Economic Impact Study Shows South Dade Logistics & Tech District Will Generate $2.46 Billion In Total Economic Output, Nearly 40,000 Local Jobs
A new economic impact study released today shows the South Dade Logistics & Technology District (“the District”) will bring significant economic and fiscal benefits to Miami-Dade County.
Upon full build out and occupancy of all three phases of the District totaling approximately 9 million square feet of logistics, tech, and supportive commercial space, the District will generate $2.46 billion dollars in total economic output; nearly 40,000 new local jobs—13,423 construction jobs and 25,553 permanent jobs; more than $1.8 billion in labor income; more than $70 million in one-time development fees; and $12.7 million in recurring local tax revenues, according to findings from the study conducted by Miami Economic Associates, Inc. (MEAI), a leading Miami-based economic consulting practice.
“Our in-depth analysis shows the South Dade Logistics & Technology District will be highly beneficial to the County both economically and fiscally,” said economist Andrew Dolkart, president of MEAI. “Increasing the amount of industrially designated land in the southern portion of the County to allow for the development of the District will provide much-needed employment opportunities for the area’s underutilized workforce. Further, our study shows there is a deficiency on the County’s Future Land Use Map with respect to industrially designated land in the southern portion of the County.”
MEAI’s study references a market analysis conducted by CBRE, the world’s largest commercial real estate services and investment firm, that further illustrates the need for an increase in industrially designated land. The CBRE market study points to population growth as the major driver for distribution and logistics facilities and highlights the fact that the Miami metro area has the second lowest ratio—65 square feet of logistics/distribution space per person—when compared nationally. Additionally, Miami-Dade County’s industrially designated land is heavily located in the northern portion of the County and nearly half of the County’s population now lives in the southern portion of the County where population is projected to grow by approximately 110,000 people, or 40 percent, by 2040, according to MEAI’s report.
CBRE also points out a dramatic shift in the traditional Miami distribution supply chain, due to today’s increasing reliance on e-commerce. Rather than goods coming to Miami via a centralized hub in Atlanta or Orlando, the model is shifting “to Miami, from Miami,” and distribution centers are now required to be located closer to major population centers like South Dade in order to properly service residents, according to CBRE, as noted in the report. And finally, CBRE’s review of the remaining developable land tracts countywide points to the problem that the parcels are not contiguous. Modern e-commerce logistics facilities often require 35 acres of contiguous land at minimum, according to CBRE.
“Our vision is to create a world-class logistics and tech hub and first-class neighbor,” said Jose Hevia, CEO of Aligned Real Estate Holdings, one of the District team project members. “We retained an independent consulting group to take an objective look at the District and the findings show the project will have a substantial, long-term positive impact on the region, serving as a catalyst to power an economic resurgence across the County. As the study highlights, the District will create tens of thousands of good paying jobs now and for years to come, while also serving to meet critical logistics and tech space demands.”
Stephen A. Blumenthal, Principal, Coral Rock Development Group, LLC, part of the District project team, added, “Related and supportive industries will emerge in a cluster and the District will offer a place where these businesses and supportive businesses will have the space and resources they need to grow. This project will be the key to unlocking job growth in South Dade, attracting new investment to the area, and reducing traffic congestion countywide by bringing jobs closer to where residents live.”
The South Dade Logistics & Technology District will provide a well-planned, thriving employment center for the underserved South Dade region. The District will introduce a synergistic mix of new and innovative uses that will both fuel and diversity the local economy, meet rising demand for best-in-class logistics facilities, distribution and technology space for businesses serving the local area, as well as supplying services for today’s e-commerce driven economy.
Strategically located south of the Homestead Extension of the Florida Turnpike, between SW 122nd Avenue on the west and SW 107th Avenue to the east, in Miami-Dade County, the 792-acre District site hugs the Florida Turnpike and offers immediate access to the existing SW 112 Avenue exit of the Homestead Extension, allowing for easy distribution across South and Southwest Miami-Dade County.
For more information about the South Dade Logistics & Technology District or to download the economic impact study, please visit www.bringthejobssouthdade.com.
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