Finance  ·  Sales

Singer Island Office Asset Sells to New York Investor for $8M

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South Florida’s barrier islands are no barrier to investment prospects, apparently.

Gatsby EnterprisesBabak Ebrahimzadeh has spent $240 million on office assets in South Florida in the last three years and isn’t stopping there. The investor just dropped another $8 million on the acquisition of Singer Island Corporate Center at 2655 North Ocean Drive, according to Colliers (CIGI).

The investor closed the deal for the acquisition from R.J. Finlay & Co., which was represented by Colliers, on Thursday, for the 45,198-square-foot office building in the center of Riviera Beach within the Northern Palm Beach County office submarket. Occupancy before the pandemic was around 80 to 90 percent, and is currently at about 50 percent.

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Bastian Laggerbauer and Mark Rubin of Colliers represented the seller in the deal.

“Singer Island has opened three new luxury condo projects in the last 12 months, so hopefully there’s a lot of movement to the island, wealthier people coming and more money pouring into the area,” Laggerbauer told Commercial Observer. “There’s really no competition, it’s the only office building on the island.”

Ebrahimsadeh has also recently acquired the Delray Retail Plaza near Boca Raton for $30 million; DiVosta Towers, two Class A office towers in Palm Beach Gardens for $80 million; 800 Brickell, a Class A office tower in Miami for $126 million; and a 1.2-acre site for $5.5 million for the development of a 12-story office building in Commerce Pointe Corporate Center in West Palm Beach, according to Colliers.

Ebrahimsadeh did not immediately respond to a request for comment.

In terms of leasing, the Singer Island Corporate Center does not have much competition, being one of the largest office buildings of its quality on the island, according to Colliers. It was built in 1989 and will likely be repositioned under Ebrahimsadeh’s control, the brokerage said.

“The submarkets that would be competing with this area… They don’t all have the greatest opportunity for parking as Singer Island Corporate Center has,” Laggerbauer said of the multi-story parking garage on 1.7 acres of adjacent land.

Construction on more housing has brought more people to the island, meaning that office space is going to be in higher demand than in the past.

Mark Hallum can be reached at mhallum@commercialobserver.com.