Reese Stigliano, SIOR, recently overcame some unusual challenges and closed a multi-million dollar deal in Florida’s depressed commercial real estate market.
Stigliano, who has been with Berger Commercial Realty Corp. for more than five years, represented CIG International, LLC, a subsidiary of CapitalSource Bank, in the sale of 53 acres of land known as Bonita Grand Estates for $2.8 million to investor Stefan Hoyer of Hoyer Homes, LLC, a real estate fund backed by European investors.
Located in Miami at SW 208th Street and 134th Avenue, the land consisted of 92 single family home lots started 2005 and then abandoned by developer. Capital Source foreclosed in June 2010 and took back the property, hiring Berger Commercial Realty Corp. to prepare a Broker Opinion of Value. In the process of gathering information, Stigliano contacted Hoyer, who expressed an interest in acquiring the property.
In an unusual twist during the deal’s inspection period, all the manhole covers were stolen from the property, which ultimately CIG International replaced at a cost of $25,000. The problem even caught the attention of the Miami Herald, which ran an article about the dangers of the open holes throughout the undeveloped neighborhood. The theft was thought to be due to the increased value of scrap metal, and posed problems to neighboring residents afraid of falling into 6-to-10 feet holes until CIG International remedied the situation.
Hoyer plans to finish the site’s infrastructure, which is 90 percent complete, including sewer and electricity, then resell the lots for an average of 25 percent more than the purchase price. He already has a contract with a publicly traded builder to purchase the lots in increments over time.
“Investors who are patient and have the capital can make money on deals like this,” Stigliano said.
Stigliano’s primary focus is office leasing, investment sales and land sales. Prior to joining Berger Commercial Realty Corp., he was the managing partner and founder of CPRA, a full service real estate brokerage company.
Stigliano is a member of the Society of Industrial and Office Realtors, and has been named a “Leasing Agent of the Year” by the Building Owners Management Association (BOMA), a “Heavy Hitter” in commercial real estate by the South Florida Business Journal, and a “Top Broker” in sales transactions by the CoStar Group.
To learn more about how Berger Commercial Realty Corp. can help you, please call us at 954-358-0900.