Lionstone Development is looking to sell its office space at 605 Lincoln Road, listing broker Alex Zylberglait told The Real Deal.
Lionstone, headed by CEO Diego Lowenstein, is based out of the fifth-floor office condo at the former Sony Music Building, now the Compass building. Zylberglait, of Marcus & Millichap, is marketing the 10,228-square-foot floor for $5.475 million, or $535 per square foot.
Zylberglait said Lionstone is considering relocating. A spokesperson for the hospitality firm confirmed Lionstone is listing the space, but did not comment further. The company’s portfolio includes the Ritz-Carlton Bal Harbour and the Ritz-Carlton South Beach.
The Miami Beach market, and Lincoln Road especially, lacks new office development, Zylberglait said. The vacancy rate in Miami Beach is 6 percent and likely lower in South Beach, he said, citing data from the CoStar Group. “It’s virtually impossible to find this kind of space in this submarket in general,” he said.
Property records show Lionstone affiliate Argenta Holding LLC paid $3.32 million for the floor in 2005, the same year the entire floor was renovated. It has impact windows, upgraded lighting and modernized systems, according to a release.
Built in 1932, 605 Lincoln Road is also home to Compass’ new office, leased on the seventh floor. Lionstone completed development work in 2013, including spending more than $1 million in upgrades to the common areas, and manages the building, according to its website.
CoStar data from earlier this year shows the entire sixth and seventh floors, with 20,600 square feet combined, are on the market for $22.5 million, or $1,092 per square foot.
Brokers listing the ground-floor retail space said in January that it could fetch $30 million, or about $3,000 per square foot. Thor Equities and ASB Capital Management own the retail condo, leased to Starbucks, Journey’s and Oakley, with Lush as a sub-tenant of Starbucks.