A commercial/industrial property in Orlando's downtown area just sold. This could spark a trend in the very near future.
In a deal that concluded on Oct. 22, Orlando-based Hagood Brothers Inc. sold a 1-acre site at 1121 W. Church St. to Kissimmee-based Altanor Investments LLC for $1.8 million, according to C. Brenner Inc. managing partner Ben Brenner of Winter Park.
Hagood Brothers Marine used a 6,120-square-foot warehouse, a 7,182-square-foot office/warehouse, and a 1,204-square-foot storage shed on the property. According to Brenner, who represented the seller, the buyer intends to use the property as is.
The deal closed in a four way bidding war, which shows how much demand there is for these types of properties.
Because there is a limited supply, even older buildings and real estate located hours away from the city center are garnering attention.
According to Lee & Associates Central Florida's third-quarter 2021 report, the central Orlando industrial submarket, which includes downtown, had a 2.8 percent average vacancy rate, compared to 3.3 percent for Central Florida. Central Orlando's average asking price for industrial space is $11.18 per square foot, compared to $8.64 for the entire market.
According to JLL's (NYSE: JLL) third-quarter report, Orlando has more than 1.62 million square feet of industrial space under construction. In the metro area, over 1.95 million square feet of industrial space has been completed so far this year.