Eric Coffman, an attorney in the real estate practice with Gunster

MIAMI—By all indicators, Miami retail is booming and expanding. Miami's retail sector is seeing some of the strongest construction pipelines in years.

In fact, according to Marcus & Millichap, Miami has retailers poised to capitalize on increased consumer spending, driving tenant expansions and bringing greater retail development down the pipeline. Completions this year will reach the highest level since 2008, led by the delivery of several large shopping centers, including Miami Worldcenter and CityPlace Doral, which are enhancing the county with large mixed-use properties.

GlobeSt.com caught up with Eric Coffman, real estate law attorney and shareholder in Gunster's Fort Lauderdale office, to get his take on what the next six moths hold for Miami's retail sector in part one of this exclusive interview. His first observation: Miami has one of the lowest retail vacancy rates in the country, at just over 3%. That's comparable to New York.

“Practically all the major retail construction in Miami and East Broward County is for mixed-used development,” Coffman tells GlobeSt.com. “Increasing population densities and high land costs are driving this trend.”

Coffman points out land is too scarce and expensive to support large retail parking lots and retail rental rates don't support structured parking solely for retail use. Adding residential, hotel and office uses make the projects more feasible, he says. Municipalities also favor mixed uses and have been more willing to permit greater density for developers incorporating multiple uses.

“Grocers are the most active retail tenants led by Publix, but Trader Joe's, Whole Foods, Earth Fare and Sprouts are actively seeking locations,” Coffman says. “Luxury fashion in Miami's core retail areas is active fueled by international travelers. Restaurants and fitness uses are very active led by spending habits of millennials, which are poised to be the most influential generation in US history when it comes to retail trends.”

MIAMI—By all indicators, Miami retail is booming and expanding. Miami's retail sector is seeing some of the strongest construction pipelines in years.

Instant Insights /

What the Next Six Months Hold for the Retail Sector

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