The Real Deal Miami

Publix pays $13M for building on Miami Beach’s Alton Road

Sellers nearly tripled their money after six years
By Sean Stewart-Muniz | April 05, 2016 03:15PM

1845 Alton Road and William Crenshaw, CEO of Publix Super Markets

1845 Alton Road and William Crenshaw, CEO of Publix Super Markets

Publix has continued its real estate shopping spree into the new year.

The grocer giant recently paid $12.85 million for a property on Miami Beach’s booming Alton Road.

As first reported by the South Florida Business Journal, county records show the grocery chain bought the 13,694-square-foot Walgreens at 1845 Alton Road in a deal that closed last week. Walgreens still has 13 years left on its double-net lease and is paying a “fraction of current market rate rent,” according to a LoopNet listing for the property.

It’s directly next to Publix’s 23,520-square-foot store at 1045 Dade Boulevard, which enjoys visibility on Alton Road and Dade Boulevard, both high-traffic streets.

The seller was a company called Windsor Investments, managed by Roland Digasbarro — the same managing member of the company that sold David Beckham land in Overtown for his soccer stadium last month.

Windsor paid $3.3 million, or about $240 per square foot, for the Alton Road Walgreens in 2010, according to county records. Now, the company has traded its property for $938 per foot — nearly triple the price it originally paid.

Publix went on a veritable real estate buying spree last year as part of its announced $1.3 billion campaign to invest in properties, build new stores and upgrade their technology.

The company bought a slew of shopping centers anchored by its stores, including a $53 million retail strip in Wellington formerly owned by the Federal Realty Investment Trust, co-owners of Miami’s CocoWalk and Sunset Place retail centers.