Caribe Office Building NNN Property Puerto Rico

Make an Offer

Investment Offering

Tenant: Caribe Office Building | San Juan, PR
Premises: 60,042 SF
Renewal Options:

Lease Expiration:
Lease Type: NNN
Rental Increases:

Sands Investment Group is Pleased to Present For Sale the Caribe Office Building NNN Located in San Juan, Puerto Rico. The Deal is a Leasehold Interest Until June 14, 2055 With 33 Years Remaining. This 60,042 SF Caribe Office Building Located at 53 Palmeras Street in San Juan, Puerto Rico Presents a Value-Add Investment Opportunity as Existing Leases Roll Over Allowing to Adjust Rents Even Higher, Providing For a Secured Investment.

Property is 100% Leased
Transaction is Expected to Generate an IRR of 17% Over 10 Years
Opportunity to Increase Rental Rates
Average Rental Rates Have Increased From $22.17/SF in 2018 to $30.14/SF in 2022B, Representing a CAGR of 8.0%
Presents a Value-Added Investment Opportunity as Existing Leases Roll Over Allowing to Adjust Rents Even Higher
Majority Leased to Well Established Act 20/22 and Local Tenants, Including Pepsi, Cola Bottling, Casillas, Santiago & Torres, LLC (Large Local Law Firm) and Sonnedix (Solar Power Business), Amongst Others
The Property Consists of a 17-Story Office Building With 60,042 Square Feet of Gross Leasable Area (GLA) and 318 Parking Spaces (118 On-Site and 200 Sub-Contracted With the Caribe Hilton Hotel)
Limited Competition in Area as the Caribe Building is One of the Only Class A Office Buildings on the Island
Property Completed a $2M Renovations in 2016 & $1.5M in 2018 Including the Refurbishment of Key Air-Conditioning Components (Including the Cooling Tower and Air Handling Units), a New Roof, the Installation of a Full Building Generator, the Remodeling of All Bathrooms and the Lobby and an Upgrade of the Fire Alarm System
From 2018 Through 2022 Budget (“2022B”), the Caribe Building Has Registered Consistently an Occupancy Rate in Excess of 95%, Except in 2020 Where it Registered 90% Due to the COVID-19 Pandemic
Strategically Located Adjacent to the Caribe Hilton Hotel and the Paseo Caribe Mixed-Use Development Which is Currently Undergoing a Renovation
Incredible Ocean Views of the Atlantic Ocean and Close Proximity to the Financial District, T-Mobile District, and the Condado Residential District – One of Most Affluent Residential Areas in Puerto Rico