Downtown Tampa is seeing strong activity.

MIAMI—With no new construction in the Tampa Bay office market, rental rates are rising. Even still, the market is attracting large users.

GlobeSt.com caught up with JLL's Brent Miller to get his thoughts on what types of tenants are driving growth in Tampa's office market in part two of this exclusive interview. You can still read part one: How Now New Construction Is Impacting This Hot Office Market.

GlobeSt.com: What are the types of tenants that are driving the growth of Tampa's office leasing market?

Miller: Professional Services continues to be the dominant industry taking space in Tampa Bay's office market. JLL's Office Insight report found that groups in the business, financial and scientific industries account for 81.5% of current space requirements in Tampa totaling 1.3 million square feet of space.

We are also seeing significant growth in the tech sector. The Tampa Bay region has the most available positions posted in STEM-related fields in all of Florida, according to JLL's 2016 Technology Outlook, which has helped drive a rapid migration of these types of companies to the area attracted by the available workforce. Tech employers are flocking to Tampa to take advantage of its growing skilled workforce, especially among the millennial generation.

GlobeSt.com: What are the up-and-coming submarkets in the region and why?

Miller: While the Westshore neighborhood has typically always been the dominate submarket in terms of office leasing activity, we are now seeing a heavy migration to the region's urban core in Downtown Tampa. The total vacancy rate in this area has dropped to 14%, an 8% overall decrease from 2010, according to JLL's 2016 Skyline report.

Another submarket worth highlighting is the Interstate 75/Interstate 4 Corridor which has seen numerous large blocks of space taken off the market in the past 18-24 months and vacancy drop from 22% to 13.6% in that same time span. This move to the urban core can be attributed to a shifting workforce. Millennial employees are seeking out the convenience and amenities of a work-play lifestyle, while companies are increasing efficiency and learning to do more with less space.

Check out these five Florida regions to watch in 2017.

MIAMI—With no new construction in the Tampa Bay office market, rental rates are rising. Even still, the market is attracting large users.

GlobeSt.com: What are the types of tenants that are driving the growth of Tampa's office leasing market?

GlobeSt.com: What are the up-and-coming submarkets in the region and why?

Check out these five Florida regions to watch in 2017.

Instant Insights /

Two User Types Dominate This Office Market

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