Institutional developers continue to acquire the largest remaining industrial sites in Broward County including existing buildings on large parcels.
Senior Managing Director Sal Bonsignore and Executive Managing Director Rod Loschiavo of Colliers South Florida, represented the seller, Little Bear 2 LLC., in the transaction with First Industrial Realty Trust. The ±113,610-square-foot building located at 1801 N Andrews Avenue in Pompano Beach is situated on ±8.36 total acres.
“The high demand for Class A distribution space coupled with the limited availability of large parcels of industrial land suggest continued rent growth in Broward County,” said Bonsignore. “First Industrial recognized this property as an attractive infill addition to its portfolio. This was a truly “win-win scenario”; the buyer acquired a well-located site, and the seller was able to benefit from selling with a low basis into a dynamic market. The seller will do a leaseback as part of the transaction.”
First Industrial Realty Trust, Inc. is a fully integrated owner, operator, and developer of industrial real estate with a track record of providing industry-leading customer service to multinational corporations and regional customers. First Industrial owns and has under development approximately 68.6 million square feet of industrial space across major markets in the United States, as of March 2022. Chris Willson, Executive Director, led First Industrial’s efforts in the transaction. First Industrial was represented by Richard Etner Jr., Executive Managing Director of Cushman & Wakefield.
Due to the growing population, trend toward online shopping, and land constraints, industrial continues to be a favored asset class in South Florida. Investor interest was strong in Broward County in first quarter of 2022. Total deal volume reached $442 million, more than the first two quarters of 2021 combined. In addition, price per square foot for sales increased 81 percent, year-over-year and 20 percent quarter-over-quarter reaching $201-per-square-foot in the first quarter of 2022. Year-to-date, 75 percent of buyers are institutional investors, the largest percentage over the last ten years.
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