Florida Office Portfolio Trades for $58M

The sale of the 259,458-SF Pinnacle Corporate Park represents the highest price per-square-foot sale within the Cypress Creek submarket in the past decade.

FORT LAUDERDALE, FL – The joint-venture partnership of Banyan Street Capital and a fund managed by DRA Advisors LLC has sold the two-building, class A office portfolio, Pinnacle Corporate Park, in Fort Lauderdale, FL for $58.9 million.

The 259,458-square-foot portfolio was purchased by Pinnacle Corporate Park LLC, managed by Feldman Equities based in St. Petersburg, FL. The buyer purchased Pinnacle Corporate Park with capital raised through crowdfunding on Crowstreet.com.

The sales price, representing $226 per-square-foot, serves as the highest price per-square-foot sale in Broward County’s Cypress Creek submarket in the past decade.

Located at 500 and 550 W. Cypress Creek Rd., the office properties are situated on 14.3 acres of land in Fort Lauderdale’s master-planned Uptown Urban Village. The buildings are currently 83% occupied.

The buyer plans to invest more than $3 million in renovations and furnishings. The acquisition represents Feldman Equities’ first investment property in South Florida.

Avison Young’s Florida capital markets group facilitated and closed the sale on behalf of the seller. The Avison Young sales team comprised principal John K. Crotty, principal David Duckworth, principal and Miami managing director Michael T. Fay, principal Greg Martin, principal George Vail, VP Brian C. de la Fé, and associate Berkley Bloodworth.

Throughout recent years, Avison Young’s leasing team has accomplished significant lease-up of the property and retained full tenancy during the pandemic.

“Pinnacle Corporate Park received intense interest and multiple competitive offers due to its strong occupancy, rental rate growth, lease-up potential and ideal location just minutes from Interstate 95 and walking distance from the Tri-Rail,” says Crotty. “Although 100% of the property is in use, our capital markets team creatively marketed the development potential in the existing parking lot, therefore uncovering the land’s intrinsic long-term value, enhancing overall interest and ultimately achieving a record price-per-square-foot.”

“The Pinnacle Corporate Park sale represents the trend of large funds and institutional owners’ confidence to buy and sell large office assets as pandemic-driven concerns wane,” says Duckworth. “In Broward County, we see a strengthening uptick in investor demand for well-located suburban office assets as corporate decision-makers and C-suite executives relocate to South Florida, bringing businesses and money to invest.”