The Hato Rey Center - Call for Offers- Friday

This Request for Best Offer as described herein is for The Hato Rey Center, an architectural award-winning high-rise office building consisting of 220,794 square feet supported by four (4) parking levels and located in the heart of the Central Business District, just steps from the Urban Train & bus station.

The sealed bid process is being conducted by Christiansen Commercial – Corporate Real Estate Service Advisors, as exclusive real estate contractor assisting the owner of the property.

The proponents are kindly requested to submit sealed best and final offers to Christiansen Commercial no later than 5:00pm on Friday, September 17, 2021 at the address specified below:

Christiansen Commercial

American International Plaza

250 Muñoz Rivera Avenue, Suite 350

Hato Rey, Puerto Rico, 00918

787.778.7000

Emails: ryan@christiansencommercial.com / daniel@christiansencommercial.com / laura@christiansencommercial.com

Property Highlights:
• Strategic location within the heart of the Central Business District in downtown Hato Rey
• Significant upside potential with the lease-up of vacant
space
• Leasing activity since 2017 illustrates an average of approximately 18,000 SF per year, therefore conservatively projecting stabilized occupancy of 80% within four years
• Perfectly positioned to accommodate growth with recent capital expenditures amounting to $3.24M
• Outstanding opportunity to acquire a market leading asset at pricing that is well below replacement cost

Investment Highlights:

Christiansen Commercial has been retained as the exclusive real estate agent for The Hato Rey Center, an architectural award winning high-rise office building consisting of 220,794 rentable square feet supported by 4 parking levels, and located at a strategic location within the heart of the Golden Mile, San Juan’s Central Business District and home to the largest concentration of banks, accounting firms, law firms, insurance companies and other professional service providers on the Island. Built in 1972, this magnificent property has endured the strongest of hurricanes and earthquakes, currently presenting an excellent physical state. Renovated in 2008 and 2015, recent capital expenditures amount to $3.24 million and include a newly installed A/C chiller, cooling tower, 100% backup generators, new roof, and recently remodeled lobby, food court, restrooms and elevators, among others.

The US standard Class B building has been re-positioned to attract small and mid-sized local businesses, as well as new-to-market players such as Act 20, Act 22, Act 273 and Disaster Recovery companies. With a current occupancy of 40.2%, The Hato Rey Center is perfectly situated to accommodate growth, presenting significant upside potential with the lease-up of vacant space. Along this line, absorption at HRC within the past 3 years shows an average of 17,592 square feet per year. It is an opportune moment to invest in Puerto Rico, as the real estate industry evidences positive indicators that illustrate the Island being in its path to recovery. The Hato Rey Center represents an outstanding opportunity to acquire a market leading asset with very strong upside potential that is priced well below replacement cost. There is no similar product currently available for sale in the open market. Don't miss out on this prime investment opportunity!