Miami — South Beach Tristar Capital LLC has sold a 56,260-square-foot, mostly retail portfolio in Miami, for $139 million. A joint venture between Terranova Corp. and Acadia Realty Trust (NYSE: AKR) acquired the portfolio in an all-cash transaction.
The portfolio includes properties located along Lincoln Road in the heart of Miami's South Beach district. The assets are fully occupied with tenants such as Aldo, Fossil, Kiehl's, Steve Madden and Dylan's Candy Bar.
In 1998, Tristar purchased the portfolio for approximately $15.8 million, or $295 per square foot.
"When we acquired the portfolio in 1998, we were considered pioneers. But we saw this as an emerging market and had the vision that Lincoln Road could become one of the great shopping streets in the country alongside Madison Avenue, Michigan Avenue and Rodeo Drive," said David Edelstein, president of Tristar Capital. "The time has come to execute our disposition strategy and to deploy our assets into new emerging markets."
RKF, along with The Ackman-Ziff Real Estate Group, represented Tristar in the transaction. According to the companies, this sets a new record sale price for Florida retail. Vornado Realty Trust acquired 1100 Lincoln Road for $132 million in July, which was the highest price paid for a Florida retail property in 2012.
Miami Beach-based Terranova was founded in 1980. The firm provides property management, leasing, tenant representation, financing, construction management and development services for a variety of property types.
Acadia Realty Trust is an equity real estate investment trust based in White Plains, N.Y., that focuses primarily on the ownership, acquisition, redevelopment and management of retail properties. Acadia's stock price closed at 25.38 on Wednesday, up from trading at 19.46 per share this time last year.