Two office towers sold for $230 million in Downtown Miami to New York private equity firm Blackstone, signaling the firm’s ongoing belief in the potential of Miami’s business environment.
The acquisition of 2 and 3 Miami Central comes just months after Blackstone said it would be opening a tech office at 2 Miami Central totaling 41,000 square feet. Although the two announcements are not directly related — Friday’s acquisition is by funds managed by Blackstone Real Estate, a separate group from Blackstone’s tech unit — they are driven by the same confidence in Miami’s future.
Nadeem Meghji, Blackstone’s Head of Real Estate Americas, said the acquisition, from previous owner Shorenstein Properties LLC, was motivated by the momentum Miami has seen throughout 2020 and into 2021 from corporate relocations and expansions, as well as strong demographic trends, a business friendly environment and a large pool of talent — factors that predate the pandemic.
The buildings — 2 Miami Central at 700 NW First Ave., and 3 Miami Central at 161 NW Sixth St. — total 320,000 square feet. The buildings are 98% occupied with remaining lease terms of more than eight years on average, Blackstone said. Tenants include Carlton Fields, Ernst & Young, ViacomCBS, and New Fortress Energy, a clean energy solutions group formed in 2014 by Wes Edens.
Source: Miami Herald