Full-service real estate firm TCII Capital Group paid $2.9 million on Friday for two industrial-flex buildings in Winter Park, its second large commercial asset purchase there in the past year.
With the purchase, the Miami company gains a foothold in the extremely tight Central Florida industrial real estate market where available flex space is at a premium, said vice president Jason Glaser.
"There is a very limited supply of industrial flex space in the market," Glaser told GrowthSpotter. "So, there's a lot of competition for this asset. There's maybe only three or four flex buildings in this immediate area."
McCall Properties Inc. of Orlando, formerly known as Conway Groves, was the seller.
Located at 1140 Solana Ave., the buildings, both built in 1980, have a total of 28,379 square feet of conditioned space and were 100 percent leased, Glaser said. The tenants include FDJtool, KeyCom Technologies and The Loft Painting and Decorating.
"Some of the companies have been there over 30 years," Glaser said. "They've been there a long time, but they have short-term leases."
TCII plans to do some cosmetic renovations on the 38-year-old buildings, including painting them, seal coating and restriping the parking lot, and updating the lighting. Glaser said the company has some local contractors it uses in Orange County.
This is the second commercial property TCII has purchase in Winter Park in the past year. In July, the firm paid $9.5 million for a four-story office building and adjacent retail properties at the corner of W. Fairbanks and S. Orlando avenues.
Glaser said the company liked the Solana Avenue location, near the new Whole Foods grocery store on N. Orlando Avenue, and the Winter Park market in general.
"We're very focused on this market," said Glaser, citing a daycare development the company is involved in Oviedo. "It's a mix of demographics, high-income area, access to good jobs, a good (standard of) living and education, and really high barriers to entry. There's not a lot of room for new development."