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 will also establish a training center on site.
The seller of the building is linked to Health Network One, which manages networks for outpatient therapy and other medical services. According to records, Health Network One purchased the property for $2.2 million in 2012 and carried out a complete renovation in 2014. 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 the seller during the transaction. Christopher Dubberly and Michael Meaden from CBRE acted on behalf of 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.
The sale comes at a time when South Florida’s office market has slowed following several years of growth during the pandemic. Elevated interest rates and slower migration of companies from other states have contributed to this shift. However, medical offices and user-owned buildings have continued to see steady activity despite broader market challenges.
Recent notable transactions in downtown Fort Lauderdale include Bradford Allen Investment Advisors’ purchase of Las Olas Centre I & II for $208 million and Lone Star Funds’ acquisition—along with Highline Real Estate Capital and Square2 Capital—of Bank of America Plaza at Las Olas City Centre for $220 million. In Miami’s Brickell area, all-cash deals remain common due to higher interest rates; Spanish billionaire Amancio Ortega is under contract to buy Sabadell Financial Center for $275 million (https://therealdeal.com/miami/2024/03/13/amancio-ortega-to-buy-brickells-sabadell-financial-center-for-275m/).
Lennox Industries is led by CEO Alok Maskara.
