Miami-based Fifteen Group just sold FedEx’s downtown Miami building for $37.25 million, nearly double what the investment firm paid in 2014.
Fifteen Group sold the 110,000-square-foot “last mile” logistics facility at 200 South Miami Avenue after putting it on the market earlier this year with Cushman & Wakefield’s Robert Given.
The buyer was not disclosed and the sale has not yet been recorded online. The deal breaks down to about $340 per square foot.
The building is net-leased to FedEx until 2029 with a five-year renewal option. Starting in 2019, rent will be $14.82 per square foot, triple-net, with 2.5 percent increases each year thereafter, according to listing information.
Fifteen Group, led by Mark and Ian Sanders, purchased the site for $19 million in 2014, property records show. The building was built in 1999.
The 1.4-acre property could also be redeveloped. Current zoning allows for 2 million square feet and up to 1,395 units. Justin Toal, chief investment officer and senior principal, said in a statement that the firm was “able to negotiate a long-term extension with FedEx at an attractive rent and subsequently offer an excellent product to the investment market.”
The same year it acquired the FedEx building, Fifteen Group paid $14.25 million for a former Christian Science church at 256 Northeast 19th Street, on which it has sought to build a garage or condominium on top or alongside the church. Also in 2014, it sold a Midtown Miami land assemblage for $12.3 million. – Katherine Kallergis