A portfolio of five commercial properties in downtown Miami is up for sale at a total of $40 million.
All of the listings can be redeveloped to scale higher than their existing two stories, said Mika Mattingly, a Colliers International Urban Core Division broker who listed the properties with colleague Cecilia Estevez.
Three of the properties in the portfolio are on prime downtown corners:
▪The 10,000-square-foot property at 100 N. Miami Ave. is on a corner about three blocks away from Bayside and borders the diamond district. Mattingly said the property may be developed to include a 360,000-square-foot bulding with 230 units.
▪The 15,157-square-foot retail center at 201 N. Miami Ave. is adjacent to where Related Group will build a 400-foot tower with 350 apartments, including micro units, on two lots at 225 and 233 North Miami Ave., according to the Real Deal. The corner property is also close to Miami Dade College and Virgin MiamiCentral.
▪The third corner property at 173 NE First St. spans 15,000 square feet and is a six-minute walk from where Moishe Mana recently broke ground on his Flagler Common project. The grounds can be redeveloped to a 360,000-square-foot building with 344 units.
▪The 7,200-square-foot space at 124 NE Second Ave. is a five-minute walk to soon-to-be-redeveloped Flagler Street.
▪The 4,863-square-foot retail location at 129 N. Miami Ave. is located in Miami’s “Diamond District” and adjacent to the Metro Mall building.
The properties belonged to a Cuban family that fled the Caribbean island after Fidel Castro took over. They purchased buildings in downtown over the years to house their growing number of businesses, including a fabric shop.
The second generation of owners believe that now is the time to bring the properties to market as interest and redevelopment picks up in the neighborhood.
Mattingly and Estevez represent Mario Sapoznik, the portfolio’s managing partner and one of the family members who inherited the properties. Mattingly said the properties can be sold for a total $40 million or individually at different price points.
Prices vary depending on the property, ranging between what nearby Rick’s at 226 E. Flagler St. sold for in 2015 at $4.5 million, or $552 per square foot, to what La Época at 200 E. Flagler St. sold for in 2018 at $19.7 million, or about $395 per square foot.
Other sellers have placed their downtown commercial properties on the market. Mattingly said activity is picking up in the neighborhood thanks to the Flagler District Business Improvement District (BID).
“This is a forward-thinking BID; they are all investors, they have a hand in the game,” said Mattingly.
Despite sellers’ faith in the market and redevelopment happening in the area, the five properties are likely to sit for six to eight months before selling. “It may take a little bit longer for people to see the potential,” said Mattingly.