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Galleria Fort Lauderdale Mall Enters Market with Expectations of Selling Above $100 Million, Predicts Brokers

Property is permitted for 1,899 residential units and buildings with a maximum height of 150 feet Galleria Fort Lauderdale, positioned as a prime redevelopment opportunity, is now on the market with a targeted sale price exceeding $100 million. The 800,000-square-foot indoor shopping center, located at 2442 East Sunrise Boulevard, is being marketed by a CBRE team led by Robert Given and Brad Capas. While no specific asking price has been set, Capas anticipates the property to command a sale price surpassing $100 million. The owner, Keystone-Florida Holding Corporation, led by President William O’Connor, is advised by O’Connor Capital Partners, a New York-based real estate investment firm. The listing excludes the separately owned Dillard’s department store building and a Macy’s store under a ground lease. Presently, Galleria is 67 percent occupied, as per CBRE’s marketing brochure. Keystone-Florida’s previous attempts at redevelopment, including a proposal for at least 1,900 apartments, were unsuccessful, with the city of Fort Lauderdale not approving the development agreement last year. The property is zoned for 1,899 residential units, with a density of 60 units per acre and buildings capped at a maximum height of 150 feet, as detailed in a CBRE brochure. However, under Florida’s Live Local Act, a new owner has the opportunity to pursue a larger project, provided 40 percent of new units are designated as workforce housing. Established in 1980, Galleria comprises multiple retail buildings, mainly vacant big box stores previously occupied by Saks Fifth Avenue, Lord & Taylor, and Neiman Marcus. Keystone-Florida, the owner, had initially proposed the demolition of a significant portion of the shopping center. The plan involved replacing it with structures not exceeding 150 feet in height, gradually tapering down in areas adjacent to nearby residential neighborhoods. In 2017, facing opposition from residents, the Fort Lauderdale City Commission postponed a proposed vote that would have enabled Keystone-Florida to proceed with a redevelopment plan, envisioning 1,250 condo units in three buildings exceeding 20 stories and four shorter structures. Eventually, Keystone-Florida withdrew its proposal. South Florida Luxury Real Estate | Ocean Area Living | Heather Lefebvre  

Rockpoint drops $180M on industrial site at The Pomp Megaproject in Pompano Beach

Buyer partnering with sellers on 1.5M sf of rentable space on 88 acres Rockpoint has successfully acquired an 87.8-acre industrial development site situated within The Pomp mixed-use megaproject in Pompano Beach for a total of $180 million. The Boston-based firm, operating through its Rockhill Management affiliate, has outlined plans for the development and management of 1.5 million square feet of rentable space, as detailed in a Rockpoint news release. Notably, The Cordish Companies and Caesars Entertainment, the original sellers, will collaborate with Rockhill in steering the development. The overseeing development of The Pomp, covering 225 acres, is led by Baltimore-based Cordish and Reno-based Caesars. This expansive project includes the revamped Harrah’s Pompano Beach Casino, rebranded from Isle Casino Racing Pompano Park and Pompano Park. The comprehensive project entails the creation of 4,000 residential units, two hotels, 1.3 million square feet dedicated to retail and entertainment, and an additional 1.4 million square feet allocated for office space, according to a Cordish and Caesars news release from May. The Live! Entertainment District, encompassing 25,000 square feet of food and beverage tenants such as Sports & Social and PBR Cowboy Bar, is part of the ambitious plan, with Topgolf slated to inaugurate its facility on the site this year. In a strategic move in 2020, Cordish and Caesars adjusted their plans, opting to reduce the office space at The Pomp by 650,000 square feet in favor of a 1.5 million-square-foot industrial project. The anticipated commencement of site work for the industrial segment is scheduled for May, according to Rockpoint’s news release. The Pomp development site, formerly a racetrack, is strategically located between Pompano Park Place and North Cypress Bend Drive, extending from South Pompano Parkway east to the Tri-Rail train tracks. The reported $180 million transaction, was initially disclosed by Commercial Observer. Established in 1910, Cordish is a family-owned and operated company that concentrates on commercial real estate ventures. Notably, the company specializes in developing entertainment districts under its Live! brand, sports-anchored projects, and gaming properties. In the state of Florida, Cordish has collaborated with the Seminole Tribe of Florida to bring about significant projects such as the Seminole Hard Rock Hotel & Casino Hollywood and Seminole Hard Rock Hotel & Casino Tampa. David Cordish serves as the CEO of the company. With roots dating back to 1937, Caesars has a rich history that began when Bill Harrah opened Harrah’s Bingo Club in Reno. In a significant development in 2020, Caesars merged with Eldorado Resorts, expanding its portfolio. The merged entity encompasses brands like Harrah’s, Caesars, Horseshoe, and Eldorado. Thomas Reeg holds the position of CEO within the company. Rockpoint, a substantial real estate investor in South Florida, boasts a robust presence in the industry. The managing members of Rockpoint include Tom Gilbane, Keith Gelb, and Bill Walton. Their collective expertise contributes to the firm’s success in navigating and thriving within the dynamic South Florida real estate market. In the previous year, Rockpoint experienced significant success in Miami’s Brickell neighborhood, capitalizing on the thriving real estate market in the area. The firm achieved a lucrative outcome with the sale of both the Shops at Mary Brickell Village and the 1221 Brickell office tower. Notably, Rockpoint sold the Shops at Mary Brickell for an impressive $216 million, nearly doubling its initial investment made in 2015. Similarly, the 1221 Brickell office tower was sold for $286.5 million, almost doubling the amount the firm had originally paid in 2017. In a collaborative venture with Related Group, Rockpoint was also involved in the successful sale of the Manor Lantana rental community in May. The development, situated at 861 Water Tower Way in Lantana, fetched a substantial sum of $138 million. Additionally, in Pompano Beach, there are plans underway by Related and Merrimac Ventures for the development of a Waldorf Astoria-branded condo located at 1350 South Ocean Boulevard. This project reflects the ongoing momentum and strategic ventures pursued by these real estate entities in the dynamic South Florida market.   South Florida Luxury Real Estate | Ocean Area Living | Heather Lefebvre