MIAMI BEACH, Fla., October 26, 2022 – Marcus & Millichap (NYSE: MMI), a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, announced today the sale of a Trophy Miami Beach Walgreens, a 22,875-square foot net-leased property located in Miami Beach, Florida. The property sold for $35,250,000.

“We held an incredibly competitive sales process to this trophy asset in the heart of South Beach,” said Ronnie Issenberg, senior managing director investments. “With over 12 years remaining on a 25-year initial lease term and with seven options to extend for five years each, our new buyer now possesses this unique rental opportunity that increases growth in both the initial term and during option periods. Additionally, Miami’s annual yearly visitors sits around 24 million, providing a constant demand for a renowned retail giant such as Walgreens to provide for the millions who visit South Beach,” said Issenberg. “Our competitive sales process created a multiple offer scenario thus allowing us the opportunity to vet for the best buyer the market would bear, in this case a large exchange buyer based in NYC. The sales price and cap rate are indicative of the flight to quality we are seeing today’s market environment and speaks to the overall demand for high quality and marquee assets such as this Walgreens, especially in Florida.” adds Esteves. Issenberg, Gabriel Britti and Ricardo Esteves, investment specialists in Marcus & Millichap’s Miami office, had the exclusive listing to market the property on behalf of the seller, 509 Collins Realty, a limited liability company. 

The Walgreens is located at 509 Collins Avenue. The property is strategically located on the hard-corner signalized intersection of Collins Avenue and 5th Street. The asset benefits from being on the last vehicular intersection before entering the beach, making this location the “Gateway to Miami Beach”. Collins Avenue and 5^th Street are also one of South Beach’s busiest North-South and East-West corridors, providing incredible visibility on an iconic South Beach location which also brings about high traffic counts and tremendous foot traffic.

The two-story trophy property sits just one block away from Ocean Drive and its world class beaches, minutes from the newly renovated State of the Art Miami Beach Convention Center, Lincoln Road and some of South Beach’s most iconic resorts, such as; The W South Beach, The Faena, Fontainebleau, The Ritz-Carlton, Loews, and The Delano.