Broward County’s real estate market is experiencing significant activity in both the multifamily and industrial sectors. Recent transactions highlight strong investor interest and strategic acquisitions across the region, signaling continued growth and development.
Industrial Sector Sees Robust Activity
The industrial real estate market in Broward County has been particularly dynamic. JLL Capital Markets announced the sale of a two-building industrial portfolio, Pompano 95 and Ft. Lauderdale Park, totaling 102,038 square feet. Berkeley Partners sold the assets to Dalfen Industrial. Pompano 95, a 37,351-square-foot warehouse, is fully leased, while Ft. Lauderdale Park, comprising two warehouses totaling 64,687 square feet, is 94% leased. Both properties offer excellent connectivity to major transportation routes.
In another significant deal, Loci Capital and Hersh Equity Group partnered to acquire a six-building, 230,000-square-foot small-bay industrial portfolio in West Park, Florida. This acquisition focuses on well-located, under-managed assets catering to small, service-oriented businesses. The partnership plans to enhance the properties and bring in-place rents to market rates, anticipating strong cash flow and an institutional exit.
Multifamily Market Remains Strong
The multifamily sector also witnessed notable transactions. Federal Capital Partners (FCP) acquired the Arium Sunrise apartment complex for $90 million. This 400-unit property, located near Sawgrass Mills in Sunrise, Florida, features 20 three-story buildings across 22 acres. FCP’s acquisition marks their second in Broward County within two months, underscoring their commitment to the Florida market.
Retail Redevelopment Potential
In the retail space, Midtown Group purchased the former Sears store site at the Broward Mall in Plantation for $28 million. The 17.8-acre property, once home to a Sears that closed in 2018, is now in shell condition. This acquisition could pave the way for future redevelopment, potentially transforming the mall into a mixed-use project.
Key Takeaways
- Industrial Growth: Strong demand for light industrial assets continues, with key transactions involving well-located properties.
- Multifamily Investment: Investors are actively acquiring apartment complexes, indicating confidence in the rental market.
- Strategic Acquisitions: Partnerships are forming to acquire and enhance under-managed assets, aiming to capture value.
- Redevelopment Opportunities: Former retail sites present potential for mixed-use development, reshaping commercial landscapes.
Office Complex Refinancing
On the office front, JLL Capital Markets arranged a $68.2 million refinancing for Royal Palm I and II, a two-building, Class A office complex totaling 465,592 square feet in Plantation, Florida. Lincoln Property Company secured the fixed-rate refinancing through Barclays. The complex boasts significant capital upgrades and amenities, reflecting continued investor confidence in high-quality office assets.
Sources
- Sale of Broward County Infill Industrial Two-Pack closes, JLL.
- Broward Mall Sears Store Bought by Midtown Group, Connect CRE.
- $68.2M refinancing secured for Broward County office complex, JLL.
- Loci Capital and Hersh Equity Group Acquire 230,000 SF Small-Bay Industrial Portfolio in Broward County, Business Wire.
- Federal Capital Partners Buys Another Broward County Rental for $90M – Commercial Observer, Commercial Observer.