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FLORIDA ECONOMY BOOMS, BUT RESTRICTIONS LOOM

KISSIMMEE, Fla. — Florida’s economy and shopping center industry are booming, speakers said at ICSC’s recent Florida Conference. And this remains true even in the aftermath of the devastating hurricanes that have since hit the state.

Last year Florida was the fastest-growing state as measured by the number of new housing permits, David Marks, president of Maitland, Fla.-based Marketplace Advisors, told delegates at the conference, which took place at the Gaylord Palms and Convention Center here in August. The related population growth is generating demand for some 6.4 million square feet of new retail space per year.

On a compounded basis, Florida’s population has been growing at about 2 percent annually over the past 10 years. That was matched by a comparable 2 percent yearly increase in retail space for the period. Further, Floridians spend about 37 percent more per capita than the overall U.S. population, and sales here have risen nearly 5 percent a year over that time frame, ICSC President Michael P. Kercheval told the gathering.

The Florida panhandle in particular is enjoying robust population growth, aided by investment in infrastructure and an influx of baby boomers seeking beachfront homes.

But development in the state, already strongly controlled, could become even more so. A proposed amendment to the state constitution would require voter approval for all land-use decisions, including new developments.

“Of all the issues the shopping center industry faces, growth management is the biggest obstacle,” said ICSC Chairman James E. Maurin, chairman of Stirling Properties, Covington, La. “If [the proposed amendment] becomes a law, it will have a major impact on development and redevelopment in this state. The battleground for this nation is in the state of Florida.”

Underscoring the level of development activity in the state, a record 3,400 retail real estate professionals registered for this year’s meeting, up from last year’s 3,200.