Business park in St. Pete's Gateway area sells for almost $30 million
By Henry Queen
Tampa Bay Business Journal
Published: Sep 4, 2024

A St. Petersburg business campus with over 206,000 square feet of flex space has changed ownership.

Boca Raton-based Basis Industrial purchased Pinellas Business Center from Boston-based Taurus Investment Holdings for $27.2 million. Flex space is commercial real estate suitable for office and light industrial uses.

The sale closed on Aug. 29, but a deed for the sale has not yet been recorded in Pinellas County property records.

The six-building property in the Gateway area features office and industrial capabilities and is 93% leased, according to a release. Tenants include PharmaLabs, Sensidyne, Curant Health Florida and IDEXX Reference Laboratories.

CBRE Capital Markets represented the seller in the transaction.

“The buyer was drawn to this property due to its value-add characteristics and their ability to operate the park as an institutional-quality flex project that matched perfectly with their current investment acquisition profile,” CBRE Senior Vice President Dale Peterson said in a statement.

Basis Industrial’s acquisition of Pinellas Business Center expanded its portfolio in the Tampa Bay metro area to 650,000 square feet. It plans to own 1 million square feet in the Tampa MSA by the end of 2024, according to a release.

The vertically integrated owner and operator also closed on two commercial properties totaling over 900,000 square feet in the Dallas and Houston markets on the same day as its purchase in St. Pete. Beach Point Capital Management served as the lender for the transactions, and Newmark facilitated the debt sourcing. A mortgage hasn't been filed in Pinellas property records.

Pinellas Business Center last sold in 2021 for $19.9 million. The 1980s-era property recently received a $3 million facade upgrade and should receive asphalt seal coating, landscaping and site cleanup, full roof maintenance, and replacement and repair of all HVAC units under Basis Industrial's ownership.

“This complex portfolio acquisition further reflects Basis’ ability to outperform and grow in this tough economic environment. Our goal of growth and expansion, while others are in wait-and-see mode, is working,” Basis Industrial COO and Partner Anthony Scavo said in a statement.

Jeff McFadden, Taurus Investment Holdings managing director, said Basis Industrial was a natural partner considering Taurus sold a 15-building business campus in Altamonte Springs for over $42 million to Basis in 2023.

The Tampa Bay area has maintained strong office leasing numbers despite market headwinds. The region recorded a state-leading 6.7 million square feet of leasing activity in the past year, per CoStar.