Florida’s Largest Industrial Deal

The sale of the 1.6 million-square-foot property in metro Miami marks the state’s largest transaction of its kind so far this year.
Centergate at Gratigny. Image courtesy of CBRE

Centergate at Gratigny, a 1.6 million-square-foot metro Miami industrial park in Hialeah, Fla., traded in the state’s largest transaction so far this year. The seller was a global investment management firm.

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The industrial park comprises three buildings located at 5801 and 6301 E. 10th Ave. The Class A industrial property includes a 979,000-square-foot distribution and light assembly warehouse that was built in 1999 with varying clear span heights of 32 feet, 17 feet and 13 feet. The warehouse also offers 1.7 parking spaces for every 1,000 square feet, 140 trailer parking spots and a 7 percent overall office finish. The other two buildings have been recently constructed and total 603,000 square feet, while offering 32-foot clear span heights and a dock-high rear load configuration.

The large property is anchored by promotional products supplier Bullet Line, and is also home to Carnival Cruise Lines that services ships from Port Miami and Port Everglades, as well as to a business-to-business packaging distributor, Veritiv.

CBRE’s Capital Markets team of Chris Riley and Christian Lee, vice presidents, and Jose Lobon, executive vice president, represented the seller. The team also represented another large Miami-area warehouse sale for $117 million earlier this month. The CBRE team also included First Vice President Amy Julian and Financial Analyst Royce Rose from the Debt & Structured Finance team. CBRE’s Miami-based Industrial Leasing team that included Devin White and David Albert also assisted in marketing the property.

Strong leasing activity

South Florida’s industrial market continues to show strong numbers. CBRE research indicates that in the last five years, the market saw 37.8 million square feet of net absorption, which outpaced the 23.1 million of new space delivered over the same time frame. The continued leasing activity has led to vacancy rates remaining low, at below 4 percent throughout the region, and to higher rents, up 35 percent since 2011.