Valoro Capital has acquired a five-story office building in Edgewater for $19 million, according to an April 2 announcement from the company. The property, located at 2125 Biscayne Boulevard and previously owned by flexible workspace operator Expansive, was purchased at a price of $300 per square foot.
The sale represents a roughly 10 percent discount compared to Expansive’s previous purchase price of $21 million, or $332 per square foot, in 2019. Valoro is led by Francisco Cantor and Alberto Chocron.
Expansive had invested about $10 million into renovations for the 63,000-square-foot building, including upgrades such as creating 130 private offices and improving amenities like kitchens and tenant lounges. The company has been selling off properties while continuing its operations as a coworking provider. In January of last year, Expansive sold another office property in Chicago through a sale-leaseback deal that resulted in a significant loss after facing financial challenges such as foreclosure proceedings.
Valoro said it plans to hold onto the Edgewater property due to what it describes as “durable in-place cash flow and redevelopment upside,” while seeking entitlements and planning potential redevelopment strategies. The site qualifies under Florida’s Live Local Act for the construction of more than 700 residential units if at least 40 percent are reserved for residents earning no more than 120 percent of the area median income.
Edgewater has recently shifted from being primarily a local condominium district to attracting international luxury residential development. Notable projects include Vertical Developments and Urban Network Capital Group’s Elle magazine-branded condo-hotel with 180 units nearby, as well as SB Development and Hazelton Capital Group securing financing last September for another major residential tower project in the neighborhood.
