Thank you for sharing!

Your article was successfully shared with the contacts you provided.

DEERFIELD, BEACH, FL-In separate transactions to different buyers, California-based Pacific Asset Corp. sold two business complexes here, aggregating 470,289 sf, for $44.4 million. Conshohocken, PA-based KTR Capital Partners LLC acquired Quorum Business Center, and locally based Butters Real Estate Funds acquired Newport Center Business Plaza.

KTR’s price tag for Quorum was just under $37.2 million, or $91 per sf, which is “on the high side, possibly a record for industrial property in South Florida,” John Bell, SVP in the Miami office of Trammell Crow Co., tells GlobeSt.com. Bell represented Pacific and obtained buyers for this and the Newport transaction.

Quorum, located at 602-858 S. Military Trail, consists of four warehouse distribution buildings and two office/flex structures with a total of 407,616 sf. They were built between 1983 and 1986, and the center is currently 87% occupied, according to Bell.

“Institutional quality industrial product is scarce in South Florida, and demand is exceptionally strong,” he says. “When a property of this size and quality goes on the market, bidding gets intense. The price is indicative of the park’s quality and central location with easy access to I-95. Even at a premium price,” he adds, “it will provide significant and immediate upside in terms of anticipated rent spikes.” First-quarter reports put the asking average rental rates at about $6.50 per sf and $10.25 per sf for warehouse/distribution and office/flex space, respectively.

Newport Center Business Plaza is a 62,673-sf, two-building, single-story office complex in Newport Center Business Park. Butters, which is headquartered just across from its new acquisition, paid just over $7.2 million, or $115 per sf, for the complex. It was completed in 1985 and is 93% leased, Bell says.

“The property offers tenants direct entry, and it appeals to the professional market in the area,” Bell says. “There is strong demand for small-suite office space here.” Of Butters, he says, “it’s a savvy investor/developer and understands the property’s nuances and market value better than almost anyone.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. NET LEASE Spring 2021Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.