Pompano Beach's New Bridge Point Industrial Park Sells for $69 Million
This is the second newly completed Broward County industrial project sold by builder Bridge Development Partners this year.
November 01, 2019 at 12:25 PM
3 minute read
The new Bridge Point Powerline Road industrial park in Pompano Beach sold for $69 million in a market fueled by hefty demand and supply that just can't keep up.
Bridge Point builder Bridge Development Partners LLC, one of the most prolific industrial developers in South Florida, sold the complex Thursday to New York-based investment bank Morgan Stanley.
Bridge Point Powerline comprises three buildings on 37 acres less than a mile south of Copans Road at 1971-1991 N. Powerline Road. The 467,832-square-foot complex sold for $147 a square foot.
This is the second newly finished industrial project Bridge Development sold this year in Broward County. In May, its just-finished Bridge Point Riverbend building in Fort Lauderdale went to ASB Capital Management LLC for $38.2 million.
Both Bridge Point Powerline and Bridge Point Riverbend are along major north-south connectors west of Interstate 95.
Bridge Point Powerline is a 1.5 miles from I-95 and 2.5 miles from Florida's Turnpike. Riverbend is adjacent to I-95 just north of Broward Boulevard.
Part of the reason for the health of the regional industrial market is the limit to available land that's close to major roads. With a limited supply, demand is growing along with e-commerce sales. This pushes up rents, making industrial property a coveted asset class, and institutional investors are paying close attention.
In this year's biggest industrial sale statewide, RREEF America, a subsidiary of DWS Investment Management Americas Inc., bought the 74-acre Centergate at Gratigny in Hialeah for $178 million.
San Francisco-based institutional investor Stockbridge Capital Group bought a five-building Miramar industrial portfolio for $116.5 million, the region's second biggest industrial deal of the year.
Builders still are still looking for available tracts fitting for industrial complexes. In Broward County, 2.1 million square feet was under construction at the end of the third quarter, and another 2.2 million square feet is in the pipeline, according to CBRE Group Inc. data.
The next project for Bridge Development, one of the most active industrial builders in South Florida, is the three-building Bridge Point 595 in Davie.
In northwest Miami-Dade County, Bridge and Toronto-based real estate investor BentallGreenOak will build 1 million square feet at the master-planned AVE Aviation and Commerce Center. Bridge and BentallGreenOak paid $126 million for a land lease covering most of the AVE industrial park west of Miami-Opa Locka Executive Airport.
Much of the new construction is speculative, but developers are betting on future demand.
Bridge Point Powerline Road is 55% leased to two tenants including Pompano Beach-based wholesale apparel distributor TSF Sportswear LLC. The complex was completed in the third quarter.
Bridge Development will remain as asset manager. CBRE is leasing the remaining space.
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