Lennox Industries, a company based in Richardson, Texas that provides climate control services for residential and commercial clients, has purchased an office building in Fort Lauderdale for $16 million. The 30,000-square-foot property is located at 2001 South Andrews Avenue and will serve as the company’s Southeast U.S. headquarters. Lennox also plans to establish a training center at the site.
The seller of the building is an entity connected to Health Network One, which manages networks for outpatient therapy and other healthcare services. Health Network One acquired the property in 2012 for $2.2 million and completed a full renovation two years later. The building was originally constructed in 1949 and previously operated as a distribution center for Hughes Supply Company.
Steve Hyatt of Berger Commercial Realty represented the seller in this transaction. Christopher Dubberly and Michael Meaden from CBRE acted on behalf of Lennox Industries.
“We expected the highest offer to come from a developer,” Hyatt said, adding that the property’s move-in ready condition made it appealing for an end user.
South Florida’s office market saw significant activity during the first three years of the pandemic but has slowed recently due to higher interest rates, lower values, and fewer companies moving into the region from out of state. Despite these trends, medical offices and user-owned buildings have continued to see steady transactions and remain resilient compared to other segments of the market.
Downtown Fort Lauderdale recorded two major office tower sales in the first quarter: Bradford Allen Investment Advisors bought Las Olas Centre I & II for $208 million, while Lone Star Funds—along with Highline Real Estate Capital and Square2 Capital—acquired Bank of America Plaza at Las Olas City Centre for $220 million. In Miami’s Brickell neighborhood, all-cash deals have become more common as interest rates rise; Spanish billionaire Amancio Ortega is under contract to purchase Sabadell Financial Center for $275 million.
