Treasure Coast Commercial Office Space for Rent

Q4 2025

Treasure Coast Commercial Real Estate Market Report

Focus: Q4 2025 Market Trends

Executive Summary

The Treasure Coast commercial real estate (CRE) market is experiencing dynamic growth in late 2025, driven by migration trends, infrastructure improvements, and a diversifying economy [3]. The Industrial sector is the region's headline performer, with significant leasing activity and rent growth, although new supply has created varied vacancy conditions across counties [2, 4]. Retail fundamentals remain strong, supported by population growth and a lack of new construction, which is keeping vacancy rates stable [1, 3]. Office activity is modest but stable, while Multifamily markets are adjusting to a supply wave with softening rent growth [5].

TenantBase Proprietary Data [6] highlights the distribution of active tenant demand over the last 90 days:

  • Retail/Storefront led market activity with 58.33% of all searches [6].
  • Warehouse was the second most active sector at 38.89% [6].
  • Office accounted for 2.78% of total search volume [6].

Office Market

Market Overview The Treasure Coast office market remains a smaller but steady component of the region's CRE landscape. While transaction volumes are lower than in neighboring South Florida metros, the market benefits from a lack of speculative building and steady local demand.

  • Vacancy & Availability: Office vacancy rates vary by submarket but have generally remained stable as the region avoids the large-scale distress seen in major urban centers [1].
  • Market Drivers: Demand is primarily driven by professional services, healthcare, and local businesses serving the growing residential base [3].
  • Sales Activity: Commercial sales volume in the broader Southeast Florida region, including Palm Beach, rose 18% year-over-year, with office sales posting a significant 42% increase in activity [5].

TenantBase Activity [6]

  • Demand Share: Office accounted for a minimal 2.78% of total search volume, reflecting the market's smaller office footprint compared to industrial and retail [6].
  • Lease Term Preference: Due to limited volume, trends are anecdotal, but inquiries were split between short-term flexibility (<1 year) and standard 2-3 year commitments [6].

Industrial & Warehouse Market

Market Overview The industrial sector is the engine of the Treasure Coast economy, attracting significant interest from logistics, manufacturing, and distribution tenants.

  • Vacancy & Rent: Performance varies significantly by county. St. Lucie County reported a tight vacancy rate of 3.3% in Q2 2025, while Indian River County saw vacancy rise to 15.8% due to new construction [2]. Martin County remains extremely tight with a 3.0% vacancy rate [2].
  • Rental Rates: Asking rents are robust, averaging $16.92 per SF in St. Lucie County and $17.85 per SF in Martin County [2]. Rent growth has moderated but remains positive, with St. Lucie recording a 3.2% annual increase [2].
  • Absorption: St. Lucie County saw absorption improve in mid-2025, while Indian River County absorbed nearly 128,000 SF despite high vacancy [2]. Recent large move-ins, including Amazon, have helped stabilize vacancy in Port St. Lucie [4].
  • Construction: The construction pipeline has slowed in some areas, with no new inventory currently underway in St. Lucie County, which should aid in vacancy compression moving forward [2, 4].

TenantBase Activity [6]

  • Demand Share: Warehouse accounted for 38.89% of total search volume [6].
  • Lease Term Preference: Tenants prefer shorter lease terms in this changing market:
    • 1-2 Years: 46.67% of deals [6].
    • 3-5 Years: 26.67% of deals [6].
    • 2-3 Years: 13.33% of deals [6].
  • Size Requirements: The average lower size requirement for warehouse space is 1,500 SF for 1-2 year terms, increasing to 2,500 SF for 3-5 year terms [6].

Retail Market

Market Overview Retail on the Treasure Coast is benefiting from strong demographic tailwinds, with new residents driving demand for goods and services.

  • Vacancy & Availability: Retail availability remains tight due to limited new deliveries and steady consumer spending [1].
  • Market Trends: The region is seeing "heightened demand" for retail space, supported by infrastructure developments that improve connectivity [3].
  • Investment: Retail continues to attract investor capital, with sales volume in the broader region up 24% year-over-year [5].

TenantBase Activity [6]

  • Demand Share: Retail/Storefront activity dominated with 58.33% of all search volume [6].
  • Lease Term Preference: Retail tenants show a balanced appetite for lease lengths:
    • 1-2 Years: 29.63% of deals [6].
    • 3-5 Years: 29.63% of deals [6].
    • 5+ Years: 22.22% of deals [6].
  • Top Locations: Tenant interest is heavily concentrated in Port St. Lucie, followed by Melbourne [6].

Multifamily Market

Market Overview The multifamily market is cooling after a period of rapid expansion, as a wave of new supply outpaces demand, putting downward pressure on rent growth.

  • Rents: Rent growth has softened significantly across the region. In nearby Palm Beach and Fort Lauderdale, rent gains were under 0.5% in Q2 2025 [5].
  • Construction: Construction activity remains elevated, particularly in high-growth zones, which is expected to keep vacancy rates from compressing in the near term [5].
  • Sales Volume: Despite softer fundamentals, multifamily sales volume in the region reached $3.1 billion year-to-date, indicating sustained long-term investor confidence [5].

2026 Outlook

Looking ahead to 2026, the Treasure Coast is positioned for sustained growth as it cements its status as a key logistics and residential hub.

  • Industrial Stabilization: With construction slowing in key submarkets like St. Lucie, vacancy rates are expected to compress, supporting further rent growth [2, 4].
  • Infrastructure Impact: Continued infrastructure investment will enhance the region's connectivity, further boosting demand for industrial and retail space [3].
  • Retail Resilience: Population growth will continue to drive retail demand, keeping vacancy low and supporting rent increases for well-located centers [3].

Sources

  1. Baker Tilly: Commercial Real Estate Market Report Q3 2025
  2. Matthews: Q2 2025 Industrial Market Report Treasure Coast
  3. CRE Daily: Treasure Coast State of the Market
  4. CBRE: Port St. Lucie Industrial Figures Q4 2024
  5. Miami Realtors: Southeast Florida Commercial Sales Volume Q3 2025
  6. TenantBase Proprietary Market Data (Treasure Coast - Last 90 Days)

Information in this report is aggregated from various third-party sources and synthesized using artificial intelligence and other research tools. While we believe these sources to be reliable, we cannot guarantee the absolute accuracy or completeness of the data. This report is intended for informational purposes to provide market insight and should be independently verified prior to any use in a real estate transaction or legal commitment.