PALM SPRINGS — A Coral Gables-based company has bought the 37-year-old JFK Medical Building for $5.6 million, nearly double its assessed value.
The sale, which was made through an online auction, underscores the high demand for distressed and medical office assets as inventory in the market remains low, according to Avison Young, the firm that negotiated the distressed-asset sale.
The 35,078-square-foot multi-tenant medical office building, located at 4801 S. Congress Ave., is just a half-mile to the north of JFK Hospital, and while it bears the same name, it has never been affiliated with it.
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The building was sold on the Ten-X online auction platform. It last sold in February 2019 for $3 million. The four-story, multi-tenant medical office building is in a primary office node in the Palm Springs/Lake Worth Beach submarket.
The building is 30 percent occupied, said John Crotty, an Avison Young principal.
“The asset’s recent renovations, coupled with its proximity to the JFK Medical Center, will provide the buyer with tremendous upside,” he said.
Some of the attractive aspects of the building are excellent frontage, access, and visibility on Congress Avenue – it is one mile west of Interstate 95. During the past two years, ownership invested more than $500,000 to install a new HVAC system, add new flooring in the lobby, reseal the parking lot and add new exterior landscaping.
The buyer, BD 4801 LLC, plans on updating and fully leasing the building to take advantage of the demand for medical office space. Avison Young reported that multiple bids were submitted.