In a transaction pointing to rising demand for single-user, Class A space in Broward County’s Cypress Creek office market, Stiles Realty has closed the $10.8 million sale of a four-story building at 2200 West Cypress Creek Road to Nipro Diagnostics, Inc. The buyer, a leading developer, manufacturer and marketer of diabetes management products, will occupy the entire 78,339-square-foot building as its corporate headquarters.
For companies that need 40,000 square feet of space or more, absorption in recent months has impacted the supply of properties countywide and in the Cypress Creek area, according to Stiles Realty Broker Associate Kimberly Barbar. She represented the building owner, Cypress Creek Holding, LLC, in the transaction. Barbar said demand is coming from companies such as Nipro that are growing and upgrading headquarters — and from firms shedding extra space.
“We recognized an immediate opportunity to upgrade our space and add convenience for employees,” said Nipro Diagnostics President and CEO Scott Verner. The vacant Class A building was originally built for a single user and was maintained in move-in condition, offering excellent access and visibility, plus an above-code parking ratio.
During the marketing of the property, more than a dozen potential buyers expressed interest. “Many failed to realize that prices for quality corporate properties in the Cypress Creek submarket had tested the bottom and were definitely rising,” Barbar said. The sale to Nipro, for example, at $138 per square foot compares with the $104 per-square-foot selling price of the nearby former Citrix Building, which sold in June 2011.
Nipro Diagnostic’s corporate offices are currently located in a multi-tenant office building east of their new facility on Cypress Creek Road. Stiles Construction will handle interior improvements to the company’s new headquarters on behalf of Nipro.
In 2011, the Manufacturers Association of Florida named Nipro Diagnostics as its Manufacturer of the Year in the large-company (500+ employees) category. Nipro Diagnostics, Inc. . is a wholly-owned subsidiary of Nipro Corporation, headquartered in Osaka, Japan. Nipro has been a world leader in providing medical products to the healthcare community for over 50 years.
The Nipro Diagnostics transaction was Stiles Realty’s largest sale to date in 2012. In another recent transaction, Barbar represented the Benihana restaurant chain in its corporate headquarters relocation in Doral. In the past year, another significant Stiles Realty transaction was the long-term extension of the 116,000-square-foot Sheridan Healthcare lease in Sawgrass Technology Park, Sunrise. Madelayne Garcia, Stiles Realty Director of Real Estate, recently received NAIOP’s prestigious Office Lease Transaction of the Year Award of Excellence for 2011 for all of South Florida for that lease.
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