Cushman & Wakefield arranged the sale of a three-building office portfolio located in Miami.
Located at 6100, 6303 and 6505 Blue Lagoon Drive, the four-story buildings known as Waterford Atrium total 498,073 square feet within Waterford Business District, a 250-acre professional hub in the heart of Miami designed for innovative companies and a diverse workforce across a wide range of industries. Surrounded by lush landscapes, water features and outdoor collaboration areas, Waterford Business District is home to more than 3 million square feet of the city’s premier office space.
Mike Davis, Dominic Montazemi, Miguel Alcivar, Rick Brugge, Scott O’Donnell and Rick Colon of Cushman & Wakefield represented the seller, MetLife Investment Management, on behalf of its investment management clients, in the transaction. Jason Hochman, Mike Ryan, Brian Linnihan, and Ron Granite of Cushman & Wakefield secured the acquisition financing through KKR on behalf of RealOp Investments, the buyer.
The portfolio sold for $110.14 million.
“Miami is now a strong alternative to New York for those in financial services, entertainment and international trade,” said Rajib Das, Chief Investment Officer of RealOp. “These buildings have historically been home to both U.S. and global credit tenants and we expect the demand to grow as Florida and the Southeast lead the nation in growth.”
“The properties provide a combination of stable, predictable cash flow coupled with an upside opportunity via lease-up of vacant space, contractual rent escalations, projected market rent and signage income growth,” Davis said.
“Offering 15 years of solid operating history at 90 to 95% occupancy, this was a tremendous opportunity to acquire a portfolio of institutional scale with value-add upside,” Montazemi added. “We were confident the market would respond well to an opportunity of this size in this location.”
The portfolio is leased to a diverse, creditworthy mix of nationally and internationally recognized tenants. Amenities include a fitness center, three ground-floor cafes, 24-hour security, on-site property management and three parking garages totaling a 4/1,000 sf parking ratio.
“We remain bullish on fundamentally sound, value-oriented office acquisitions across the Southeast and expect to be a net buyer through 2022,” said Reggie Bell, RealOp’s Chief Executive Officer. “The acquisition of Waterford Atrium allows us to expand our footprint across South Florida and participate in the continued growth of the Miami MSA. We commend the MetLife Investment Management, KKR, and Cushman & Wakefield teams on a very successful transaction.”
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