The Real Deal Miami

Waterfront apartment building in Fort Lauderdale could sell for $160M, broker says

Cushman tapped to sell Broadstone Harbor Beach
By Katherine Kallergis | September 19, 2018 10:30AM

Broadstone Harbor Beach and Robert Given

Alliance Residential is looking to sell a newly completed luxury apartment development in Fort Lauderdale, which could sell for $160 million to $170 million based on comparable sales, according to broker Robert Given.

Alliance completed Broadstone Harbor Beach, a 394-unit waterfront building at 1721 17th Street, in 2017 and just hired Cushman & Wakefield’s Given, Zachary Sackley, Troy Ballard and Neal Victor to list the property.

“Typically we would see large institutional investors wanting to buy the property as well as a high number of high-net-worth individuals or private offices out of New York,” Given said.

He expects the 359,000-square-foot building to be 95 leased within three months. Units, which average 912 square feet, are renting for $2,000 to $3,000 a month. They include studios, one-bedrooms and two-bedrooms. Amenities include a fitness center, boxing and yoga studio, movie theater, pool with cabanas, dog park and massage room.

“It’s very rare to have a new rental building on the Intracoastal or the water in South Florida,” Given said. “Most are condo projects.”

Property records show Alliance Residential and Invesco Real Estate developed the 3.8-acre site. Harbor Beach Investors LLC paid $22.1 million for the property, just off the 17th Street Causeway, in 2015. The site used to house Ocean World, a controversial marine park that closed in 1994 after nearly 30 years of operation.

The property is next to the Broward Convention Center, which is in the midst of a $900 million renovation and expansion that includes adding an 800-room hotel and another 350,000 square feet of meeting space. A handful of hotels nearby recently sold, including the $170.6 million sale of the Hilton Fort Lauderdale Marina to Brookfield Asset Management.

Alliance and Invesco financed construction of the Broadstone building with a $66.5 million loan from Wells Fargo. Alliance has completed six residential projects in South Florida totaling 2,214 units, with another 526 units that are under construction, according to a release.