Two brokers for commercial real estate firm Franklin Street closed the $3.1 million sale of a Lauderhill shopping center of which about one third — about 10,000 square feet — is vacant.
Game Properties Inc., a Coral Gables-based property investor, developer and manager, sold the building at 5101-5145 N. University Drive to Jorge Gonzalez’s ABC Construction Inc., a Miami-Dade County-based construction company.
Franklin Street director of South Florida retail investment sales Robert Granda and senior vice president Greg Matus, both in Plantation, represented Game Properties. The sale closed Dec. 8.
The building is 33,879 square feet and was built in the late 1980s, according to the Broward County Property Appraiser’s office.
The sale price breaks down to $92 per square foot.
The current tenants, a gym and a furniture and mattress store, take up about 20,000 square feet but the rest of the space, located in the middle of the building, is empty, Granda said.
It used to be that a Scan Design, the Orlando-based contemporary furniture store started by two Danes who came to Florida in the 1960s, had a store in the building.
When it closed, it was difficult to lease the space in the middle of the building, Granda said.
“A large reason for that is the … middle space didn’t have restrooms [and] the AC units were not consistent with what somebody would want in that size of a space. … There was some work that needed to be done in that space to get it rent ready,” Granda said. “The current ownership was just at a point that they didn’t necessarily want to put out the capital to make those improvements because they felt that they could just take the equity they have built over time and deploy it to different type of assets.”
It makes more sense for ABC Construction to revamp the property because it is a construction company and also owns two other shopping centers on University Drive, Granda said.
“From a logistics perspective, to pick up a third property in the same market makes sense,” Granda said. ABC Construction “is very comfortable in doing the construction work and plumbing on the property and doing the AC work and redoing the facade.”
Game Properties bought the property for $1.6 million in December 1994.