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SOUTH MIAMI INDUSTRIAL PORTFOLIO | INVESTMENT HIGHLIGHTS
The Offering
Cushman & Wakefield has been retained as the exclusive advisor for the sale
of the South Miami Industrial Portfolio (“Portfolio” or “Properties” or “SoMi
Industrial Portfolio”), an 11 building, 366,415 SF portfolio of functional, primarily
small-bay warehouse product.
Clustered around a strategic industrial node
serving Southern Miami-Dade County near the crossroads of Florida’s
Turnpike and South Dixie Highway (US 1), the Portfolio is well positioned
to serve the needs of the densely populated trade area and surrounding
expanding residential communities.
The small bay product format caters
to the smaller entrepreneurial businesses that dominate the South Florida
economy, where nearly one out of every 10 adults owns a business and small
businesses are estimated to comprise roughly 90% of the economy.
The Portfolio enjoys superior access to Florida’s Turnpike, with 10 of the 11
buildings within one mile of Quail Roost Drive.
Additionally, several buildings
benefit from frontage and visibility along major roads, including Quail Roost
Drive, SW 106th Avenue (the main road leading to The Home Depot) and
the Turnpike, which is strategic from an advertising standpoint. Sign calls
from these high-traffic locations are a huge leasing driver for the Portfolio
and has kept occupancy at an elevated level.
With more than 200 tenants,
the Portfolio’s critical mass of product offers true economies of scale and
the flexibility to accommodate a wide variety of tenant sizes, industries
South Dade Industrial Center
and needs ranging from “quasi-retail” and services to light manufacturing
and self-storage.
The proximity of the assets to one another allows for key
personnel and leasing staff to be more optimally utilized across the Portfolio,
which in turn helps to reduce operating expenses.
The leases have been
strategically structured with short terms to allow for rental rate increases in
an improving market.
The favorable leasing dynamics in the industrial micro-
market (comprising a triangle bound by Eureka Drive, Florida’s Turnpike and
South Dixie Highway), which boasts a vacancy rate of only 1.6% (as of mid-
November, 2016), positions the Portfolio for further rental rate increases in
the near term.
The Portfolio’s tenants enjoy the wealth of amenities and drivers in the
immediate vicinity including the 983,846 SF Southland (regional) Mall, The
Home Depot, numerous commercial business located along the thriving
South Dixie Highway commercial corridor, and a myriad housing options.
Waves of attractively priced single- and multi-family developments (see
Market Overview section) spreading southward have contributed to robust
population growth in the area, which is projected to grow by nearly 10%
between 2015-2020. Additionally, there is a proposed plan to extend the
MetroRail south from Kendall (SW 88th Street) to the Homestead area via
the existing South Dade Busway, which would dramatically improve the
transportation infrastructure surrounding the Portfolio and enhance overall
connectivity to the rest of Miami Dade County.
366K
Square Feet
97.1%
Leased
$2.6M
In-PlaceNOI
11
Buildings
$
31KSF
Development Potential
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