Clarion Sinks $109M in Asset Off Lincoln Road

The Lincoln, a landmark mixed-use property steps away from the iconic Lincoln Road in Miami Beach, FL, has traded hands.

MIAMI—The Lincoln, a landmark mixed-use property steps away from the iconic Lincoln Road in Miami Beach, FL, has traded hands. The sale price: $109.25 million. Clarion Partners acquired the ground lease for the property on behalf of a commingled fund. CBRE represented the seller, HQ Capital Partners . “The Lincoln benefits from a combined retail and office character, since Lincoln Road competes with the highest profile retail locations in the world, from New York’s Fifth Avenue to the Champs-Elysées in Paris, and Miami as a whole is expected to see office rents grow by nearly a third over the next five years,” says Christian Lee , vice chairman of CBRE Capital Markets. The asset features 43,166 square feet of street-level retail, 118,658 square feet of class A office space , and a 709-space parking structure. “With a scarcity of vacant land and many existing Miami Beach properties protected by historic preservation regulations, available properties such as this are even more rare and valuable,” Lee says. The commercial real estate property occupies a 1.76-acre site which is ground leased from the City of Miami Beach. Constructed in 2003, The Lincoln is a five-story building that is 94% leased to eight retailers and 31 office tenants. Morgan Stanley, advertising firm OnBoard Media are among the office tenants. Retailers at The Lincoln include Pottery Barn, Williams Sonoma, and Bang & Olufsen. Nearby Lincoln Road features 72 premier restaurants and 272 retailers, with leases executed at rents nearing $400 per square foot on triple net leases. CBRE’s José A. Lobón and Andrew Chilgren , along with Charles Foschini and Christopher Apone of CBRE Debt and Structured Finance, and Stephen Rutchik and Jonathan Kingsley of Colliers, collaborated with Lee in representing the seller. Earlier this year, 1575 Alton Road, a 15,000-square-foot corner site one block south of Lincoln Road in Miami Beach, traded hands for $10 million. HFF represented the seller. Managing director Luis Castillo and senior managing director Daniel Finkle led the charge. “Opportunities to redevelop hard corner sites with extraordinary exposure in Miami Beach are extremely rare,” Castillo tells GlobeSt.com. “This asset appealed to a variety of investors.”