Over Half of Fort Lauderdale's Galleria Centre Office Condos Sell for $10 Million
An Avison Young team in South Florida closed the deal on behalf of the seller.
October 08, 2019 at 10:00 AM
3 minute read
Over half the office space at Fort Lauderdale's Galleria Corporate Centre and two adjacent parking lots sold for $10 million, highlighting a healthy demand for offices in a strong job market.
International Sunrise Partners LLC sold 96,930 square feet of office condominiums, or 57.4% of the total office space, to Main Street Fund LLC, an affiliate of Fort Lauderdale-based real estate investment company Grove Gate, on Sept. 23. Grove Gate won't occupy the space but will lease it to tenants.
The 17-story Galleria Corporate Centre is 168,844 square feet at 2455 E. Sunrise Blvd. across from the Galleria Mall.
International Sunrise's manager listed in state corporate records is Miami Beach-based boutique development and investment company Bush Development Group LLC, led by Henry Bush.
A South Florida Avison Young team represented International Sunrise in the deal.
"The buyer will be able to add value to the portfolio with an aggressive leasing campaign and generate stable cash flows as an income-producing asset," Avison Young's David Duckworth said in a news release.
Duckworth, a principal, worked on the transaction with principals John Crotty and Michael Fay, who also is Miami office managing director, as well as with senior associate Brian de la Fé and associate Berkley Bloodworth. Duckworth and Bloodworth are based in Fort Lauderdale, and the rest of the team is in Miami.
Grove Gate focuses on managing private fund investments in real estate. It works through three affiliates: loan servicer Grove Gate Lender Services, title company Primary Title Services and brokerage and property leasing company Main Street Real Estate Advisors.
Broward County reported a 4% employment gain year over year in industries that use offices. Average asking rents grew by nearly 2% from summer 2018 to summer 2019. Class A office rent growth was even higher at 7%.
Galleria Corporate Centre is a Class A, recently renovated building with marble floors and a new porte-cochère with a valet. Ground-floor retailers are a cafe and the Texas de Brazil restaurant.
In another South Florida office condo transaction, 70% of the space at Coral Gables' new Ofizzina sold for $50 million earlier this year.
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