MIAMI—Bullish. That's perhaps the best word to describe how commercial real estate professionals feel about the office sector in 2014. GlobeSt.com caught up with three key players in the Miami office market to get their take on what lies ahead.

Glenn Gregory, executive vice president at Jones Lang LaSalle, tells GlobeSt.com an
encouraging statistical performance topped off the year with market wide vacancy dropping by nearly three percentage points since the end of 2011. Leading the charge was the class A segment, he notes, which accounted for 84% of 2013's new occupancy gains.

“Following last year's trend, positive absorption within the class A sector remained nearly evenly divided between the CBD and suburbs,” Gregory says. “In an enduring trend, tenants remain focused on occupancy efficiencies, with current users taking less or comparable space.”

As he sees it, the pressure of densification will lead to a slower tightening of the office market in 2014: “Look to potential asking rate hikes for the most confident of landlords in possession of the most desirable spaces. Concessions remain available with the best offers going to the largest, credit users willing to commit to longer lease terms.”

Steven Hurwitz, principal of Continental Real Estate Cos, tells GlobeSt.com as Miami's office market continues to strengthen, he expects leasing activity to remain strong in 2014. With little new office product delivered over the past 18 months, he says, Miami office market fundamentals should continue to improve for landlords to command higher rents in key office markets like Brickell, Downtown, and Coral Gables. “Tenants are also not only evaluating the deal terms as the economy stabilizes,” Hurtwitz says, “but are beginning to focus once again on the amenities a property and its surrounding area has to offer the decision makers and their employees.”

Tere Blanca, president and CEO of Blanca Commercial Real Estate, tells GlobeSt.com
 Miami's position as a gateway for Latin American business is expanding far beyond the western hemisphere. Major companies from Europe and Asia are now seeking a location in Miami or greater South Florida, she adds.

“Sustained organic expansion and new companies entering the market, combined with an overall lack of new product coming online this year, should continue to put downward pressure on office market vacancy,” Blanca says. “Two years from now, companies with large office space requirements who want to enter the market or expand here will likely have trouble finding contiguous space that suits their needs. Therefore companies should be strategic about their real estate needs and plan in anticipation of a tightening office market.”