Single-Story Sawgrass Plaza Trades for $155K Per SF

SUNRISE, FL-A private South Florida investor has paid almost $9.4 million, or just more than $155 per sf, for the 60,168-sf Sawgrass Business Plaza. The three-building office complex was 90% occupied at the time of the sale.

“This is one of the highest prices paid for a one-story office project in the region,” says John F. Bell, SVP of the Miami office of Trammell Crow Co. and head of TCC’s South Florida investment sales group. He represented the seller, CRT-SFV LLC, which he identifies as a regional management firm. The buyer, identified as Sawgrass Business Plaza LLC, was represented in house.

Bell tells GlobeSt.com, “a lot of the office product here has sold in the range of $120 per sf to $130 per sf.” He attributes the higher price for this property to its “prime location in this premier park, a strengthening of the regional office market and opportunity for rising rates. The property has a good tenancy and a lot of upside.” Current tenants include Office Depot Business Services, Bioheart and the State of Florida Police Retirement Association.

Rental rates in the property are now in the range of $12 per sf to $13 per sf, according to Bell. He predicts, “they’ll go up $1 per sf to $1.50 per sf within the next six months, and there will soon be growth of about $2 per sf.”