Despite the overwhelming number of store closures across the country, South Florida appeared to be an exception for retail investment and development in 2017.
Neighborhoods like Wynwood, the Design District and Brickell continued to establish themselves as retail destinations, with projects like Brickell City Centre opening the rest of its stores and the expansion of Aventura Mall.
But a majority of the priciest retail deals this year were for shopping centers in Broward County, with the exception of the $283 million sale of 1111 Lincoln in Miami Beach.
Here are the top five retail sales to close this year:
Bayerische Versorgungskammer buys 1111 Lincoln for $283M
1111 Lincoln Road
German institutional investor Bayerische Versorgungskammer is known for buying trophy properties in United States, and in July it did just that in Miami Beach with the $283 million purchase of Robert Wennett’s 1111 Lincoln.
BVK, one of the largest institutional investors in Germany, owns retail and office properties worth at least $1.6 billion in cities like New York, Chicago and Los Angeles.
CBRE Global Investors and German investment firm Universal-Investment purchased the property on behalf of BVK, and financed the deal with a $66.85 million mortgage from HSBC.
The mixed-use parking garage, known for its Herzog & de Meuron design, is at the northwest entrance of the Lincoln Road mall, and includes 94,488 square feet of office space, 51,839 square feet of retail space, and a 300-space parking garage/event space.
Retail REIT pays $163M for Pembroke Pines shopping centers
Pembroke Pines properties. Inset: InvenTrust CFO and CIO Michael E. Podboy
In February, Oak Brook, Illinois-based InvenTrust Properties Corp. spent $163 million on two shopping centers in Pembroke Pines.
InvenTrust bought Paraiso Parc at 15701 and 15703 Pines Boulevard for $64 million and Westfork Plaza, at 15805-15999 Pines Boulevard, for $98.94 million.
New York-based investment manager DRA Advisors sold the properties, which included about 389,000 square feet of planned expansion space. Publix, Costco, Regal Cinemas, Ross and TJ Maxx were among the anchors.
TH Real Estate drops $49M on Promenade Shopping Plaza in Palm Beach Gardens
Promenade Shopping Plaza and Manuel Martín
TH Real Estate, an affiliate of TIAA Global Asset Management, paid $49.3 million for the Promenade Shopping Plaza in Palm Beach Gardens in April.
The deal for the 202,696-square-foot retail center at 9800-9900 Alternate A1A broke down to $243 per square foot. It sold 97 percent occupied, with tenants like Publix, Bealls Outlet, Planet Fitness, Club Outlet Store and CVS.
PGIM Real Estate picks up two shopping centers in Fort Lauderdale for $49.2M
Trader Joe’s at 1560 North Federal Highway
In June, PGIM Real Estate spent $49.2 million on a Trader Joe’s-anchored plaza in Fort Lauderdale.
The properties at 1520 North Federal Highway and 1550 North Federal Highway total 65,338 square feet and sold for $735 per square foot. Tenants also include Anthony’s Coal Fired Pizza and an XFINITY Store by Comcast.
Halvorsen Holdings, which paid $25.2 million for the land in 2014 and later developed it, sold the adjacent shopping centers.
PGIM is no stranger to South Florida. The New Jersey-based real estate investment firm is an equity partner with Related Group’s and Shoma Group’s CityPlace Doral apartment tower.
Zurich Insurance pays $48M for Coral Springs shopping center
Royal University Plaza, Warren Weiser, Andrew Remick and Alan Esquenazi
In June, a joint venture between CREC and Lubert Adler Real Estate Funds sold Royal University Plaza, a 100,000-square-foot shopping center in Coral Springs for $48 million.
The CREC-Lubert Adler joint venture bought the 10-acre property 45 percent leased in 2015 for $26 million – nearly less than half of what it sold it for. It sold the shopping center this summer to New York-based Zurich Alternative Asset Management at 98 percent leased. The buyer is a subsidiary of Zurich Insurance Group.
Royal University Plaza, at 2556 North University Drive, traded hands for more than $415 per square foot in an off-market sale. Tenants include Pet Supermarket, Jimmy John’s and Brooklyn Water Bagel Co.