Crescent Real Estate has acquired the Ryder Colonnade office building in Coral Gables for $70.4 million, a price that represents a 13 percent decrease from its sale over ten years ago.
The 11-story property, located at 169 Coral Way, was purchased from AEW Capital Management by Crescent, which is based in Fort Worth, Texas. Public records show that Crescent financed the acquisition with a $67.9 million loan from FS Credit Originator, managed by Rialto Capital Management.
Ryder Colonnade was built in 1988 and covers 205,400 square feet. The building is connected to Hotel Colonnade Coral Gables; however, the hotel was not included in this transaction. The purchase price equates to $331 per square foot.
Recently, the tower adopted the “Ryder” name after Ryder System moved its headquarters there from another Miami-Dade County location where it had been based for about two decades. Ryder downsized its office space as part of an adaptation to remote work trends.
In 2013, TA Associates Realty paid $81 million for the building before AEW Capital took over ownership in 2015. Crescent Real Estate manages assets valued at $4.4 billion as of February and is led by Chairman John Goff and CEO Conrad Suszynski.
This discounted transaction occurs during a period of elevated interest rates and increased costs related to insurance and materials. Although the Federal Reserve has reduced benchmark rates four times since last year, it previously raised them aggressively in both 2022 and 2023. These changes have made refinancing more difficult and have increased financial pressure on landlords with variable-rate loans.
While South Florida’s office market saw growth due to companies relocating from other states—resulting in record-high rents—some property owners are facing challenges from higher borrowing costs and shifts toward remote work. This environment has prompted some landlords to sell their buildings at lower prices.
Other recent sales reflect similar trends: Foundry Commercial sold Sawgrass Lake Center in Sunrise for $36.5 million this January—a reduction of nearly $21 million compared to its previous sale seven years earlier—and One Clearlake tower in West Palm Beach changed hands for $45 million this May, marking a discount of almost 26 percent from its value four years prior.
