Jennifer LeClaire/Globe Street - Regus just signed a new 10-year lease with Terranova. The alternative workspace firm will take down 19,374 square feet—spanning two floors—at 1688 Meridian Avenue in Miami Beach. Office condos in the building are selling fast. 1688 Meridian is a mixed-use project that includes 92,644 square feet of office and retail space next to the Miami Beach Convention Center. The project is set for a major redevelopment of 1.4 million square feet.
“There has been a shortage of small office space available in Miami Beach and Regus was able to fill that need by taking a larger space, while at the same time moving closer to the anticipated over $1 billion worth of construction projects around the Miami Beach Convention Center,” says Terranova’s commercial associate Michael Nathanson, who represented the landlord in the deal. Internationally acclaimed Miami Beach architect Morris Lapidus, known as the architect of Lincoln Road, Fontainebleau and Eden Roc hotels, designed the property in the early 1960s.
The office is located on the hard corner of 17th Street and Meridian Avenue, a main thoroughfare to the famed Lincoln Road. Regent is relocating its business center from 1111 Lincoln Road and is expected to open June 2016. Regus will join Dizzy Inc., DBI Construction Consultants, Next Model Management, Uceda School, Verizon Wireless, and Merchant Data Systems.
We turned to Jeff Green, retail real estate feasibility consultant, to get his thoughts on the alternative workspace movement. He told us coworking spaces are fueling and shaping a new generation of emerging urban landscapes.
“As a new creative and entrepreneurial class grows larger among Millennials and among the population of professionals without work in the wake of the last recession, communal hubs are growing in popularity—and they have a huge impact on the surrounding urban landscape,” Green says. “Alternative workspaces live among a vibrant mix of local retail boutiques, pop-ups, chef-driven restaurant concepts and trendy national retailers.”
Green’s bottom line: While it nurtures the surrounding commercial real estate that this population craves, alternative workspace has the potential to be a disruptive force for office property leasing as more freelancers and entrepreneurs seek alternative workplaces that offer collaboration in a flexible office environment.