McCraney Property Company completed the sale of Belvedere Business Park, a small bay 109,360-square-foot business park located at 8020 – 8140 Belvedere Road in West Palm Beach for $12 million to KVA Belvedere, LLC.
This transaction comes on the heels of the company completing the sale of its 294,200 square foot portfolio within Orlando Central Park, part of its nearly one million square foot legacy portfolio of shallow bay industrial product throughout the state.
“This transaction was ideal for both parties as the buyer was able to acquire a 98 percent occupied asset with in-place income at a purchase price below replacement cost while we were able to secure our sought after ROI,” said Steven McCraney, President and CEO of McCraney Property Company.
The sale is indicative of the current market conditions in West Palm Beach during the third quarter of 2016, with total inventory of 14,566,758 square feet of space yet only 3.3 percent vacancy rate and an availability of 5.4 percent. Demand in increasing statewide for industrial product, including shallow bay, which serves the largest subset of all industrial tenants nationwide: end-users in the 10,000 to 50,000 square foot range. The result has been the swift disposition of select assets within McCraney Property Company’s portfolio in Florida for a total of $31 million.
“This is the first of our legacy portfolio to be sold in South Florida as part of our strategic move out of the small bay product market and into the development and ownership of larger big box, e-commerce driven distribution centers,” continued McCraney.
Mike Davis, Executive Director of Cushman & Wakefield of Florida, represented McCraney Property Company in the transaction.
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