GIC to come up Trumps with sale of $200m Florida resort
SINGAPORE'S GIC Pte is planning to sell the Great White Course, a 130-acre golf property adjacent to Trump National Doral Miami that may fetch $200m (€152m) as real estate prices surge in southern Florida.
The sovereign-wealth fund hired CBRE to market the course, which it bought in February 2013 as part of its $1.5bn acquisition of bankrupt resorts owned by a group led by hedge fund Paulson & Co. The land has permits for residential, office and retail development, according to CBRE Vice Chairman Robert Given and Senior Vice President Gerard Yetming.
Demand for real estate is climbing in Doral, 12 miles west of downtown Miami, driven by property investors from the US and Latin America along with employees from companies including Miami-based Carnival Corp. Doral's population is projected to increase about 15pc over the next five years, almost double the 6.9pc growth rate projected for Miami-Dade County, according to CBRE.
"The Doral market currently is the second-largest office market in South Florida," Given said.
"It's already an international destination for in-migrating families. It has a huge consumer base. At the same time we have hit all the urban boundaries. We can't build into the Everglades. It's making this a high-barrier-to-entry market."
The office-vacancy rate in Doral in the first quarter was 15.4pc, compared with 17.4pc statewide, according to data provided by CBRE.
Great White, operated by Trump National Doral Resort, has entitlements for the development of 66 acres including as many as 2,709 condominiums, apartments and single- family homes; more than 800,000 sq ft of office space; and as much as 300,000 sq ft of retail.
The property is likely to sell for $150m to $200m, according to Given and Yetming.
GIC has been on a shopping spree for US office properties.
In January, Time Warner said it's selling its headquarters space at New York's Time Warner Center to GIC, Related Cos. and Abu Dhabi Investment Authority for $1.3bn.
"Now is the right time for GIC to market and monetise on their large investment that was made some time ago," Yetming said. (Bloomberg)
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