Zara founder Amancio Ortega has closed on a $274.4 million acquisition of office tower 1111 Brickell Avenue in Miami.
The deal marks the largest in South Florida so far this year, according to a report from The Real Deal, citing records from database Vizzda. CBRE represented the sellers: Parkway and KKR, with the two originally buying the 30-story building for $248.5 million in 2018, the news outlet said. Now the billionaire's firm Ponte Gadea has swooped in to buy the asset.
The property was built in 2000 as part of a mixed-use development that included JW Marriott Miami, which hosts 296 rooms. Some tenants at 1111 Brickell Avenue include Industrious, Northmarq, Kennedys Law, Law Offices of Wolf & Pravato and Tibint. The building features a rooftop amenity deck, food and beverage options, conference rooms and a library.
Part of Ortega's strategy is to reinvest from his retail holdings, with a forecasted $3.6 billion from dividends in 2025 (according to Bloomberg), into global real estate.
A third-quarter report from Avison Young showed that Miami's office visitations, which hit 75.8 percent for August, outpaced gateway markets including Manhattan and Dallas. The Brickell submarket stood out for its high rents that neared $100 per square foot, only outpaced by four New York areas.
The 1111 Brickell Avenue sale was recorded in the third quarter, according to Avison Young's report. Some other large office acquisitions that took place during the three-month period in Miami were Cire Equity's $89.60 million purchase of 2916 N Miami Ave and Azora Private Solutions paying $82 million for 3225 Aviation Ave.
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