Slowdown in Leasing Large Blocks of Industrial Space in Tampa Doesn’t Tell the Full Story

On paper, Tampa has experienced a noticeable slowdown in the lease-up of new, larger blocks of industrial space, defined as those over 100,000 square feet. Through the first six months of 2023, six tenants committed to lease a total of 1.2 million square feet of new industrial space. In comparison, six large tenants leased nearly 1.5 million square feet in the final quarter of 2022 alone. A few key factors have contributed to the deceleration of industrial leasing, most notably the limited availability of such space, a decreasing construction pipeline and a general hesitancy to finalize major leases due to macroeconomic headwinds.