Top 5 Office Transactions in Florida

Following the pandemic’s impact, Florida’s office sector is seeing a surge in office investment. In the first quarter, sales activity was concentrated in South Florida, where companies recognized the distinct opportunities arising from the shifting commercial real estate landscape.

According to data provided by CommercialEdge, office investment sales in the first quarter of the year amounted to $985 million and totaled some 4.3 million square feet. This translates into a 24 percent increase from the $794 million recorded in the first quarter of 2020.

Investors focused on Class A assets, buildings occupied by prestigious tenants from the law and financial sectors, amenitized portfolios and value-add opportunities. The list below highlights the largest deals closed in Florida between January and March 2021, based on CommercialEdge data. The top five office deals amounted to $658.2 million, equal to 67 percent of the quarter’s total sales volume.

Rank Property Name Sq. Ft. Buyer Seller Total Sale Price (MM)
1 Phillips Point 420,290 Related Cos. AEW Capital Management $281.9
2 Two & Three MiamiCentral 333,438 EQ Office Shorenstein $230
3 The Offices at Sunset Place 514,000 Midtown Opportunities Federal Realty Investment Trust $65.5
4 Cypress Financial Center 198,528 Vision Properties Steelbridge Capital $44.2
5 Advance Tower 140,000 The Arden Cos. USAA Real Estate $36.7

Source: CommercialEdge

5. Advance Tower, South Miami

Advance Tower

In January, The Ardent Cos. purchased Advance Tower, a 140,000-square-foot office building at 6262 Sunset Drive in South Miami. The nine-story asset traded for $36.7 million and was sold by USAA Real Estate, which purchased it in 2015 for $40 million from Advanced Development. Completed in 1986, the property serves as the headquarters of Interval International, a vacation exchange network. 

4. Cypress Financial Center, Ft. Lauderdale

Cypress Financial Center. Image via Google Street View

Also in early 2021, Vision Properties acquired Cypress Financial Center, a 198,528-square-foot office building in Ft. Lauderdale. The property traded for $44.2 million, with Benefit Street Partners providing $27.6 million in acquisition financing. The asset previously changed hands for $32.5 million in 2014, when a partnership between Steelbridge Capital, Square2 Capital and Apollo Global Management purchased it from Tricony.

The 11-story property was completed in 1988 and underwent renovations in 2015. Last March, Toronto-based Slate Office REIT entered into an agreement to purchase the asset for $45.5 million, but the deal fell through due to pandemic-generated uncertainty.

3. The Offices at Sunset Place, South Miami

The Offices at Sunset Place

Midtown Opportunities paid a joint venture between Federal Realty Investment Trust, Grass River Property Co. and Comras Co. $65.5 million for The Offices at Sunset Place, a 514,000-square-foot office and retail asset in South Miami.

The three-story…

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