Keystone Property Group buys Dadeland office towers for $36M

AvMed is leasing back 102,000 square feet

Miami /
Jun.June 19, 2017 04:15 PM

Keystone Property Group paid $36 million for Dadeland Towers South and inked a lease with the seller, insurance giant AvMed.

For Keystone, the deal adds to its holdings in the Kendall-Dadeland area. The commercial real estate firm picked up the two-building, 228,000-square-foot portfolio at 9400 to 9500 South Dadeland Boulevard, plus a 246,300-square-foot parking garage. AvMed leased back 102,000 square feet in a longterm lease, according to a press release.

Avison Young’s John K. Crotty and Michael T. Fay, principals, and Barry D. Lapides of Berger Singerman LLP represented Keystone in the purchase.

Keystone already owned Dadeland Towers North, three buildings and a parking garage on the northern section of the property, which is 89 percent leased. The Kendall submarket reported an 8.5 percent vacancy rate for the first quarter of this year, according to Avison Young. Office rents are also up as new office supply lags behind apartment and mixed-use development in the area.

Keystone plans to upgrade the exteriors, common areas and landscaping at Dadeland Towers South. Keystone president Richard Gottlieb said in the release that the buildings are positioned well for new construction, and that the firm looks for developable properties in transit-oriented areas.

Development in the Dadeland submarket includes the Motion at Dadeland, a luxury rental project by Adler Group and 13th Floor Investments, Greystar’s plans to convert an office building into luxury senior housing, and Jimmy and Kenny Tate plan to redevelop a commercial building and lot at 7300 North Kendall Drive.

In August, an investment group led by ABS Partners Real Estate and Acre Valley Real Estate Capital paid $150 million to acquire the Datran Center, a two-tower office complex nearby at 9100 and 9130 South Dadeland Boulevard. – Katherine Kallergis

 

Related Articles

arrow_forward_ios
(Photos courtesy of Miami Historic Preservation, Smith Aerials, Colliers)
Development site near MiamiCentral hits the market
Development site near MiamiCentral hits the market
Alliance Residential Company CEO Bruce Ward and 6595 Morikami Park Road (Google Maps)
Alliance Residential buys site, scores $46M construction loan for senior apartments in Delray Beach
Alliance Residential buys site, scores $46M construction loan for senior apartments in Delray Beach
Arbor Management Acquisition Company heads Ivan Kaufman and Maurice Kaufman with a rendering of Aventura Park (Anillo Toledo Lopez, iStock)
Arbor Management buys multifamily dev site near Aventura for $10M
Arbor Management buys multifamily dev site near Aventura for $10M
(iStock)
South Florida resi construction starts soar in March
South Florida resi construction starts soar in March
2965 West Corporate Lakes Boulevard and Black Creek Group CEO Raj Dhanda (Credit: Google Maps, Blue Vault)
TIAA sells Weston warehouse for $33M
TIAA sells Weston warehouse for $33M
State report finds open gas valve fueled building explosion at Plantation shopping center
State report finds open gas valve fueled building explosion at Plantation shopping center
State report finds open gas valve fueled building explosion at Plantation shopping center
Bayside Marketplace is planning another high-rise entertainment venue with a view
Bayside Marketplace is planning another high-rise entertainment venue with a view
Bayside Marketplace is planning another high-rise entertainment venue with a view
Construction of downtown Hollywood high-rise may start soon
Construction of downtown Hollywood high-rise may start soon
Construction of downtown Hollywood high-rise may start soon
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...