The Real Deal Miami

Duke Realty inks tenants for spec warehouse in Pompano

Triple-net asking rents started at $7.65 per square foot

February 12, 2016 03:00PM
By Katherine Kallergis

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Pompano Commerce Center II

Pompano Commerce Center II

World Electric Supply and Armstrong Relocation signed leases with Duke Realty for the Pompano Commerce Center II, one of two spec warehouses the REIT recently completed. 

Pompano Commerce Center II interior

Pompano Commerce Center II interior

Duke Realty would not disclose the tenants, but according to CoStar data, World Electric Supply signed a lease for 38,544 square feet and Armstrong Relocation for 51,456 square feet. The building, at 3101 Northwest 27th Avenue, is one of two new warehouses in the four-building Pompano Commerce Center. It totals about 90,000 square feet.

Triple-net asking rents started at $7.65 per square foot for the World Electric Supply space, according to CoStar, which comes out to $294,861 annually. For the Armstrong Relocation space, asking rents were $7.75 per square foot, triple-net. That comes out to $398,784, annually. World Electric, which was founded in North Miami Beach, is a distributor of electric products, solar panels and other energy services in the Southeast. Armstrong is a moving and relocation company already based in Pompano Beach.

Pompano Commerce Center II was delivered in November.

Duke Realty, which specializes in industrial real estate, owns the complex, which is near the Florida Turnpike and I-95. In a press release, Ed Mitchell, senior vice president of Duke Realty’s Florida operations, said the leases are indicative of the ongoing demand for new distribution space in the market. Vacancy rates have decreased slightly year-over-year, while asking rents in the overall market have increased by 6.8 percent year-over-year to $8.34, according to CoStar.

Along with Gramercy Property Trust, Duke Realty sold its stake in a Weston office park in January. Together, they sold the four-building office campus for about $115 million.