Dairy plant near Opa-locka will be redeveloped after $24M acquisition
November 1, 2019
A shuttered McArthur Dairy plant near Opa-locka was sold for $24 million and will be redeveloped into an industrial project, according to Newmark Knight Frank.
ZSF/WD Opa Locka LLC, a subsidiary of Zurich Insurance Group, sold the 20.3-acre site at 3000 N.W. 123rd St. to Nashville, Tennessee-based Panattoni Development Co. Newmark Knight Frank’s Nick Wigoda and Steve Medwin represented the buyer, while CBRE represented the seller.
According to Newmark Knight Frank, Panattoni plans to build two buildings totaling 450,000 square feet.
“It’s no secret that Miami’s industrial market is land-constrained, with the e-commerce explosion and tremendous demand among tenants creating opportunities for developers in South Florida,” Wigoda said.
As the Business Journal previously reported, Panattoni will tap funding from the California State Teachers Retirement System for the project, which is located just north of the Gratigny Parkway. Gratigny Logistics Center was designed by Chisholm Architects.
“We are excited to acquire this rare infill site that will allow us to develop a state-of-the-art industrial product for expanding tenants in South Florida,” said Hayne Hamilton, senior development manager for Panattoni.
According to Newmark Knight Frank, the average rent for industrial property in South Florida was $9.05 a square foot in the third quarter, up 55 cents from a year prior. There was 1.2 million square feet of positive absorption in Miami-Dade County in the first nine months of 2019.
Just east of the Gratigny Logistics Center project, Panattoni is building the 800,000-square-foot Eastview Commerce Center, which is more than 50% preleased.