The brothers and co-CEOs of FBC Mortgage drew nearly $6.18 million last week from an investor for the Walgreens-leased first floor of Downtown Orlando's historic First National Bank building, 1.3 times what they paid for the entire property in 2014.
Located at 190 S. Orange Ave. on the northwest corner of Orange and Church Street, the four-story building had been marketed for creative retail options on the ground floor ever since it was acquired in July 2014 by Nunziata Holdings for $4.75 million. The firm is owned by Joe and Rob Nunziata, co-CEOs of FBC Mortgage, which leases the building's second and third floors.
"The biggest thing for us when we bought that building, as very active residents and business owners in the downtown community, was to try and help bring some national retail tenant back to downtown," Rob Nunziata told GrowthSpotter on Monday. "That's why we waited so long to lease the building's first floor. We had a lot of inquiries from bars, smoke shops and lower-end restaurants."
Walgreens signed a 30-year lease last year with the Nunziatas that runs through 2046 for the full 6,410-square-foot ground floor. The brothers invested more than $1 million themselves to build out the interior for Walgreens, which opened its store in early May.
Sale of the first floor as a commercial condominiun unit closed on May 10, and was recorded Monday in Orange County.
The buyer was 190 South Orange Avenue LLC, managed by accounting and business management firm Squar Milner LLP out of Los Angeles. Squar Milner partner Steven Blatt decined to comment on Monday about who his clients are behind the foreign-designated LLC.
The buyer sourced a $4.85 million loan from Atlantic Coast Bank out of Jacksonville for the purchase.
The Nunziatas said they're now hearing from local real estate brokers that CVS is also searching downtown retail space, drawn by the establishment of its chief competitor.
"We're happy to hear that, and we think this can be a first step in establishing more retail in downtown that maybe can slow the traffic down a bit and make the area more walkable," said Joe Nunziata. "We think there's so much opportunity to bring national retail tenants back to downtown."
The building's fourth floor (6,800 SF) remains vacant, with the office space marketed for lease to ideally one tenant.
The building was built in 1929 by First National Bank and Trust Company and occupied by the bank up until the 1960s, when a Stroud's family drug store occupied the ground floor and elevated blade signage on the building's corner. Valencia Community College occupied the building from 1981 to 2014.