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RETAIL LEASING PICKED UP STEAM across the region as three
of five counties turned in strong performances. As a whole, the
region’s activity for this six months increased eightfold over the last
period. However, the annual volume shrank by more than onefourth.
New space in Hillsborough and Sarasota and the creative
use of a big box in Pasco saved the region from a plethora of
small-space exits.
Hillsborough’s activity this six months is almost twice that of the
previous period. As a result, annual absorption climbed 74 percent.
With over 300,000 sf of new space opened, the vacancy rate
nudged up a bit. Weighted average rent climbed $.70 per sf while
CAM (common area maintenance) charges moved up $.13 per sf.
Westfield Shoppingtown Brandon
built a new 150,000-sf wing and
moved in 12 new stores, boosting the
southeast submarket’s absorption to its highest level in six years.
Meanwhile, VanDyke Commons opened in the northwest submarket
and a former big box on Fowler Avenue was reconfigured to
multi-tenant use and reopened half-filled as Fowler 15. 
Pasco’s solid results were primarily due to leasing the K-Mart
box at Center of Seven Springs to mini-storage and leasing half the
empty Winn Dixie store to the US Post Office. This market’s community
centers’ vacancy rate dropped 3.6 points to 10.5 percent,
while rents saw a modest $.16 increase. Construction was started
on the Grove at Wesley Chapel, which is scheduled to open a firstphase
700,000 sf within 18 months or so.
In Sarasota, construction was completed on Broadway Promenade,
opening 90 percent filled. That helped the market activity
swing from a negative last period to a modest 31,300 sf. The
county’s 18 community centers lost a slight 1,548 sf, while the
vacancy rate ticked up to 3.6 percent. The 29 neighborhood centers
netted a collective 31,197 sf, but with new space the vacancy
rate rose to 7.6 percent. The county’s average CAM charge moved
up $.17 per sf.
Pinellas County’s negative results this six months were almost
identical to the previous period. Annualized activity dropped significantly
from almost 300,000 sf to a negative 43,000 sf. Overall,
rents grew a significant $.83 a foot, while the county’s average
CAM charges moved up by $.21 a foot. Pinellas’ 25 community
centers collectively lost 28,688 sf while their rents dipped by $.15.
The county’s 78 neighborhood centers received a boost with the
completion of Courtyard at Countryside. These rents climbed $.99
a foot. Construction started on Park Street Center. 
Manatee suffered a second consecutive net loss, pushing the
annual rate into the loss column as well. For the six-month period,
the county’s 11 community centers suffered a collective loss of
12,083 sf of absorption; their weighted average rent climbed $.40
per sf. The 25 neighborhood centers squeaked out a slight 3,388
sf, leaving the vacancy rate substantially unchanged at 11.1 percent.
Average rents moved up $.22 a foot, while the county’s average
CAM charge moved up a whopping $1.22 to $4.71 per sf.
Empty big box space continues to plague the market. This type
of space – of 30,000 sf or more – is reflected in the numbers, but
we break it out separately because it shows a major trend. The
chart below indicates the total big box space vacant in each county
and the number of units represented. . Parts of some of these boxes
have been re-leased to smaller tenants.
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