Jeremy Larkin, Partner & Co‑Chairman, NAI Miami
In an interview with Invest:, Jeremy Larkin, partner and co-chairman of commercial real estate company NAI Miami, talked about its growth and strategic expansion, including the opening of new offices in Coral Gables and plans for the redevelopment of the Shops at Sunset Place in South Miami.
What have been some of the main highlights or key milestones for NAI Miami in the last 12 months?
The main highlight has been our expansion into Coral Gables. We’ve also continued to ride the wave that is Miami and have maintained a steady course. We built a new office building in Berkeley, which is nearing completion. On the horizon, we have the redevelopment of the Shops at Sunset Place mall in South Miami, which will eventually be transformed into a live-work-play environment with retail, office space, possibly a hotel, and multifamily housing. Ideally, this will become a new business hub, filling a gap that has not been there before.
What is your overview of the commercial real estate advisory market in Miami and South Florida?
The main trend right now is that we are coming off the unsustainable highs of the last three to four years, and we’re settling into a more normal business cycle of growth, except for the investment sales market. That market is not completely dead, but it’s pretty slow due to high interest rates and high seller expectations. The only properties being sold are those that must be sold. Large pension and trust companies are also selling properties, but it’s often part of an exit strategy, as they can finance them and continue to generate income elsewhere. However, most investors are not selling at this time if they don’t have to sell.
Which of your services are the main drivers of growth?
The sales market remains healthy, as do property management and leasing. However, we’ve seen significant growth in areas like investment sales for both large and small assets, as well as non-traditional services like consultation, litigation support, and back-office assistance. All of this reflects the natural growth happening in Florida, and we are adapting to that. We’ve always been a bit non-traditional in our approach, with strong connections to legal counsel and a broad network of people who can provide additional services to help solve problems beyond our core offerings.
How does NAI Miami differentiate itself from other competitors in the commercial real estate advisory market?
We’re very unique. On one hand, you have large international and national firms driven by a corporate headquarters, where everything is mandated from the top down. On the other hand, there are smaller local firms that specialize in specific areas. As part of NAI Global, we benefit from being connected to a network of 450 locations worldwide, with about 200 offices in the United States. While we are locally owned, we are also part of a global organization, which allows us to work quickly and nimbly without needing approval from a corporate headquarters. Additionally, because of the traffic and population density in Miami, we are opening satellite offices to serve specific submarkets. For example, we considered moving our headquarters to Coral Gables, but instead, we opted to set up satellite offices to keep costs manageable. Next, we’re looking for someone to open an office in Miami Beach.
How are you capitalizing on corporate expansions, business relocations, and the overall population growth taking place in Miami and South Florida?
Expansions have brought new clients and tenants into the market, This has helped drive our leasing activity. It has also opened opportunities on the industrial side, especially internationally. With a healthy economy, all ships rise with the tide.
How are you leveraging technology and innovation to provide the best commercial real estate advisory services to your clients?
We are constantly seeking new technology to adapt to the market and are exploring how we can integrate AI into our model. There are also new tools and products emerging related to consumer behavior and data analytics, and we’re looking into those as well. In fact, I was recently at a trade show where we found a unique product that will help us work more efficiently internally and save hundreds, if not thousands, of dollars annually.
Is there any regulation you are keeping an eye on?
On the residential side, there was a significant lawsuit settlement that now allows negotiable fees, with sellers no longer required to pay the buyer’s fee, and pricing can be set as desired. It has been a positive development so far.
What are the primary challenges for the commercial real estate advisory industry?
With the uncertainty of the election behind us and a new president in place, we have some clarity. Economically, it’s beneficial to have the Republican Party in office, but the biggest challenges we face are transportation, housing, and affordability. Miami has been thriving, but it’s now an expensive place to live, and our transportation system is not keeping up with the increased population. We need to ensure that we can hire employees who don’t have to commute two hours each way every day, and we need to find affordable housing for both renters and buyers.
What are NAI Miami’s main goals, priorities, and plans for the next two to three years?
I’d like to increase our revenue by 40-50%. We are transactional intermediaries, and our job is to meet our clients’ needs. My goal is for our team to continue raising the bar on how we do this. If we can identify clients with whom we can build lasting relationships and satisfy their needs, we will continue to thrive and grow.
