Javier Cervera Jr. sells North Miami apartments for $10M in 1031 exchange
Fully leased buildings were constructed in 1960s
Javier Cervera Jr.’s real estate company sold three North Miami apartment buildings for a combined $10.1 million, as part of a 1031 exchange tied to its recent purchase of Tropical Park Plaza, The Real Deal has learned.
Cervera Real Estate Ventures sold the two-story adjacent properties spanning 1.2 acres at 1505 and 1525 Northeast 135th Street, as well as at 1530 Northeast 136th Street. The buyer is an entity tied to New York-based real estate investment firm SixPine, led by Haig Sarkissian, according to records.
SixPine bought the property on behalf of its investors, Sarkissian said.
The buildings have a combined 56 units and were constructed from 1963 to 1964, according to property records. They last traded in 2015 for $4.9 million.
The portfolio is fully leased, Cervera Jr. said. The 1031 exchange allowed his company to use the proceeds of the sale toward its recent $25.3 million purchase of the Tropical Park Plaza near Westchester, he told TRD. The retail deal was financed with other funds as well.
The federal program, named for the IRS Code’s Section 1031, allows a federal income tax deferral for capital gains from the sale of one investment property in exchange for putting the funds toward another investment property.
Cervera Real Estate opted to sell its multifamily properties in North Miami and purchase Tropical Park Plaza, as retail “is more in line with” the company’s focus, Cervera Jr. said.
In 2018, the company bought a Hialeah shopping center for $11.3 million. Records show Cervera Real Estate still owns it.
The Cervera family has been active in South Florida real estate since the 1960s. Alicia Cervera, Javier Cervera Jr.’s mother, founded the Cervera Real Estate brokerage, and many family members are involved today. Cervera Real Estate Ventures and Cervera Jr. are not affiliated with the brokerage firm.