Lincoln Road the Next Fifth Avenue?
A retail building at 635-639 Lincoln Road has traded for $34.8 million, this is. $6,527 per square feet. The building was built in 1935 and currently has two tenants in the 5,332 square feet premises.
The Seller is Camelot of Miami, LLC, the buyer is a Canadian investment firm.
If you do the math, at a 5% CAP rate, NNN rent should be around $330 per square feet, in other words the concept for these premises should sell at least $4,000 per square feet to be profitable.
As a reference Apple stores sell $6,000 per square feet and Tiffany & Co $3,000 per square feet.
Lincoln Road escalating prices place it in one of the most expensive sites in the US.