![\"Placeholder\"\/](\"https:\/\/www.newsbeep.com\/us-fl\/wp-content\/uploads\/2025\/10\/placeholder.png\")
<\/p>\nBusinesses that sell doors, windows and\u00a0other building materials have suddenly found themselves with too much warehouse space\u00a0amid a slowdown in home construction.<\/p>\n
<\/p>\n
The amount of Miami industrial space listed by companies for sublease\u00a0jumped by\u00a0nearly 22% from September to December, reaching 3.4M SF, according to a Newmark fourth-quarter industrial report.<\/p>\n
The region has never before experienced a deluge of sublease listings like this.\u00a0The average quarterly amount of sublease space on the market\u00a0between 2012 and 2019 was less than 1M SF.\u00a0<\/p>\n
Companies in the housing industry,\u00a0such as furniture, appliances and building materials, are responsible for the majority of the space going up for sublease, Newmark Executive Managing Director Stephen Levine said.<\/p>\n
\u201cHomebuilding has slowed down a little bit, and therefore the construction materials component that goes along with it has slowed down a little bit as well,\u201d Levine said.<\/p>\n
One of the largest listings in the fourth quarter was CGI Windows and Doors Inc., which\u00a0put more than 325K SF on the market for sublease, according to the report.\u00a0CGI’s parent company, Miter Brands, shuttered its facility in\u00a0Medley and plans to close its\u00a0Hialeah\u00a0warehouse in the first quarter, US Glass reported<\/a>.<\/p>\n CGI didn’t respond to a request for comment.\u00a0<\/p>\n Sublease listings began popping up with frequency\u00a0over the last six months, Colliers<\/a> Senior Vice President Lauren Pace said.<\/p>\n \u201cTenants are being wise and trying to determine if they need to consolidate or if they need to expand,\u201d Pace said. \u201cThey are attempting to sublease some of their spaces and offering a rate that’s lower than [the rest of the] market.\u201d<\/p>\n \n Courtesy of Newmark\n <\/p>\n \n Sublease availability is at its highest on record since 2009.\n <\/p>\n The move to put space back on the market comes amid a slowdown in housing construction.<\/p>\n Residential construction activity\u00a0was\u00a0at a five-year low in October, according to the U.S. Census Bureau<\/a>. Total housing starts reached 1.2 million, a nearly 5% drop from September and a nearly 8% drop from the year prior.<\/p>\n Miami’s industrial market is echoing the national trend. Twelve percent of the record 1.5B SF\u00a0of available industrial space nationwide is on the sublease market, an all-time high,\u00a0CoStar<\/a> National Director of U.S. Industrial Analytics Juan Arias<\/a>\u00a0told\u00a0Bisnow on Thursday<\/a>. He said the majority of those listings are from companies in the housing industry.<\/p>\n The sublease activity provided some much-needed relief for tenants in a market that has seen rapid rent increases since the pandemic, Pace said.<\/p>\n Industrial rents in Miami have essentially doubled since 2020, reaching an all-time high of $16.36 per SF in the third quarter, according to Newmark. But rents dipped in the fourth quarter by 1.2%, even as leasing activity hit its highest point, at 4.3M SF, in more than two years.<\/p>\n \u201cIt’s great just to give some other tenants some different options, other than just options that are Class-A and kind of pricey,\u201d Pace said.<\/p>\n<\/p>\n