Lennox Industries, a company based in Richardson, Texas, has acquired an office building in Fort Lauderdale for $16 million. The firm plans to use the 30,000-square-foot property at 2001 South Andrews Avenue as its Southeast U.S. headquarters and establish a training center there.
The seller of the property is affiliated with Health Network One, which manages networks for outpatient therapy and other medical services. Records show that Health Network One bought the building for $2.2 million in 2012 and carried out a full renovation two years later. The structure was originally built in 1949 and previously served as a distribution center for Hughes Supply Company.
Steve Hyatt of Berger Commercial Realty represented Health Network One in the transaction. Christopher Dubberly and Michael Meaden from CBRE represented Lennox Industries.
“We expected the highest offer to come from a developer,” Hyatt said, adding that the property’s move-in ready condition made it appealing for an end user.
Lennox Industries is led by CEO Alok Maskara.
The sale comes amid changes in South Florida’s office market. After several years of growth during the pandemic, activity has slowed due to higher interest rates and fewer companies moving into the area. However, certain types of properties—such as medical offices and buildings purchased by their users—have continued to perform well despite these conditions.
Recently, downtown Fort Lauderdale saw significant office tower transactions: Bradford Allen Investment Advisors acquired Las Olas Centre I & II for $208 million, while Lone Star Funds partnered with Highline Real Estate Capital and Square2 Capital to purchase Bank of America Plaza at Las Olas City Centre for $220 million. In Miami’s Brickell district, all-cash deals remain common; Spanish billionaire Amancio Ortega is under contract to buy Sabadell Financial Center for $275 million (https://therealdeal.com/miami/2024/03/12/amancio-ortega-to-buy-brickells-sabadell-financial-center-for-275m/).
