Colliers (NASDAQ, TSX: CIGI) negotiated the sale of the Borden Dairy Co./Velda Farms dairy processing facility at 501 NE 181st St in Miami for $21.75 million. Colliers South Florida’s Executive Managing Director Steven Wasserman and Managing Director Erin Byers represented the buyer, CP Logistics Miami 95 LLC., in the transaction. In the sale, Harold Ginsberg from Southern Asset Service Corporation represented the seller, New Dairy Florida, LLC. The buyer signed the purchase and sales agreement and closed the same day.

“This transaction showcases how developers are getting more creative with purchasing sites, often looking for properties that can be demolished or rebuilt,” Wasserman says. “This site provided a strategic location with I-95 frontage that was optimal for redevelopment.”

The buyer, CP Logistics Miami 95, LLC., also known as Panattoni Development, has plans to redevelop the site into a 126,000-square-foot Class A warehouse by late 2023. For the past 50 years, Borden Dairy, the current tenant, will vacate the site for redevelopment.

“This purchase reflects the strength of Florida’s industrial sector and the tremendous demand from developers and tenants for more space,” Byers says. “The market continues to thrive from robust interest from developers looking to build.”

Panattoni Development is a privately held commercial real estate development company specializing in industrial, office and build-to-suit projects. Panattoni has successfully developed more than 544 million square feet of industrial, office and retail space in more than 310 cities.

Population growth in South Florida and increasing demand for industrial space have heightened investor attention in Miami-Dade County. With a vacancy rate of 2.7 percent, investors and developers are looking for new opportunities within existing warehouse sites that are prime for redevelopment.