Gables to get new Class A office tower
By Marilyn Bowden
A new Class A office building could bring some relief to the tight Coral Gables market before the end of 2009.
Principal Henry Pino said Strategic Properties Group plans to build Andalusia Corporate Plaza, a 17-story, 170,000-square-foot office tower, at 2263 Douglas Road, at the corner of Andalusia Avenue.
Officially, that's in Miami—a technicality that allows the group to bypass the height restrictions imposed by the City of Coral Gables. Practically, its competitors are Gables office towers, where direct vacancy is 5.78%, according to Jones Lang Lasalle's fourth quarter 2006 market report.
The site is "about 50 yards from Miracle Mile," Mr. Pino said. "It's our biggest amenity."
Site plans include 500 parking spaces.
Construction will begin as soon as financing and approvals are in place, he said — ideally by the end of 2007. Build-out would take 18-20 months.
Mr. Pino said rent per square foot would be in the range of $30-$32 triple net.
"We are still in the pre-leasing stage," he said. "We would like to get an anchor tenant with signage, but we will proceed with construction regardless of tenant commitments.
"There are a lot of companies looking for space in Coral Gables, but there's nothing available."
"Coral Gables is one of the tightest markets in South Florida," said Scott Strickland, a broker at Jones Lang LaSalle. "There is very little contiguous space available —— 2525 Ponce de Leon, the most recent to be built, has less than 7,000 square feet.
"The market is restricted in terms of new development possibilities, and demand is still strong. So the timing for this is great."
Strategic Properties Group previously developed Unika, an office condo at 4300 Biscayne Blvd. that's now 100% sold. Mr. Pino said he originally considered offering Andalusia Corporate Plaza as condos, but market conditions favor for-lease space.
Details: (305) 446-8330.