The Real Deal Miami

Miami Beach Deco Market sells for slight profit

Washington Avenue building last traded for $260K less in 2006

May 15, 2015 11:15AM
By Katherine Kallergis

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Deco Market on Washington Avenue

Deco Market on Washington Avenue

A Miami Beach investor sold a mixed-use site in South Beach for $5.46 million, Marcus & Millichap announced this week.

Deco Market, a 9,243-square-foot mixed-use property at 1435 Washington Avenue, was sold by 1439 Washington LLC, led by Miami Beach investor Peter Neary, according to corporate records. Neary bought the 1928 building in December 2006 for $5.3 million, according to property records.

Arthur D. Porosoff, Ronnie Issenberg, Gabriel Britti, Scott Sandelin and Alejandro D’Alba of Marcus & Millichap brokered the deal. The buyer is a Miami-based investor.

“This was a tremendous opportunity to purchase a property with in-place cash flow and continue to operate it with minimal management of the retail portion and run the residential units as yearly apartments or short term rentals,” Sandelin said in a statement.

The building includes a 6,394-square foot retail space and nine apartments totaling 2,929 square feet. The retail portion is currently leased to Art Deco Market.

“Washington Avenue has long been the most neglected street in South Beach,” Issenberg said in a statement. “With record breaking prices on the other main corridors of Alton, Lincoln and Collins, along with the prospects of a zoning density increase for the east side of the street, Washington Avenue has become a desirable target for investors that are looking to get into this market.”

In March, a hospitality group paid $6.2 million for a mixed-use building at 1334 Washington Avenue, six times its last sale price in 1993 with plans for redevelopment.