Brickell City Tower sells for $117MOctober 3, 2018
New York Life Investors just paid $117.25 million for the Brickell City Tower
The 33-year-old, 87% leased Brickell office tower, closed last week, is yet another sign of investors’ growing appetite for downtown Miami office real estate.
Brickell City Tower, built in 1985, recently renovated and sold in September 2018 for $117M Brickell City Tower traded for just over $117M to NYL Investors from sellers Banyan Street Capital, Independencia Asset Management and Crocker Partners. In the past year, developers added 658K SF of office space in Miami-Dade County, according to Cushman & Wakefield’s research. Although that new product put vacancy rates around 12.4%, absorption was up almost 30% from the same period in 2017, the report said. Tenants are seeking new and upgraded buildings, and that has been reflected in rent prices. While overall asking rates declined by 17 cents over the past year to $38.03 per SF, the rate for Class-A space ticked up to $44.49. Prices are more than $50 PSF in downtown and Brickell. “Buyers are still pretty interested in having exposure to Florida real estate, across all asset classes. There is no shortage of lenders looking to transact on good deals in this market and this environment — which makes it challenging for buyers, truthfully, especially value investors.”
Article by Bisnow.
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