Ivy Realty acquires South Beach, FL offices

An affiliate of New Jersey-based Ivy Realty has bought a pair of office buildings in South Beach for $48.75 million. Located at 1674 and 1688 Meridian Ave., the first building has 30,132 sqf over three stories while the second has 89,834 sqf covering nine stories. The deal also includes 0.7 acres of land at 1699 to 1719 Jefferson Ave. that’s currently utilized for parking. The seller, Terranova Corp., bought the buildings in 2004 for a combined $27 million. Built in 1959 and 1961 respectively, the buildings’ tenants tenants include Regus, Next Model Management, Verizon Wireless, Barclay’s Real Estate Group, SCPF and Merchant Data Systems. The office buildings were 69 percent leased at the time of the sale.

“There are enormously high barriers to entry for office space in Miami Beach with virtually no new inventory in nearly a decade and no new construction on the horizon,” said Rusty Warren, Co-CEO of Ivy Realty. “Once we revitalize Miami Beach Towers in the tried and true formula we’ve employed with other office buildings in South Florida, we expect occupancies to soar. It’s a stellar addition to our 1.7 million square-foot office portfolio in South Florida, and the plans for Lincoln and Meridian Roads’ transformation will only add to Miami Beach Towers’ future value.”