Adam Neumann Buys Discounted Aventura Office Complex for $116M
The 252K-SF office is 92% leased with Morgan Stanley as the main tenant, and the deal includes entitlements for 2 resi towers with almost 500 units
By Julia Echikson November 19, 2024 4:53 pm
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Adam Neumann, the infamous former WeWork CEO, has expanded his real estate fiefdom in South Florida, purchasing a three-building office complex in Aventura at a discount for $116.2 million.
Neumann acquired the Aventura Corporate Center through his new venture Flow, alongside Israeli developer Canada Global, a subsidiary of Israel Canada, according to the Business Journals. Three years ago, Atlanta-based seller Stonecutter Capital Management purchased the complex for $140 million, according to property records. The recent sale represents a 17 percent drop in value from the 2021 trade.
Located at 20807 Biscayne Boulevard, the 10-acre property features 251,773 square feet of office space and 931 parking spots. The three buildings, which are 92 percent occupied with Morgan Stanley as the main tenant, were constructed between 1986 and 2007.
Last year, local officials approved plans to add two 24-story towers with 495 units and 39,000 square feet of commercial space to the site. A representative for Stonecutter Capital Management did not immediately respond to a request for comment.
Ladder Capital Finance provided an $80 million acquisition loan. Neumann’s contribution to the purchase transaction totals $36 million, which includes a $25 million investment into Canada Global that was made in September and $11 million in equity from Flow, according to a filing made to the Tel Aviv Stock Exchange.
Since departing WeWork in 2019 following the company’s disastrous attempt to go public, Neumann has settled in the Miami area, where he launched Flow, for which he received a $350 million investment from prominent venture capital firm Andreessen Horowitz.
The company owns two rental buildings in Miami and Fort Lauderdale. Last month, it launched sales for its third project in the region, a condo project at the Miami Worldcenter master development, after receiving a $108 million construction loan in 2022.
Julia Echikson can be reached at jechikson@commercialobserver.com.
