JV Makes $39 Million Downtown Dadeland Retail Purchase

A joint venture between Duncan Hillsley Capital and Pebb Capital has partnered with Canyon Capital Realty Advisors to acquire the retail component of Downtown Dadeland, a 127,000 square foot shopping and dining destination located across Kendall Drive from Dadeland Mall.
The purchase price was $38.9 million.
Continental Real Estate Companies (CREC) has been engaged to spearhead leasing and property management for the asset going forward.
Completed in 2009, current occupancy stands at 71 percent, with tenants including West Elm, Chili’s Bar & Grill, Men’s Wearhouse and Panera Bread.
“Downtown Dadeland is already viewed as a shipping destination for nearby residents, but we plan to maximize the property’s value by creating a lifestyle destination,” explains Tom Duncan of Duncan Hillsley Capital. “We’ve got a number of advantages in our favor, including location, high barriers to entry in the submarket, strong demographics and adjacency to one of the top-performing malls in the country, Dadeland.”
The 7.5 acre property enjoys close proximity to Miami-Dade’s Metrorail system, major thoroughfares including US-1 and the Palmetto Expressway, and a number of neighborhoods including Pinecrest, South Miami, Coral Gables and Kendall. The presence of 416 residential condo units within the property, 2 million square feet of adjacent office space and over 3,000 new and in place residential units also creates built-in consumer demand.
“With a clear vision and a fresh approach to leasing and management, we have an opportunity to rebrand Downtown Dadeland as a go-to lifestyle destination in the Miami market,” says Carol Brooks, President and Co-Founder of CREC. “Our strategy will include aggressively seeking and attracting the right mix of tenants and making physical improvements that cater to consumer tastes and create a sense of place.”
Canyon Realty Senior Director Ronald C. Muzii, Jr. said, “We believe that the opportunities to rebrand the property are significant given its infill Dadeland Triangle location.  Additionally, Duncan Hillsley Capital and Pebb Capital are best-in-class partners that will add tremendous value to the asset.”  Canyon Realty provided $10 million of equity capital for the acquisition.
Duncan Hillsley Capital, led by Tom Duncan and Shane Hillsley, and Pebb Capital, led by Todd and Jeff Rosenberg, have formed a joint venture called Duncan Hillsley Pebb Investments (DHPI). The firm intends to pursue future investment opportunities in a broad range of asset  classes which lend themselves to maximizing asset value.