Fort Lauderdale Office Asset Trades for $14M
- May 08, 2017
Cushman & Wakefield has negotiated the sale of Courthouse Place, a Class A, 66,260-square-foot office building in Fort Lauderdale, Fla. The property changed hands in a $13.7 million deal and became subject to a $11.9 million acquisition financing.
Executive Director Scott O’Donnell lead the C&W sales advisory team representing the seller, alongside Managing Director Dominic Montazemi and Senior Associate Greg Miller. They received the assistance of executive directors Deanna Lobinsky and Travis Herring, both members of the Cushman & Wakefield office leasing team. According to public records and Yardi Matrix data, Courthouse Place Building Owner LLC, an affiliate of New York-based Fortress Investment Group, sold the asset to HRE/SEFIRA Courthouse Place LLC, an entity affiliated with Miami-based Highline Real Estate Capital.
Cushman & Wakefield’s Equity, Debt and Structured Finance group, led by Senior Director Jason Hochman, arranged an $11.9 million non-recourse loan for the buyer from a balance sheet bridge lender. The loan includes funding for leasing costs and capital improvements over the next several years, with payments on an interest-only basis.
Located at 12 SE Seventh St., Courthouse Place was constructed in 2007 to the latest hurricane code standards. The eight-story building features three stories of premium office space atop a five-story parking garage and was 72 percent leased at the time of the sale. The property’s location appeals to legal tenants and offers access to Interstate 95 and public transportation. Tenants of Courthouse Place include Legacy Bank of Florida, Apex Reporting Group and Krupnick Campbell Malone Buser Slama Hancock Liberman.
“Strategically located just one block south of the brand new Broward County Courthouse building, Courthouse Place was a value-add opportunity for investors given the 72 percent occupancy and expected rental rate increases as the submarket continues to tighten,” said O’Donnell in a prepared statement. “The buyer has a strong plan for stabilizing and improving the building, which requires additional capital,” added Hochman.
Image courtesy of Yardi Matrix