PINELLAS PARK, Fla., September 14, 2021– Marcus & Millichap (NYSE: MMI), a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, announced today the sale of a three-property portfolio totaling 22,631-square-feet located in Pinellas County, FL, according to Ryan Nee, first vice president and district manager of the firm’s Miami office. The combined asset sold for $13,650,000.
Gabriel Britti and Ronnie Issenberg, senior managing directors, and Jonathan Gerszberg, first vice president investments in Marcus & Millichap’s Miami office, had the exclusive listing to market the property on behalf of the seller, a local developer. The buyer, a limited liability company, was also secured and represented by Britti, Gerszberg and Issenberg.
“When we listed these assets, Florida was beginning to come out of lockdowns and we sensed the pent-up demand,” explains Gerszberg. “We priced the portfolio aggressively, at a 5.50% cap rate, even though there was no precedent for that.”
“1031 [exchange] demands have been at record highs,” added Britti. “We knew we could push the price because these are best-in-class assets, and there has been a tremendous shortage of inventory post-Covid-19. These factors allowed us to sell three to five tenant assets at prices we never would have dreamed of pre-Covid-19.”
According to Issenberg, “This market is a perfect storm for net-leased developers: inventory shortage, low-interest rates, and tremendous buyer demand. You can really push values to new highs during these Goldilocks moments in the cycles.”
The three shopping centers are situated in a top-tier area of Pinellas County, with high visibility and tremendous traffic via easy access to major thoroughfares. The portfolio includes 4049-4057 Park Blvd. in Pinellas Park for $5,172,654, 9040 Ulmerton Rd. for $4,003,000 and 10125 Ulmerton Rd. in Largo for $4,474,346. The entire portfolio features Class A, nationally and internationally known tenants and services, including Wingstop, Five Guys, Club Pilates, Filipino food chain – Jollibee and American Family Care center.
About Marcus & Millichap (NYSE: MMI)
With over 2,000 investment sales and financing professionals located throughout the United States and Canada, Marcus & Millichap is a leading specialist in commercial real estate investment sales, financing, research and advisory services. Founded in 1971, the firm closed 8,954 transactions in 2020 with a value of approximately $43 billion. Marcus & Millichap has perfected a powerful system for marketing properties that combines investment specialization, local market expertise, the industry’s most comprehensive research, state-of-the-art technology, and relationships with the largest pool of qualified investors. To learn more, please visit: www.MarcusMillichap.com.