KBS has sold Weston Corporate Center, a two-building Class A office portfolio located in Weston, Fla. An affiliate of Banyan Street Capital paid $52.3 million for the recently renovated property that comprises a total of 149,103 square feet.
Built in 1997 and 1998, the four-story buildings were 94 percent leased at the time of the transaction. According to CommercialEdge data, KBS purchased the properties back in 2015, when it paid $22 million for 2500 Weston Road and $24.8 million for 2700 S. Commerce Parkway.
Over the last three years, KBS has continually upgraded the assets. The atrium lobbies received new furniture and a coffee bar, while the HVAC system and LED lighting features were also improved. The parking lot was refreshed, along with the outdoor seating amenities.
The buildings are situated just off Interstate 75 and offer easy access to interstates 595 and 95, with central Miami 30 miles southeast and Fort Lauderdale 18 miles away. Weston Corporate Center has a parking ratio of 4.7 spots per 1,000 square feet.
An active market
According to Marc DeLuca, eastern regional president for KBS, Broward County has seen a 13.2 percent population growth in the last ten years and has a current unemployment rate below South Florida’s average.
CBRE’s Christian Lee and Jose Lobon acted as exclusive advisors for the seller in the disposition. In January, KBS sold another two-building, Class A portfolio in Phoenix. TerraCap bought the revamped property in a $103.5 million deal.
The Miami office market has seen growing interest from investors, as transaction volume and average price per square foot both increased year-on-year in the first quarter of 2021, according to CommercialEdge. Along with Phoenix, it was the only market in the U.S. to register spikes both in volume and price. By the end of March, Miami office transactions amounted to $395 million in 2021, the figure expanding roughly six times compared to the same period last year.