CBRE Arranges Sale of Class B Office in Fort Lauderdale

CBRE has arranged the sale of a 39,704-square-foot office property located at 2950 W. Cypress Creek Rd. in Fort Lauderdale, Florida. A private investor purchased the property for $9.25 million, a record-setting price for a Class B investment sale in the Cypress Creek submarket at more than $230 per square foot.

CBRE’s Benjamin H. Silver represented the seller, a Miami-based investment group, in the transaction.

"We're at a fascinating point in the market where I'm observing private suburban office deals, like this one, trading at even lower cap rates than institutional-grade assets," said CBRE Senior Vice President Mr. Silver.

The three-story building, built in 1986 and renovated in 2022, was 90% occupied at the time of sale. The property is directly adjacent to Fort Lauderdale Executive Airport and provides nearby access to Interstate 95, the Cypress Creek Tri-Rail station, and Fort Lauderdale-Hollywood International Airport.

Mr. Silver added, “This office property was uniquely positioned as the best-in-class option in the market for smaller tenants and as such represented an attractive investment opportunity to capture this high demand tenant base with premium rental rates. Typical office space in the Cypress Creek submarket averages over 2,000 square feet with the subject property averaging less than 400 square feet, creating extreme barriers to entry due to the cost to reconfigure similar space in the market. The owner was able to lease up the property in a short time to tenants seeking prime office space in the market, including professional, medical, and retail businesses.”