Gatsby Enterprises pays $126M for 800 Brickell

It last sold for $112M in 2015

Jul.July 22, 2019 04:30 PM
800 Brickell, Jose Lobon and Chris Lee

800 Brickell, Jose Lobon and Chris Lee

Deutsche Bank’s RREEF sold a Brickell office building to Gatsby Enterprises for $125.5 million, according to sources.

Gatsby Enterprises, a New York-based real estate firm led by principal Nader Shalom, and Master Mind LLC, led by Babak Ebrahimzadeh, closed on 800 Brickell, CBRE said. The 2-acre property includes a 209,122-square-foot office building and an adjacent 9-story parking garage. The firm declined to comment on the price.

CBRE’s Christian Lee and José Lobón represented the seller, RAR2-800 Brickell LLC. Darryl Kaplan of Darryl R. Kaplan Company represented the buyer.

The office building is 71 percent leased with about 61,000 square feet of vacant space. Isaac Shalom of Gatsby Enterprises said in a release that the company plans to renovate the exteriors and common areas, as well as bring restaurants to the building. He said that Gatsby Enterprises plans to acquire additional properties in South Florida’s urban core markets.

Gross asking rents are currently in the low- to mid-$40s per square foot, which will rise after the buyers renovate the building, Lee and Lobón said. It hit the market in early February. Miami 21 zoning allows redevelopment equal to 16.5 floor area ratio, or up to 1.4 million square feet of building area and up to 80 stories in height.

“In the long run, ultimately, it’s a development site,” Lee said.

Tenants include Anheuser-Busch, Lufthansa, Prudential, Adler Real Estate Partners and Bo Concepts.

CBRE’s Amy Julian and Andrew Chilgren worked on the deal, and Colliers International South Florida’s Steven Hurwitz and Douglas Okun helped market the property.

RREEF, an arm of Deutsche Bank, paid $111.6 million for 800 Brickell in 2015. Guggenheim Investments and Stiles Realty sold the office building at that time.

Nearby at 888 Southeast Brickell Plaza, also known as 830 Brickell, OKO Group is planning to build a high-rise, 940,000-square-foot office tower with 15,000 square feet of retail space, 490,000 square feet of office space, and a restaurant on the 53rd floor.

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