease space availability.  Sublease space is excess and unoccupied space businesses rent out because they don’t need it anymore. Tampa has the most sublease space in Florida, which helps renters find deals but puts pressure on landlords to keep rents competitive.

Tampa Continues to Grow

Tampa isn’t just a sunny city; it’s a growing one! Over 150,000 new residents have moved to the area since 2020

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Companies love Tampa because it’s more affordable than South Florida, and businesses like Pfizer and Foot Locker are opening offices here. According to Tampa Bay EDC, Tampa’s employment grew 22% over the past 10 years, while unemployment decreased by 43%. The job market has remained strong with lots of jobs in professional & business services, education, healthcare, and technology.

Economic growth remains robust and diverse, with the city ranking 7th in the nation according to the Economic Diversity Index. Plus, new infrastructure projects, like the Howard Franklin Bridge are emphasizing the area’s growth and expansion prospects.

The Bottom Line

Tampa’s office market has something for everyone. If you are looking for medical or office space in Tampa or own a building and are having a hard time finding tenants, give me a ring for a complimentary and confidential consultation!