Opportunities abound for tenants, investors [Tampa Bay Area]
The dynamics of Southwest Florida’s office market are delivering healthy doses of caution and opportunity alike.
An abundance of new construction in recent years has supplied the region with a surplus of available space, which has affected absorption and vacancy rates already slowed by economic conditions. While these market conditions may adversely affect net operating income (NOIs), debt coverage ratios (DCRs) and CAP rates, they do create opportunities for tenants and investors. (Debt coverage ratios deal with income to mortgage payment, a key thing lenders look at.)