Palm Bay Ranks #9 as a U.S. Tech Hub
A Southern Star on the Rise
Palm Bay, Florida, has solidified its position as one of the nation’s top emerging tech hubs, ranking #9 in Commercial Cafes latest list of tech-centric areas in the United States. Commercial Cafes rankings are highly regarded for their comprehensive evaluation of tech job density, growth metrics, and salary competitiveness, making them a trusted resource for assessing tech-focused cities. This recognition underscores Palm Bay’s growing reputation as a key player in the Southern U.S. tech landscape.
With a tech job density that surpasses larger cities like Jacksonville and Orlando, Palm Bay’s growth trajectory is drawing significant attention. High tech job density fosters innovation, drives job creation, and enhances educational opportunities through partnerships with local institutions. This dynamic establishes Palm Bay as a magnet for tech-driven growth while improving quality of life for its residents.
Why Palm Bay Stands Out
Tech Job Density
Ranked 9th nationwide with 52.4 tech jobs per 1,000 total jobs.
Outperforms major Florida cities like Jacksonville (19th) and Orlando (20th).
Rapid Growth
Tech employment in Palm Bay has grown by 24% since 2019.
A 10% increase in the tech talent workforce from 2017 to 2022 brought the total to 14,690 professionals.
The Palm Bay-Melbourne-Titusville metro area ranked 2nd nationally for tech job growth, with a remarkable 41.6% increase in high-tech employment over a five-year period, driven by a 126.3% surge in the software publishing industry.
Palm Bay’s tech sector achieved a 15% growth by the end of 2024, exceeding the national average.
Economic Contributions
Palm Bay’s tech industry contributed $2.7 billion to Florida’s tech economy by the end of 2024, rivaling contributions from larger cities like Jacksonville.
The sector accounts for nearly 15% of the state’s overall tech growth.
Competitive Salaries and Opportunities
Tech professionals in Palm Bay are reaping the benefits of rising incomes:
The average tech salary reached $93,536 in 2022, marking a 17% increase since 2017.
Software developers saw a 21.6% wage hike, with an average annual income of $112,600.
With over 200 active startups in fields like cybersecurity, aerospace, and clean energy, Palm Bay’s innovation ecosystem is thriving. Infrastructure, tax incentives, and a supportive community make it a hotspot for emerging tech businesses.
Real Estate Market: Supporting the Boom
Palm Bay’s commercial real estate market is evolving to meet the demands of the tech sector. Businesses have a range of leasing options, with 12 office spaces currently available:
4620 - 4690 Lipscomb St. NE: A 7,437 SF office building with spaces priced at $16.75 - $19.95/SF/YR.
2330 Commerce Park Drive, Suite 2: A 171,000 SF facility offering competitive rates of $9.95/SF/YR.
1742 Agora Cir SE: A smaller 4,050 SF building with leasing options starting at $800/month.
Florida’s broader trend of suburban office construction, where 81% of developments since 2002 have occurred in suburban areas, positions Palm Bay well for sustained growth. This aligns closely with the tech sector’s need for adaptable office spaces that support innovation and collaboration, further boosting the city’s appeal to tech companies and startups.
Economic Development: A City Focused on Growth
During the January 2, 2025, City Council meeting, Palm Bay leaders reinforced their commitment to fostering economic growth and attracting tech-based businesses. Key initiatives discussed included:
Site Readiness Program: Incentives to prepare sites for industrial and commercial development, ensuring Palm Bay can meet the needs of growing businesses.
Infrastructure Improvements: Upgrades to utilities and transportation to attract larger corporations.
Support for Startups: Programs like We Venture Ignite 360, which provide mentorship and training for small businesses, empowering local entrepreneurs.
Compound Development: Exploring opportunities to expand and develop "The Compound" into a vibrant tech and industrial hub.
City officials emphasized balancing residential growth with economic development to improve quality of life and create more local employment opportunities. These efforts align closely with Palm Bay's rising status as a tech hub, ensuring the city remains competitive while addressing the needs of its residents.
Methodology Behind the Ranking
Commercial Cafe evaluated tech clusters based on:
Tech Job Density: Number of tech jobs per 1,000 total jobs.
Growth Metrics: Percentage increase in tech establishments over five years.
Median Tech Salaries: Annual median income for tech professionals.
By focusing on metro areas with populations exceeding 200,000 in the Southern U.S., Commercial Cafe highlights Palm Bay’s achievements in a competitive region.
Florida’s Tech Boom
While Palm Bay leads Florida in tech job growth, other metro areas in the state are also making significant strides:
Orlando-Kissimmee-Sanford: A 2.8% growth in tech employment in 2023, with its tech workforce surpassed 76,000 in 2024.
Tampa-St. Petersburg-Clearwater: Recognized among the top 15 U.S. metros for tech job growth, becoming one of the nation’s fastest-growing tech hubs.
Crestview-Fort Walton Beach-Destin: Ranked 3rd nationally and 2nd in Florida for tech job growth, with a 39.4% increase in high-tech employment over five years.
Florida as a whole added over 20,000 net tech jobs in 2024, reflecting the state’s broader appeal as a tech destination.
Community Impact and Future Prospects
Palm Bay’s growing prominence as a tech hub has far-reaching implications for the local community. Rising salaries and job opportunities enhance the city’s economic stability, while affordable housing and a high quality of life make it an attractive option for tech talent and their families. The city’s leaders are well-positioned to capitalize on this momentum, ensuring that Palm Bay continues to attract investment and foster innovation.
Conclusion
Palm Bay’s ascent to #9 on Commercial Cafes list of U.S. tech hubs is a testament to the city’s dedication to growth and innovation. Initiatives such as the Site Readiness Program, enhanced infrastructure projects, and partnerships with tech industry stakeholders have created a fertile environment for startups and established firms. To climb even higher in future rankings, the city could focus on expanding its infrastructure for tech startups, enhancing workforce development programs, and fostering stronger connections with regional and national tech networks. As the tech sector continues to expand, Palm Bay is well-positioned to solidify its status as a Southern tech powerhouse.