The Real Deal Miami

Hines sells Doral office building, CVS to Rialto Capital Advisors: $56M

Lennar subsidiary financed the deal with a $40.2M mortgage

September 07, 2016 09:45AM
By Katherine Kallergis

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Doral Corporate Center I and Jeff Hines

Doral Corporate Center I and Jeff Hines

A Hines fund just sold a portion of the Doral Corporate Center to an affiliate of Rialto Capital Advisors for $56.25 million. 

Records show Hines VAF II Doral LP sold a building at the office park to Rialto’s RREF III-P Doral Office LLC, as well as a new CVS pharmacy on the northeast corner of 87th Avenue and 36th Street. Rialto financed the deal with a $40.2 million mortgage from JPMorgan.

CVS has the ground lease for the 2.8-acre corner, which was previously used as a surface parking lot. It sold for $7.5 million, while the office building sold for $48.75 million. Rialto acquired Plaza I, a seven-story, 139,581-square-foot building at 8750 Northwest 36th Street.

Plaza II, a seven-story, 136,749-square-foot office building on the southeast corner of the block, was not included in the deal.

The Texas-based private investment firm, on behalf of its U.S. Office Value Added Fund, acquired all three properties, a 13.6-acre site, in 2006 for $55.75 million. Hines mortgaged the Class A office complex in 2014 with a $26.7 million loan from TD Bank. Late last month, the company recently sold its stake in a Broward shopping center to an apartment developer for nearly $28 million.

Rialto is a subsidiary of Lennar Corp., the Miami-based homebuilder with its headquarters nearby. The company focuses on diversified real estate investment, management, development and finance.

Rialto also just sold a West Kendall shopping center for $18 million, a $300,000 loss, to IMC Equity Group.