midEarly this week in Florida, Central Florida was shining brightly. Several commercial real estate deals were inked in various sectors of the market.
BY THE NUMBERS
Availability has decreased due to a combination of steady demand and very tightly controlled development activity. Leasing never took off to the extent seen in prior cycles. Over the last few years South Florida has never had the “breakout” expansion activity that some market observers expected. Tenants leased 6.4 million square feet in 2016, a healthy 4.1% jump from 2015, but well short of the 7 to 8 million square feet per annum averaged in the heat of the last expansion period. Palm Beach County was the only county to post a material jump in leasing during 2016. Annual leasing totaled 1.2 million square feet, a 16% year-on-increase. In contrast, leasing lost some momentum in Miami-Dade this year, falling by 5.1% to 1.9 million square feet. Expansion activity has been kept in check. (Source: Savills Studley)
NEWS & NOTABLES
DELRAY BEACH, FL—ICM Realty Group selected Cushman & Wakefield as exclusive leasing advisor for Congress Office Park. Managing director John K. Criddle and senior associate Joseph J. Freitas were selected to lease the 54,006-square-foot building ICM acquired in 2014. Congress Office Park is a three-story suburban office building featuring below-grade executive parking, ample surface parking, outdoor patio seating and lake and golf course views. The recently renovated office building is also approved for medical use. The building is currently 95% occupied with a $16 triple net lease rate and full-service operating expenses of $10 per square foot.
DEAL TRACKER
ORLANDO—Shopping Center Group brokered the sale of Town Center Shoppes, a community shopping center located in one of Orlando's most popular submarkets. A private entity purchased the 64,500-square foot center for $16 million. Anthony Blanco, partner, director of investment sales, The Shopping Center Group, represented the seller, an affiliate of Charlotte, NC-based Gemini Real Estate Advisors. “Retail occupancy rates and market rents have been increasing, while the pace of new development has slowed considerably,” says Blanco. “Couple that with a favorable economic climate, low cap rates as well as low interest rates, and the picture continues to be favorable for retail investing—particularly for those centers occupied by national credit tenants like Town Center Shoppes.”
JACKSONVILLE, FL—Robbins Electra purchased a 300-unit multifamily complex in Jacksonville. The asset, currently known as Lake Gray, will be rebranded as Landings at Lake Gray. This is Robbins Electra's fourth multifamily acquisition in Jacksonville in 2017. The company holds 11 multifamily rental communities in Jacksonville, totaling 22,500 apartment units. Nationally, Robbins Electra's portfolio includes more than 23,000 apartment units totaling over $2.5 billion in value. “Jacksonville's job outlook is very strong—the unemployment rate is below the national average and the city added some 22,000 jobs last year—and that's created very healthy demand for housing,” says Joe Lubeck, CEO of Robbins Electra. The property is currently 93% occupied.
CLEARWATER, FL—Hold-Thyssen, a full-service real estate services firm, recently completed a long-term lease agreement for Senior Healthcare Direct, a health insurance agency expanding operations in Florida. Richard Fisher, who heads Hold-Thyssen's Clearwater office, and associate Chris Fisher negotiated the lease of 3,115 square feet in Park Avenue Shoppes, a mixed-use center at 3298 to 34302 US Highway 19 North in Palm Harbor.
ORLANDO—Berkadia recently completed the sale of The Park at Salerno, a multifamily property located at 2100 South Conway Road in Orlando. Senior managing director Cole Whitaker in the Orlando office, senior director Jason Stanton in the Tampa office, and director Greg Rainey in the Jacksonville office collaborated to complete the $19.4 million sale. The seller was Tampa-based Palm Harbor Property Holdings, and the buyer was Goldelm at Salerno, LLC based in Reno, Nevada, who partnered with Michaelson Real Estate Group based in Jacksonville. “The strong job growth the Orlando market experienced throughout 2016 has carried over into this year,” says Whitaker. “The Park at Salerno offered an attractive investment opportunity in an area that is expected to maintain a healthy economy throughout 2017.”
TAMPA, FL—Stan Johnson Company has completed the $17.9 million sale of a 119,884-square-foot membership warehouse club located at 7651 West Waters Avenue in Tampa. Spirit Realty Capital purchased the free-standing property, which is 100% leased to BJ's Wholesale Club. BJ's Wholesale Club is operating under a triple net lease with more than 10 years of remaining term. The property is located on West Waters Avenue, a major retail corridor with more than 40,000 vehicles per day. This location benefits from immediate proximity to a large concentration of national tenants, including Save-A-Lot, Publix, Walmart, Target, Lowe's, Walgreens, Starbucks, as well as premier demographics with a five-mile population density of more than 200,000 residents. This area also offers easy access to Florida State Road 598.
midEarly this week in Florida, Central Florida was shining brightly. Several commercial real estate deals were inked in various sectors of the market.
BY THE NUMBERS
Availability has decreased due to a combination of steady demand and very tightly controlled development activity. Leasing never took off to the extent seen in prior cycles. Over the last few years South Florida has never had the “breakout” expansion activity that some market observers expected. Tenants leased 6.4 million square feet in 2016, a healthy 4.1% jump from 2015, but well short of the 7 to 8 million square feet per annum averaged in the heat of the last expansion period. Palm Beach County was the only county to post a material jump in leasing during 2016. Annual leasing totaled 1.2 million square feet, a 16% year-on-increase. In contrast, leasing lost some momentum in Miami-Dade this year, falling by 5.1% to 1.9 million square feet. Expansion activity has been kept in check. (Source: Savills Studley)
NEWS & NOTABLES
DELRAY BEACH, FL—ICM Realty Group selected Cushman & Wakefield as exclusive leasing advisor for Congress Office Park. Managing director John K. Criddle and senior associate Joseph J. Freitas were selected to lease the 54,006-square-foot building ICM acquired in 2014. Congress Office Park is a three-story suburban office building featuring below-grade executive parking, ample surface parking, outdoor patio seating and lake and golf course views. The recently renovated office building is also approved for medical use. The building is currently 95% occupied with a $16 triple net lease rate and full-service operating expenses of $10 per square foot.
DEAL TRACKER
ORLANDO—Shopping Center Group brokered the sale of Town Center Shoppes, a community shopping center located in one of Orlando's most popular submarkets. A private entity purchased the 64,500-square foot center for $16 million. Anthony Blanco, partner, director of investment sales, The Shopping Center Group, represented the seller, an affiliate of Charlotte, NC-based Gemini Real Estate Advisors. “Retail occupancy rates and market rents have been increasing, while the pace of new development has slowed considerably,” says Blanco. “Couple that with a favorable economic climate, low cap rates as well as low interest rates, and the picture continues to be favorable for retail investing—particularly for those centers occupied by national credit tenants like Town Center Shoppes.”
JACKSONVILLE, FL—Robbins Electra purchased a 300-unit multifamily complex in Jacksonville. The asset, currently known as Lake Gray, will be rebranded as Landings at Lake Gray. This is Robbins Electra's fourth multifamily acquisition in Jacksonville in 2017. The company holds 11 multifamily rental communities in Jacksonville, totaling 22,500 apartment units. Nationally, Robbins Electra's portfolio includes more than 23,000 apartment units totaling over $2.5 billion in value. “Jacksonville's job outlook is very strong—the unemployment rate is below the national average and the city added some 22,000 jobs last year—and that's created very healthy demand for housing,” says Joe Lubeck, CEO of Robbins Electra. The property is currently 93% occupied.
CLEARWATER, FL—Hold-Thyssen, a full-service real estate services firm, recently completed a long-term lease agreement for Senior Healthcare Direct, a health insurance agency expanding operations in Florida. Richard Fisher, who heads Hold-Thyssen's Clearwater office, and associate Chris Fisher negotiated the lease of 3,115 square feet in Park Avenue Shoppes, a mixed-use center at 3298 to 34302 US Highway 19 North in Palm Harbor.
ORLANDO—Berkadia recently completed the sale of The Park at Salerno, a multifamily property located at 2100 South Conway Road in Orlando. Senior managing director Cole Whitaker in the Orlando office, senior director Jason Stanton in the Tampa office, and director Greg Rainey in the Jacksonville office collaborated to complete the $19.4 million sale. The seller was Tampa-based Palm Harbor Property Holdings, and the buyer was Goldelm at Salerno, LLC based in Reno, Nevada, who partnered with Michaelson Real Estate Group based in Jacksonville. “The strong job growth the Orlando market experienced throughout 2016 has carried over into this year,” says Whitaker. “The Park at Salerno offered an attractive investment opportunity in an area that is expected to maintain a healthy economy throughout 2017.”
TAMPA, FL—Stan Johnson Company has completed the $17.9 million sale of a 119,884-square-foot membership warehouse club located at 7651 West Waters Avenue in Tampa. Spirit Realty Capital purchased the free-standing property, which is 100% leased to
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