US real estate investor and developer RFR has completed a 101 million US dollar refinancing for the 100 Biscayne office building in central Miami. The funding for the repositioned asset was provided by Derby Lane Partners and Axonic Capital.
RFR acquired the property in January 2022 for 90 million dollars. Since the acquisition, the firm has re-let approximately 248,000 square feet of office space. This lifted the property's occupancy rate from below 60 per cent previously to around 90 per cent at present.
Repositioning and value-add potential
Gaby Rosen, principal at RFR, stated that the objective upon acquisition had been to transform the asset into an institutional-grade Class A boutique office building, diversify the tenant mix, and position the property for a long-term hold. The gains in occupancy and rental rates over the past four years, combined with strong tenant retention, provided a stable foundation. The firm remained confident regarding the downtown Miami office market.
Rosen also pointed to ongoing value-creation opportunities across the 317,000-square-foot building. These arise from both general rental growth and the fact that several in-place leases remain below current market rates. The refinancing transaction was brokered by a Newmark team comprising Jordan Roeschlaub, Nick Scribani, Adam Spies and Josh King.
Strong tenant base opposite Bayfront Park
The property at 100 Biscayne Boulevard is situated directly opposite Bayfront Park and, according to the owner, is the only boutique office building of its class directly on the waterfront in Miami's central business district. Adam Piekarski, founder, CEO and chief investment officer at Derby Lane Partners, highlighted that the waterfront location and compact floor plates make the asset particularly appealing to occupiers seeking well-connected prime space in the city centre.
- —Internationally renowned groups such as French luxury goods maker LVMH and Italian eyewear producer Luxottica
- —Architecture and engineering practices including Zyscovich and DeSimone
- —Telecommunications and technology companies such as AT&T, Verizon and Windstream Communications
- —Multiple data centre operators as well as consular representations
While Derby Lane Partners commented positively on the transaction, co-lender Axonic Capital declined to comment when approached.
