NEWS & NOTABLES

MIAMI—NAI Miami, along with fellow NAI Florida, Latin American and Caribbean offices, are hosting the 3rd NAI Florida Forum at the Treetop Ballroom in Jungle Island on Nov. 9^th. The invitation-only event will highlight the latest economic trends, real estate conditions, and business opportunities in South Florida. NAI Global president Jay Olshonsky will lead the forum. KC Conway, senior vice president of Credit Risk Management of SunTrust Banks will also serve on the panel. Over 300 business leaders from around the state and country will come together to share annual forecasts and what is expected to occur in 2017.

MIAMI—The Florida CCIM Chapter has recognized 19 chapter members who recently earned the Certified Commercial Investment Member (CCIM) designation from the CCIM Institute. The following Florida CCIM Chapter members were among 201 industry professionals nationwide who earned the CCIM designation during the organization's 2016 Annual Governance Meetings that were held Oct. 24–28 at the Grand Hyatt Atlanta in Buckhead in Atlanta: Francisco Jaramillo, Xceligent, Miami, Miami-Dade/Monroe District; Vanessa Lightbourn, Bank United, Pembroke Pines, Broward District; Casper (C.J.) Maier, Willow International Realty, Fort Lauderdale, Broward District; Jorge Napoles, Napoles Real Estate Services, Miramar, Broward District; Wendy Pierre, Wendy Pierre, P.A., West Palm Beach, Miami-Dade/Monroe District.

DEAL TRACKER

MIAMI—Cushman & Wakefield negotiated the sale of Airport East Distribution Center, a 397,585-square-foot warehouse and distribution building in Miami-Dade County. The brokerage team of executive director Mike Davis, senior director Rick Brugge and senior director Michael Lerner, in conjunction with executive director Wayne Ramoski and associate director Gian Rodriguez of the firm's South Florida Industrial team, represented Miami-based Terranova Corporation in the disposition. Miami-based Equitable Real Estate Partners acquired the asset for $17.5 million. Airport East Distribution Center is a three-building industrial campus with 326,000 square feet of dock-high space, 34,000 square feet of grade-level space and 34,000 square feet of office and flex space. The buildings feature CBS construction, 18- to 22-foot clear heights, ample truck courts and exterior storage. The asset is situated on an 18-acre site providing ample space for parking and staging. The buildings were 90% leased at the time of sale. “Airport East Distribution Center offered investors the rare opportunity to acquire a critical mass of industrial product in one of the strongest industrial markets in the country,” says Davis. ”The asset is well-leased and will provide strong and consistent cash flows due to its central location”

KEY WEST, FL—Hyatt Centric Key West Resort & Spa today becomes the latest property to join Hyatt's new Hyatt Centric portfolio of lifestyle hotels following a multimillion-dollar refresh. Located in Key West's historic Old Town, the waterfront resort is comprised of 120 contemporary guestrooms with private balconies that offer sunset views over the Gulf of Mexico. Among the many property upgrades, Blue Mojito Pool Bar and Grill received a significant refresh. The resort's Jala Spa also underwent significant updates, notably its change of location to the ground floor and the addition of a third treatment room and manicure and pedicure station.

TAMPA, FL—Hunt Mortgage Group provided the financing for three multifamily properties in Florida. “All three properties are performing well and are located in quality markets,” says Marc Suarez, director at Hunt Mortgage Group. “The borrowers are all experienced local commercial real estate and multifamily investors with multiple interests in the Florida market.” Hunt provided a $3.5 million Freddie Mac loan facility for the acquisition of Eastwood Oaks Apartments, a 104-unit multifamily property located in Nassau County, in Hilliard, Florida. Beachside Apartments is a 28-unit multifamily property comprised of two, two- and three-story apartment buildings with 42 parking spaces. Hunt provided a $1.3 million Fannie Mae loan to refinance Beachside Apartments, located in Daytona Beach, FL. Located in Pompano Beach, Florida, 521 Northwest 35th Court Apartments is a 19-unit multifamily property comprised of one, two-story building with 26 parking spaces. Hunt provided a $1 million Freddie Mac loan to acquire this property.

JACKSONVILLE, FL—Berkadia arranged financing of The Shoppes at Durbin Crossing and Atlantic Self Storage's Durbin facility, neighboring properties in Jacksonville. Locally-based senior managing director Jeff Kinney originated the $12.5 million loan through American Equity Investment Life Insurance Company. The borrower, an affiliate of Ash Properties, used the loan to refinance an existing mortgage. Loan terms consisted of a fixed interest rate under 4% and a 17-year amortization schedule with no balloon. A mixed-use property located at 14985 Old Saint Augustine Road, The Shoppes at Durbin Crossing houses office, service and retail space over 122,000 square feet.

LEESBURG, FL—Marcus & Millichap brokered the sale of a 4,800-square foot net-leased Amscot Financial located in Leesburg. The asset sold for $1.6 million. Daniel Hurd, associate in M&M's Tampa office, had the exclusive listing to market the property on behalf of the seller, a private investor. He also secured he buyer, a private investor. The Amscot Financial is located at 1100 West North Boulevard in Leesburg. The building is 4,800 square feet with the property sitting on about 0.62 acres of land.

BRADENTON, FL—Marcus & Millichap brokered the sale of Forest West, a 17-unit multifamily community in Bradenton. The multifamily asset sold for $1.5 million and has the ability to add an 18th unit. Adam Podbelski, associate, Nicholas Meoli, vice president investments, and Michael Donaldson, vice president investments, all in Marcus & Millichap's Tampa office, represented the seller, a limited liability company, and the buyer, an individual/personal trust. Forest West is currently a 17-unit, garden-style multifamily community near Sarasota bay at 5025 26th Street West.

MIAMI—Berkadia brokered the sale and financing of Cutlerwood Apartments, a 161-unit multifamily property in the Cutler Bay neighborhood of Miami. Asden Realty acquired the property from seller American Federated Tile Corporation for $14 million, or $134 per square foot, with an $11.35 million acquisition loan. HUD provides Section 8 rental subsidies to Cutlerwood pursuant to a housing assistance payment (HAP) contract. Berkadia senior director Tal Frydman and directors Fernando Polanco and Yoav Yuhjtman of Berkadia's South Florida office brokered the sale. Mitch Sinberg and Matt Robbins from the same office arranged an $11.35 million acquisition loan for the buyer. Freddie Mac originated the six-year acquisition loan. “Due to the lack of affordable properties in South Florida, Cutlerwood attracted a tremendous amount of activity and offers,” says Frydman. “This is an excellent addition to Asden's growing portfolio of affordable multifamily properties.”

BOYNTON BEACH, FL—Marcus & Millichap brokered the sale of Bru's Room-Boynton Beach, an 8,627 square-foot net-leased property located in Boynton Beach. The asset sold for $3 million. Edward Romo, associate and Scott C. Sandelin, vice president investments, from Marcus & Millichap's Miami office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. Romo and Sandelin then secured the buyer, also a limited liability company. Bru's Room has been at 1333 North Congress Avenue, Boynton Beach, FL for eight years. The property has strong demographics with a dense population of 250,000 people within a five-mile radius and daily vehicle counts of 39,000. Bru's Room has executed a new 15-year lease with four five-year options to renew.

BUILDING BLOCKS

AVENTURA, FL—Privé at Island Estates finished topping off its South Tower, completing the project's super structure. The luxury residential development sits on South Florida's last buildable island reached a construction milestone earlier this summer by topping off the North Tower, the first of its two boutique luxury towers with residences ranging from 2,585 square feet to more than 9,500 square feet. Privé at Island Estates will be ready for residents to move in by summer 2017. Starting at $2.1 million, the residences will offer five-star, resort-style amenities, 70,000 square-feet of indoor public space, and outdoor amenities not available at any other project in South Florida, including, a private marina with limited remaining slips that can hold yachts up to 135 feet in length, pier, two expansive pools and Jacuzzis, running paths that outline the island, tennis court and playground.

JACKSONVILLE, FL—IKEA broke ground on its fifth Florida store. IKEA Jacksonville opens in Fall 2017. The 290,000-square-foot proposed IKEA store and its 950 parking spaces will be built on 25 acres along the northwestern corner of Interstate 295 and Gate Parkway, about 10 miles southeast of Downtown Jacksonville. IKEA has contracted with Marcobay Construction to build the project, and store plans reflect the same unique architectural design for which IKEA stores are known worldwide.

The numbers continue to look strong in Florida markets large and small. And for all the talk of tightening capital markets, we're still seeing Berkadia, Hunt Mortgage Group and others brokering loans in the fourth quarter. At the same time, new projects are under construction and hitting milestones. It's still a good time to be a lender, a developer and an investor in Florida.

BY THE NUMBERS

Low vacancy is creating demand for industrial construction in Palm Beach County in the third quarter. Consumer Sentiment in the state of Florida is up 2.8 points in September to 90.9. In Palm Beach County, 32,100 construction jobs and 17,200 manufacturing jobs currently exist. Construction grew 5.4% statewide from August 2015 to August 2016. BlinkBio, a biotech firm, is relocating from Long Island, New York to Jupiter, Florida. The company plans to hire 25 employees. Home prices in Palm Beach County rose 7% in July from a year earlier. (Source: CBRE)

Broward County's retail vacancy continues to decline in the third quarter. The quarter closed out with a direct vacancy rate of 4.8%. The average asking rental rate was $20.93 NNN. The Broward County retail market experienced over 399,000 square feet of net absorption.

NEWS & NOTABLES

MIAMI—NAI Miami, along with fellow NAI Florida, Latin American and Caribbean offices, are hosting the 3rd NAI Florida Forum at the Treetop Ballroom in Jungle Island on Nov. 9^th. The invitation-only event will highlight the latest economic trends, real estate conditions, and business opportunities in South Florida. NAI Global president Jay Olshonsky will lead the forum. KC Conway, senior vice president of Credit Risk Management of SunTrust Banks will also serve on the panel. Over 300 business leaders from around the state and country will come together to share annual forecasts and what is expected to occur in 2017.

MIAMI—The Florida CCIM Chapter has recognized 19 chapter members who recently earned the Certified Commercial Investment Member (CCIM) designation from the CCIM Institute. The following Florida CCIM Chapter members were among 201 industry professionals nationwide who earned the CCIM designation during the organization's 2016 Annual Governance Meetings that were held Oct. 24–28 at the Grand Hyatt Atlanta in Buckhead in Atlanta: Francisco Jaramillo, Xceligent, Miami, Miami-Dade/Monroe District; Vanessa Lightbourn, Bank United, Pembroke Pines, Broward District; Casper (C.J.) Maier, Willow International Realty, Fort Lauderdale, Broward District; Jorge Napoles, Napoles Real Estate Services, Miramar, Broward District; Wendy Pierre, Wendy Pierre, P.A., West Palm Beach, Miami-Dade/Monroe District.

DEAL TRACKER

MIAMI—Cushman & Wakefield negotiated the sale of Airport East Distribution Center, a 397,585-square-foot warehouse and distribution building in Miami-Dade County. The brokerage team of executive director Mike Davis, senior director Rick Brugge and senior director Michael Lerner, in conjunction with executive director Wayne Ramoski and associate director Gian Rodriguez of the firm's South Florida Industrial team, represented Miami-based Terranova Corporation in the disposition. Miami-based Equitable Real Estate Partners acquired the asset for $17.5 million. Airport East Distribution Center is a three-building industrial campus with 326,000 square feet of dock-high space, 34,000 square feet of grade-level space and 34,000 square feet of office and flex space. The buildings feature CBS construction, 18- to 22-foot clear heights, ample truck courts and exterior storage. The asset is situated on an 18-acre site providing ample space for parking and staging. The buildings were 90% leased at the time of sale. “Airport East Distribution Center offered investors the rare opportunity to acquire a critical mass of industrial product in one of the strongest industrial markets in the country,” says Davis. ”The asset is well-leased and will provide strong and consistent cash flows due to its central location”

KEY WEST, FL—Hyatt Centric Key West Resort & Spa today becomes the latest property to join Hyatt's new Hyatt Centric portfolio of lifestyle hotels following a multimillion-dollar refresh. Located in Key West's historic Old Town, the waterfront resort is comprised of 120 contemporary guestrooms with private balconies that offer sunset views over the Gulf of Mexico. Among the many property upgrades, Blue Mojito Pool Bar and Grill received a significant refresh. The resort's Jala Spa also underwent significant updates, notably its change of location to the ground floor and the addition of a third treatment room and manicure and pedicure station.

TAMPA, FL—Hunt Mortgage Group provided the financing for three multifamily properties in Florida. “All three properties are performing well and are located in quality markets,” says Marc Suarez, director at Hunt Mortgage Group. “The borrowers are all experienced local commercial real estate and multifamily investors with multiple interests in the Florida market.” Hunt provided a $3.5 million Freddie Mac loan facility for the acquisition of Eastwood Oaks Apartments, a 104-unit multifamily property located in Nassau County, in Hilliard, Florida. Beachside Apartments is a 28-unit multifamily property comprised of two, two- and three-story apartment buildings with 42 parking spaces. Hunt provided a $1.3 million Fannie Mae loan to refinance Beachside Apartments, located in Daytona Beach, FL. Located in Pompano Beach, Florida, 521 Northwest 35th Court Apartments is a 19-unit multifamily property comprised of one, two-story building with 26 parking spaces. Hunt provided a $1 million Freddie Mac loan to acquire this property.

JACKSONVILLE, FL—Berkadia arranged financing of The Shoppes at Durbin Crossing and Atlantic Self Storage's Durbin facility, neighboring properties in Jacksonville. Locally-based senior managing director Jeff Kinney originated the $12.5 million loan through American Equity Investment Life Insurance Company. The borrower, an affiliate of Ash Properties, used the loan to refinance an existing mortgage. Loan terms consisted of a fixed interest rate under 4% and a 17-year amortization schedule with no balloon. A mixed-use property located at 14985 Old Saint Augustine Road, The Shoppes at Durbin Crossing houses office, service and retail space over 122,000 square feet.

LEESBURG, FL—Marcus & Millichap brokered the sale of a 4,800-square foot net-leased Amscot Financial located in Leesburg. The asset sold for $1.6 million. Daniel Hurd, associate in M&M's Tampa office, had the exclusive listing to market the property on behalf of the seller, a private investor. He also secured he buyer, a private investor. The Amscot Financial is located at 1100 West North Boulevard in Leesburg. The building is 4,800 square feet with the property sitting on about 0.62 acres of land.

BRADENTON, FL—Marcus & Millichap brokered the sale of Forest West, a 17-unit multifamily community in Bradenton. The multifamily asset sold for $1.5 million and has the ability to add an 18th unit. Adam Podbelski, associate, Nicholas Meoli, vice president investments, and Michael Donaldson, vice president investments, all in Marcus & Millichap's Tampa office, represented the seller, a limited liability company, and the buyer, an individual/personal trust. Forest West is currently a 17-unit, garden-style multifamily community near Sarasota bay at 5025 26th Street West.

MIAMI—Berkadia brokered the sale and financing of Cutlerwood Apartments, a 161-unit multifamily property in the Cutler Bay neighborhood of Miami. Asden Realty acquired the property from seller American Federated Tile Corporation for $14 million, or $134 per square foot, with an $11.35 million acquisition loan. HUD provides Section 8 rental subsidies to Cutlerwood pursuant to a housing assistance payment (HAP) contract. Berkadia senior director Tal Frydman and directors Fernando Polanco and Yoav Yuhjtman of Berkadia's South Florida office brokered the sale. Mitch Sinberg and Matt Robbins from the same office arranged an $11.35 million acquisition loan for the buyer. Freddie Mac originated the six-year acquisition loan. “Due to the lack of affordable properties in South Florida, Cutlerwood attracted a tremendous amount of activity and offers,” says Frydman. “This is an excellent addition to Asden's growing portfolio of affordable multifamily properties.”

BOYNTON BEACH, FL—Marcus & Millichap brokered the sale of Bru's Room-Boynton Beach, an 8,627 square-foot net-leased property located in Boynton Beach. The asset sold for $3 million. Edward Romo, associate and Scott C. Sandelin, vice president investments, from Marcus & Millichap's Miami office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. Romo and Sandelin then secured the buyer, also a limited liability company. Bru's Room has been at 1333 North Congress Avenue, Boynton Beach, FL for eight years. The property has strong demographics with a dense population of 250,000 people within a five-mile radius and daily vehicle counts of 39,000. Bru's Room has executed a new 15-year lease with four five-year options to renew.

BUILDING BLOCKS

AVENTURA, FL—Privé at Island Estates finished topping off its South Tower, completing the project's super structure. The luxury residential development sits on South Florida's last buildable island reached a construction milestone earlier this summer by topping off the North Tower, the first of its two boutique luxury towers with residences ranging from 2,585 square feet to more than 9,500 square feet. Privé at Island Estates will be ready for residents to move in by summer 2017. Starting at $2.1 million, the residences will offer five-star, resort-style amenities, 70,000 square-feet of indoor public space, and outdoor amenities not available at any other project in South Florida, including, a private marina with limited remaining slips that can hold yachts up to 135 feet in length, pier, two expansive pools and Jacuzzis, running paths that outline the island, tennis court and playground.

JACKSONVILLE, FL—IKEA broke ground on its fifth Florida store. IKEA Jacksonville opens in Fall 2017. The 290,000-square-foot proposed IKEA store and its 950 parking spaces will be built on 25 acres along the northwestern corner of Interstate 295 and Gate Parkway, about 10 miles southeast of Downtown Jacksonville. IKEA has contracted with Marcobay Construction to build the project, and store plans reflect the same unique architectural design for which IKEA stores are known worldwide.