Lennar HQ in Miami Trades for $40M
The Fortune 500 company developed the office complex between 1982 and 1993. The property has served as the firm’s headquarters ever since.
By Timea Papp
Lennar Corporate Center
Lennar Corporate Center, a four-building office complex totaling 289,986-square-feet in Miami’s Airport submarket, changed hands in a $40 million deal. HFF represented the seller, Boston-based Colony Realty Partners, and procured buyer Naya Umi LLC, a partnership between Naya USA Investment and Management and Coast Capital Partners. Berkadia secured $28.6 million in acquisition financing to facilitate the deal.
Located at 700, 730, 760 and 790 NW 107th Ave., Lennar Corporate Center was developed by Lennar Corp. between 1982 and 1993 and has served as the firm’s headquarters since 1982. Lennar Corp., a Fortune 500 company, has spent more than $6.1 million in improvements to their space in the last four years. Additionally, the complex is home to entities related to Lennar, including Rialto Capital Management, Eagle Home Mortgage and North American Title Co. These firms occupy approximately 60 percent of the property.
Earlier this year, in June, an affiliate of Rialto Capital Management sold a historic office building in downtown Baltimore.
10-year loan term
Berkadia’s South Florida finance team of Managing Director Christopher Apone and Senior Managing Director Charles Foschini arranged the 10-year, partial interest-only loan through a CMBS lender, with a 72 percent loan-to-ratio value.
“Given the high concentration of the anchor tenant and remaining lease term, it was critical to find a lender that could structure around potential rollover events and was comfortable with the asset and tenancy,” said Apone, in prepared remarks. “After running a process and narrowing down potential lenders to a short list, we selected a CMBS lender that exhibited the knowledge and ability to reliably fund the loan while structuring a very creative leasing reserve that allows the borrower to maintain cash flow and effectively deal with any future rollover events,” added Foschini.
The HFF investment sales team representing the seller included Senior Managing Director Hermen Rodriguez, Senior Director Ike Ojala and Director Tracey Goo. The property was sold free and clear of debt.
Lennar Corporate Center sits next to the entrance and exit ramps of Dolphin Expressway, the main east-west thoroughfare in Miami. Dolphin Expressway connects to Florida’s Turnpike, Palmetto Expressway and Interstate 95, allowing access to a workforce spanning almost all suburban Miami-Dade and Broward counties. The surrounding area has numerous retail, dining, hotel and entertainment options, including Dolphin Mall, Simon Property Group’s Miami International Mall and Miami’s first IKEA store.
Image courtesy of Yardi Matrix
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