Coconut Grove-based B&L Management Group paid $16.7 million this week for two stabilized office buildings in south Orlando, and rank the market among their top three for new investments moving forward, the company's local leasing agent told GrowthSpotter.
Located at 6251 and 6101 Chancellor Dr., the "Lakefront I & II" office buildings lie off W. Oak Ridge Road and are roughly 2.5 miles east of Artegon Marketplace.
The one-story buildings span 15.93 acres, with 183,865 square feet of conditioned area overall and construction dating to the late 1980s. The sale closed Monday and was recorded Thursday in Orange County.
The properties were 88 percent leased at time of sale. Advanced Care Scripts, Regions Bank, Inktel and a State of Florida workforce agency are existing tenants with leases carrying over.
B&L Management Group and sister company B Developments are commercial property investment, management and development companies dating to the 1930s in Miami, and owned by the Argentinian-American Barbagallo family.
Lisa Bailey of Avison Young served as leasing agent for the previous owner, and Nathan Eissler of Avison Young has represented B&L on the rest of its Orlando portfolio. They'll be retained as leasing agents on the property for B&L.
Atlanta, Tampa and Orlando are B&L's three focal markets for new investments over the next 12 months, and the company is still pursuing stabilized assets within their core market of south Orlando or opportunistic purchases with value-add potential, Eissler said.
The seller was an affiliate of Massachusetts-based Brookwood Financial Partners, which previously paid $11.3 million in January 2012.
The buyer sourced a $10.025 million loan from New York-based Benefit Street Partners to finance the deal, which will mature in October 2027.
B&L's Orlando-area portfolio of office and industrial properties now total more than 700,000 square feet of leasable space.
The company has been an active investor in Orlando in the past eight months. In mid-March, it paid more than $11.97 million for a three-building industrial portfolio west of the Florida Mall, sought for synergies with a flex-industrial property they own across the street.