The joint venture's players are The Alter Group of Chicago and Miami's Southern Facilities Development. CB Richard Ellis Inc. is the exclusive leasing agent. Projected rents in the four-story buildings are $18 psf triple net and $14 psf triple net in the one-story facility.
Southern Facilities principals invited Alter to work the deal. Southern has been monitoring the site's development potential since 1998 when it acquired options from the city to buy the dirt. The options cost $79,200 annually or 1% of the land's 1998 appraised value. The 48 acres have a 1998 fair market value of $7.9 million or $164,583 per acre ($3.78 psf).
Behind the options deal is a strategic move made two years ago by Southern principals Chip Abele and Jose Boschetti. They contracted with the city to lease 14 acres annually for $200,000 or $14,286 per acre. The developers also took an option to take long-term leases on five city-owned parcels at what is now known as Fort Lauderdale Industrial Airpark.
The Alter Group itself is no stranger to South Florida turf. Over the last two years, the Chicago firm has developed two spec projects in Broward County--the 165,000-sf, 95% leased, three-building Spectrum Office Park in Fort Lauderdale; and the 111,000-sf, 100% leased Sawgrass International Concourse in nearby Sunrise.
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