From the South Florida Web site: In boom years, office condos took the South Florida commercial real estate market by storm, just like every other innovation in a bubbling market. In 2007, interest came to a screeching halt. Now the concept — in which businesses own units of a larger building and pay for common area upkeep — is reemerging with a twist: lease-to-own. The office condo market stalled because many industry watchers expected 2007’s all-time high office rental rates to nosedive in 2008, making purchasing a lose-lose proposition in the face of tighter credit and higher down payments. But rental rates didn’t decline at most properties. According to Cushman & Wakefield’s fourth-quarter Miami office report, the market notched an overall rental rate average of $30.87 per square foot in 2008, up 6 percent from 2007. From a logical perspective, companies looking to lease should entertain a lease-to-purchase option in the current economy, said Alan Kleber, a senior director at Cushman & Wakefield’s Miami office.
Lease-to-own office trend expected to gain momentum
New York /
Feb.February 27, 2009
10:44 AM
Related Articles
arrow_forward_ios

Ruby Schron lands $500M refi for sprawling Queens apartment portfolio

Wendy Silverstein, co-head of WeWork’s real-estate fund, is out

Real estate stocks hold gains even as market doesn’t

Texas Realtor faces criminal charges for role in Capitol attack

Council bill favoring nonprofits for affordable housing will hurt minority-led firms: developers
arrow_forward_ios