BONITA SPRINGS, Fla., April 2, 2019 – Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, has announced the sale of North Bay Village, a 114,545-square foot retail property located in Bonita Springs, FL, according to Grant Fitzgerald, sales manager of the firm’s Tampa office. The asset sold for $14,200,000.
Jim Shiebler, James Garner and James Medefind, investment specialists in Marcus & Millichap’s Tampa office, had the exclusive listing to market the property on behalf of the seller, a private investor. The buyer, a private investor, who was also secured and represented by Jim Shiebler, James Garner and James Medefind, was in a 1031 Exchange. Medefind Retail’s brokerage team promoted the future value of the center and, ultimately, it’s income potential with the right plan and execution. The ultimate buyer was interested in the value-add opportunity as the plaza was 73% occupied at contract execution. Mr. Shiebler and the team created a high level of competition for the asset as buyers recognized the scarcity of available coveted commercial assets and the lack of buildable land parcels in this highly sought-after affluent corridor.
“The selected private investor appreciated this class A asset which boasts a diverse and stable tenant mix and understood the opportunity of leasing up the vacant space and increasing cash flow and equity. The investor achieved an occupancy level of 98%+ at the date of closing through the signing of long-term leases with Hertz, Emaint and Keller Williams Real Estate. Southwest Florida investors are recognizing that purchasing existing high-quality commercial retail properties is more cost effective than new development due to the current exorbitant cost of supplies, construction and labor.” stated Mr. Shiebler.
North Bay Village is located at 26381 S Tamiami Trail in Bonita Springs, Fla. The subject property is ideally located on South Tamiami Trail, also known as U.S. Highway 41, which is the main north-south artery in Bonita Springs. Within close proximity to the property are multiple country clubs, golf courses and restaurants. The Terraces, one of the most luxurious senior living communities in the area, is located directly adjacent to the subject property. Additionally, there are 108 new multi-family units under development behind the center.
North Bay Village is currently 98 percent occupied by an ideal balance of retail, office, and medical tenants that are perfectly suited to serve the demands of the local community. National tenants include Bonefish Grill, Mattress Firm, and Edible Arrangements. The center is fully stabilized, allowing an investor to realize an attractive return with the benefit of staggered lease expirations and a diversified tenant mix. There are over 71,000 residents with an average household income of over $100,000 within a five-mile radius of the property.
Bonita Springs is located in southwest Florida along the Gulf of Mexico. Affluent residents are attracted to Bonita Springs for its upscale country clubs, golf courses, and luxury retirement communities. Tourists travel from around the world to experience Bonita Springs stunning beaches, world-class fishing, and pristine state parks and wildlife preserves. North Bay Village is located just minutes from Barefoot Beach, which has consistently ranked one of the Top 10 Beaches in America. With its award-winning beaches, beautiful landscape, and year-round warm climate, it is no surprise Lee County is ranked the 10th Fastest Growing Metro Area in the country.