A pair of office towers in Naples sold for $55.5 million, making the properties one of the biggest Southwest Florida real estate sales of the year in terms of money spent. It’s also the most lucrative office building transaction of the year.
The Offices at Pelican Bay are two, six-story buildings totaling 177,557 square feet. Three investment firms – Apollo Global Management, Miami-based SQUARE2 Capital and Steelbridge Capital – combined to buy it for $33.6 million in 2014.
Those three entities sold it to the new buyer, Pelican Bay Boulevard LLC, which has an address of 292 14th Ave. S. in downtown Naples, according to public records. The building at that address is owned by the Hoffmann Family of Companies.
Patrick Fraley, a partner with Investment Properties Corp. of Naples, brokered the deal on behalf of the buyer. Fraley said the buyer wants to remain anonymous for now and that the Hoffmanns were not the buyers.
“It’s nine acres right off 41,” Fraley said. “It’s a good cap rate, solid tenant mix. It’s safe in a hot real estate market. They saw a good opportunity to place some money. There’s some upside on it. There’s a lot of demand in the office market with people moving to town.”
The towers are located at 5801 and 5811 Pelican Bay Blvd. on almost 10 acres at the intersection of Pelican Bay Boulevard and Tamiami Trail North. It’s near Waterside Shops, Artis—Naples and the Pelican Bay community. Wells Fargo bank is one of the bigger tenants.
“Florida’s business-friendly and tax-friendly environment continues to attract new to market companies and investors to the market,” said Matthew McCormack, director of JLL Capital Markets, the Miami-based firm that represented the sellers. “As a result, we are finding investor interest continues to grow for well-located office properties with value-add components such as The Offices at Pelican Bay.”