A Philadelphia-based commercial real estate firm has purchased a Broward County warehouse for $14.3 million.
A subsidiary of Alterra Property Group, led by co-founder and managing partner Leo Addimando, has acquired the 21,306 square foot industrial building at 1645 Northwest 33rd Street in Pompano Beach, records show.
The seller is an entity managed by Bernard Paul-Hus, CEO of Hypower, an electrical and utility contractor based in Fort Lauderdale, according to the records. In 2006, the Paul-Hus entity paid $2.7 million for the land and completed the warehouse five years later. Hypower also leases the warehouse.
Founded in 2005, Alterra has executed more than 150 real estate transactions in 20 states, totaling more than $2 billion in volume, according to the company’s website. Alterra focuses on mixed-use, multi-family and industrial properties. The company entered the South Florida market in November when Alterra purchased two industrial sites from Medley for a combined $25.4 million, according to published reports.
South Florida’s industrial market shows no signs of slowing, except for a lack of inventory, according to a recent report from JLL. At Broward, net absorption reached a record 850,000 square feet in the first quarter, compared to 556,371 square feet during the same period last year. The vacancy rate fell to 4.2% from 7.9% in the first quarter of last year, JLL found. As a result, the average asking rent rose to $11.19 per square foot in the last quarter, from $8.58 per square foot in the same period of 2021.
Broward’s northeast submarket, which includes Pompano Beach, had a vacancy rate of 4.6% in the last quarter, down from 8.7% in the first quarter of last year, while rent average asking rose to $10.59 per square foot from $8.78 last year. square foot during the same period last year.
In February, Newtown Square, Pa.-based Equus Capital paid a record $239.2 million for Pompano Business Park, which represents 1.03 million square feet of warehouse space in Pompano Beach. The transaction was part of a $903 million deal for Prologis’ 5.4 million square foot industrial portfolio.