CITY: NEW CONCERNS OVER MAJOR OBSTACLE TO ECONOMIC GROWTH

If you build it, they will come. The BIG problem: No one has built it in ten years.

A new analysis by the city's Office of Economic Development has raised new concerns over an old problem.

On Monday, the city will attend a financial industry conference trying to sell West Palm Beach as a great business relocation destination. In anticipation of the conference, the city's Office of Economic Development looked at how many vacant office spaces are available. The numbers were concerning.

"Our city only has a 12% vacancy rate, and in the tall office towers where many financial sector CEO's want to be, the vacancy rate is even less," said Director of Economic Development Director Chris Roog. "If I'm a CEO from the northeast looking to move here, I want premium office spaces with great views of the water. That's what attracts them, and that's what they often look for. Unfortunately, that's what we don't have enough of right now."

Local commercial real estate experts agree.

"It's been almost ten years since the city's last office tower. We need new space if we are going to be able to legitimately sell ourselves as a major business relocation destination," said Mark Pateman, Director of Commercial Brokerage at Cushman & Wakefield.

"This is a tough market to pre-lease but you need new space to attract new business," said Pateman.

A lack of new office space has long been a concern in the city, but it becomes a chicken-or-the-egg problem. Developers have been reluctant to build without commitments from tenants and prospective tenants look elswehere when they see a lack of available space.

Despite the concerning vacancy numbers, city officials are pushing forward with an agressive new campaign to attract new businesses to the city.

"We can't stand still. The good news is that while office space is an issue, our city offers other quality of life advantages that other cities both in and out of Palm Beach County can't touch. If you're looking for a sophisticated, vibrant, urban area in South Florida without the hassle and headaches of Miami or Fort Lauderdale, West Palm Beach will always be your top choice," said Roog.