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Florida’s CRE Market in 2025: A High-Value Tax Landscape
It’s Summer 2025, and Florida commercial real estate (CRE) although hot, is not as hot as the South FL summer weather! Following a post Covid market that was the hottest we’ve seen in decades, the market has cooled quite a bit, but will this be recognized by the Assessors? Whether you’re invested in office, multifamily, retail, or resort properties, now is the time to pay close attention to your property tax bill.
From Miami to Orlando to Tampa Bay, commercial valuations are climbing, driven by high construction costs, pent-up migration demand, and a post-pandemic development boom. The result? Property assessments that often outpace actual performance. The June 1st estimates are in for all Counties across Florida and though not as steep as prior years, the results still show increases in Fair Market Values in most jurisdictions. We will be diving into some of the major Counties in more detail in the coming weeks and will break down some of the value changes year-over-year and what has been driving the markets (up or down).
The 2025 Florida CRE Landscape: Key Trends
1. Rising Assessments, Lagging Revenue: Many properties, especially office, multifamily, and hospitality, are seeing valuations increase despite flat or declining net operating income. This is particularly true in submarkets where speculative development has outpaced absorption.
2. The Insurance + Tax Squeeze: With insurance premiums ballooning and interest rates still elevated, property owners are feeling the squeeze on all sides. Taxes remain one of the few controllable expenses—if managed proactively.
3. Complex Assets = Complex Valuations: When assets are complex or have multiple components, proper valuation theory is often overlooked or missed in the mass appraisal process performed by the Assessors across the state. It’s important to take a deep dive into the more complex assets to ensure that the valuation is appropriate and complies with the statutes.
Why It Matters More in 2025
The deadline to appeal your 2025 property valuation is fast approaching. And in many Florida counties, that means you only have a few weeks once your TRIM (Truth in Millage) notice hits your mailbox. Waiting too long or assuming the valuation is fair can be a costly mistake.
An incorrectly inflated assessment can translate to five or six figures in unnecessary tax liability—and those numbers compound year after year.
What to Do Next
Smart CRE owners in Florida are:
- Reviewing their assessments early
- Gathering comps and income statements
- Engaging property tax consultants with local expertise
How FirstPointe Advisors Can Help
At FirstPointe Advisors, we specialize in the Florida market—and we’ve been doing it for over a decade. Each member of our leadership team has over 18 years of experience and knows the nuances of each county, the shifting methodologies of appraisers, and the pressure points that lead to successful appeals.
Whether you own a high-rise in Miami, a hotel in Orlando, or a mixed-use development on the Gulf Coast, we’ll make sure your assessment reflects your property’s true market performance—not just market headlines.
Because in 2025, “business as usual” is no longer good enough.
Contact us for today for help on your property tax needs!
954.546.9630
6301 NW 5th Way
Suite 2800
Fort Lauderdale,
FL 33309
