An Atlanta-based investor with a track record in South Florida has acquired a Class A office tower in downtown Miami and plans to spend millions of dollars on upgrades to make the 29-story property a “new talent hub.”
A subsidiary of Bridge Investment Group bought Museum Tower, a 259,666-square-foot building at 150 W. Flagler St. from Dallas-based Gaedeke Group. Terms of the sale were not disclosed, and the deed has not yet been recorded by Miami-Dade County.
Bridge said it plans to invest $4.5 million on amenities and other improvements. The Stearns Weaver Miller Weissler Alhadeff & Sitterson law firm is the largest tenant in the building, which also houses a Bank of America office, according to CoStar data.
“Bridge’s proven strategy for creating next-generation workplaces will allow Museum Tower to emerge as a new talent hub that appeals to both start-ups and established legal firms and corporations given the proximity to courthouse and transit with the benefits of an urban location,” Director of Asset Management Kelly Kuykendall said in a statement.
In March, Bridge spent $74.25 million to buy Sawgrass Technology Park northwest of Miami in Sunrise, Florida, and announced plans to spend $5 million to upgrade the 11-building campus to make it more inviting to young professionals.
The firm owns five other South Florida buildings: The Offices at Flagler Station and The Offices at Doral Square in Miami-Dade County; BayView Corporate Tower in Fort Lauderdale; 5601 Hiatus Road in Tamarac; and Fountain Square in Boca Raton.
Downtown Miami office rents have increased 1.4% year over year, with an average annual gain of 4.3% in the past three years, according to the latest report from CoStar Market Analytics. In the past four quarters, sales activity has totaled $193.8 million, “prolonging a multi-year stretch of good investment conditions,” the report stated.
For the Record
CBRE's José Lobón and Christian Lee represented the seller in the sale. The buyer did not have broker representation. The law firm of Kapp Morrison handled the closing.
