AEW Capital Sells Coral Gables Office Building at Discount

AEW Capital Management sold an office building in Downtown Coral Gables, Fla., for $70.4 million — 13 percent less than what the Boston-based investor paid over a decade ago, property records show.

Called Ryder Colonnade, the 11-story property sits adjacent to Coral Way at 2333 Ponce de Leon Boulevard. The 427,545-square-foot building was built around a historic two-story rotunda and a nine-story parking garage. It offers about 200,000 square feet of leasable space. 

Crescent Real Estate purchased the asset. Rialto Capital Management provided a $67.9 million loan to the buyer. 

The acquisition marks the Fort Worth, Texas-based firm’s first office acquisition in Florida. It also owns the 157-room Colonnade Hotel in Coral Gables, which the investor acquired for $63 million in 2023.

Amy Julian and Andrew Chilgren of CBRE brokered the debt. Christian Lee and Sean Kelly, also from CBRE, represented the seller. 

AEW Capital Management purchased the Coral Gables office building for $81 million in 2013. A decade later, trucking giant Ryder System relocated its global headquarters to the property and took two floors after it put its former base up for sale. The 248,989-square-foot building in the industrial part of Miami-Dade County sold for $42 million in 2023.

Thanks to the rise of remote work since the pandemic, other office buildings in Coral Gables have traded at a discount. Last year, Colonnade Capital paid $76 million for the five-building Douglas Entrance office complex, nabbing a 25 percent from the property’s last trade in 2014.

Representatives for AEW Capital Management and Crescent Real Estate did immediately respond to requests for comment.

Julia Echikson can be reached at jechikson@commercialobserver.com.