The project's construction cost, estimated rent range and pre-leasing activity weren't disclosed. However, area brokers familiar with the Coral Gables market tell GlobeSt.com the estimated hard cost of the project will be $37.5 million based on current class A office construction costs of at least $150 per sf.
Full-service rents are expected to be in the $29-per-sf to $32-per-sf range, according to RealData Information systems Inc. of Coral Gables.
In a prepared statement, Hines says it expects to start construction in the second quarter of 2002, with initial occupancy scheduled for July 2003.
Hines bought the 3.53-acre block, located one block south of the Miracle Mile, in December 2000 for an undisclosed sum from an unidentified seller.
RealData Information Systems identifies the seller as First Union National Bank and the price between $13 million and $17.6 million. Those estimated numbers equate to a sales price of $86.67 per sf under the $13 million price and $117.33 per sf using the the $17.6 million figure.
RealData is reporting the project is 18.14% pre-leased to Regus Business Centers which is taking 43,000 sf. Another lease, valued at $20 million, has been signed with an undisclosed tenant, according to RealData.
At the time of purchase, the site included a six-story office building and a three-story office building and a four-level parking garage.
The Ponce de Leon building is being designed by Smallwood Reynolds Stewart & Stewart of Atlanta. Hines developed the First Union Financial Center in Downtown Miami.
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