Pompano Beach’s industrial submarket is garnering attention from institutional investors. Invesco Real Estate picked up two warehouses on the heels of Blackstone subsidiary Link Logistics buying an industrial facility in the same city.
An affiliate of Dallas-based Invesco, led by CEO Scott Dennis, paid $23.8 million for two facilities spanning nearly 105,000 square feet at 1280-1300 Northwest 22nd Street and 2151 Blount Road in Pompano Beach, records and real estate database Vizzda show. The deal breaks down to $227 per square foot.
A CBRE team led by Jose Lobón and Frank Fallon represented the seller, an affiliate of Denver-based Ares Industrial Real Estate Investment Trust. Ares paid a combined $8.9 million for the 5.7-acre site in 2016, records show.
The two buildings, completed in 1986, are fully leased, a press release states.
Recently, Blackstone’s Link purchased a manufacturing and distribution facility in Pompano Beach for $20.7 million. The property is fully leased to The Shade Store. And last year, Link acquired a distribution center in Pompano Beach for $28.6 million. Completed in 2007, the 124,000-square-foot warehouse is leased to Whole Foods.
With 25.3 million square feet of inventory, Pompano Beach is the largest industrial submarket in Broward County, according to CBRE. The submarket had a 3.5 percent vacancy rate in the first quarter.
Invesco is on an industrial expansion spree. In December, the firm bought a minority stake in Faropoint, an industrial-focused real estate firm based in Hoboken, New Jersey. Terms of the deal were not disclosed. At the time, Invesco executives said investing in Faropoint would give the firm a foothold in last-mile and urban infill submarkets, including South Florida.
For instance, also in December, Faropoint paid $24.6 million for three warehouses spanning 142,415 square feet in Opa-locka.
Invesco has 70 million square feet across the country in its industrial portfolio, the firm’s website states.