Aventura Office Building
Asset: 23,746-square-foot office building
Location: Aventura, FL
Sale price: $14.5 million, or $611 per square foot
Representation: Buyer and Seller
Challenges: Nearly 60 percent of the property was occupied by a bank with three years left on the lease, which added a layer of risk. In addition, the buyer needed to assume a $5 million existing mortgage at a higher interest rate than the ongoing market rate. Since the property had a $5 million mortgage on it already, the buyer was expected to come up with nearly $10 million in cash to be able to close the deal. Not many prospective buyers had that much cash available, as most of them expected to finance a large portion of the purchase price.
Outcome: Alex researched his database of potential buyers and was able to identify an investor willing and able to pay a premium price for the property, despite its challenges. Alex was able to convey the message that buying a well-located office building in a market with very high barriers to entry, like Aventura, was more than enough to compensate for any risk factor. As a result, the seller was able to get one of South Florida’s highest prices per square foot for his office building.