In largest industrial deal, beauty products firm Betty Dain Creations leases hub
By Yudislaidy Fernandez
Betty Dain Creations, a family-owned beauty products business, has leased a 130,000-square-foot headquarters in Medley's Flagler Station for 10 years.
With this lease at 10505 NW 112th Ave., the manufacturer and distributor of beauty salon products and accessories around the world is doubling the size of its current facility in the Gratigny area.
Brian Smith of Cushman & Wakefield represented Betty Dain in its site search for its new headquarters and in negotiating a lease with the building's owner, Flagler Development, which was represented in-house by Stuart Gordon.
This is the largest industrial lease signed in Miami-Dade so far this year. It took less than three months to put together once this location was chosen, said Mr. Smith, executive director based in Cushman & Wakefield's Miami office.
He is part of the firm's Miami industrial team, which includes Wayne Ramoski and Audley Bosch. The trio has closed seven deals this year totaling more than 430,000 square feet at a combined value of $27 million.
The relationship with the beauty manufacturer and distributor developed because Mr. Smith and his team handle many transactions in the Gratigny area, so when the time came the tenant called them.
"They had this need to expand for a while, but were holding off because of the recession," he said.
The main reasons Betty Dain opted for Flagler Station, considered the largest business park in South Florida at about 1.2 million square feet, was the facility's quality, the park's security and the landlord's ability to deliver, Mr. Smith said.
"We have been growing for some time now, but were waiting for the opportune time to expand our operations," said Don Leebow, who operates the company along with his brother Richard Leebow. "This is the third time in our company's 60-year history that we have expanded. With this new relationship with Flagler and the flexibility offered for future expansion within Flagler Station, we look forward to operating successfully here for years to come."
Don Leebow didn't return calls for additional comments.
The headquarters is to house close to 200 employees and accommodate the company's growth in the next year, Mr. Smith said. The industrial building is to allow the tenant to operate more efficiently, with the executive offices and distribution and manufacturing operations all under one roof.
At first, Betty Dain Creations was looking to buy its own property because of concerns that build-out of a leased space would get expensive because the building would have heavy power requirements.
The company's Gratigny warehouse is air-conditioned, which is uncommon for warehouse spaces, Mr. Smith explained, and about 120 employees are at work in it at any given time.
But after running financial analyses and studying market conditions, leasing turned out to be a better option, in part because Flagler Station's landlord offered a turn-key package that includes build-out.
Flagler declined to comment on the deal.
Now, Cushman & Wakefield's warehouse team is to market Betty Dain's existing 58,000-square-foot warehouse property in Gratigny.
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