The Real Deal Miami

Portfolio of Collins Avenue Fashion District buildings in South Beach hits the market

Annual total net operating income is more than $3M

June 16, 2016 01:30PM
By Katherine Kallergis

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South Beach retail portfolio

South Beach retail portfolio

Jamestown is looking to sell a portfolio of retail buildings it owns in South Beach, including the Art Deco-style Victoria’s Secret site on Collins Avenue. 

The four buildings are being marketed together and separately, broker Luis Castillo told The Real Deal. He said together, they generate a total net operating income of more than $3 million. Castillo and Danny Finkle of HFF, along with Drew Kristol of Marcus & Millichap’s Institutional Property Advisors, are the listing agents.

Here are the properties, which total 43,809 square feet and 25 rental apartments.

  • 755 Washington Avenue, anchored by Adidas and Adriano Goldschmied Jeans: Jamestown paid $18.6 million for it in October 2015.
  • 727 Collins Avenue: the 25-unit apartment building includes 4,700 square feet of ground floor retail. Jamestown paid $12.3 million for the building in September.
  • 736 Collins Avenue: Miami Beach developer Scott Robins sold the 8,322-square-foot building to Jamestown in 2013 for $12.5 million.
  • 745 Collins Avenue, leased to Victoria’s Secret: Jamestown paid nearly $25 million for the three-story, 13,444-square-foot building in March 2015.

Other retail tenants in the neighborhood include Zara, Banana Republic, Aldo, Gap, H&M and Free People.

“The retail market is strong with a lot of energy and excitement going into Washington Avenue, from Fifth Street all the way to the convention center,” Castillo told TRD.

Washington Avenue is experiencing its own resurgence. The street’s new wave of redevelopment comes amid the city’s approval of new measures that are designed to increase hotel space and retail and dining opportunities on the street, which lags far behind Lincoln Road and Ocean Drive in attracting first tier retail, dining and hotel venues.

Developers Andrew Joblon of Washington Squared LLC and New York-based Imperial Companies are planning a seven-story hotel with 312 units at 601-685 Washington Avenue. And new restaurants announced for the area include Piola, Spring Brothers Irish Pub, and Cubiche 105.

Jamestown, based in Atlanta, is an active investor in the retail and multifamily markets in South Florida. The real estate investment and management company has about $11.1 billion of assets under management, according to its website.