Cushman & Wakefield is pleased to offer for sale Harris Music Lofts, a 38-unit plus ground floor retail mixed-use property located at 206 Clematis Street in the heart of Downtown West Palm Beach. The property is the only rental on Clematis Street east of the recently built Brightline Station and is a walkers paradise. Immediately outside your door is all of the action on Clematis Street with its retail, bars and restaurants which provides the pulse to all of Downtown West Palm Beach. In addition, you are just steps away from Fountain Park and Centennial Square, one block from the Waterfront and City Commons, four blocks from the Brightline Station and six blocks from Rosemary Square (formerly CityPlace).
Harris Music Lofts offers 38 residential apartments on five floors and a 4,516 square foot, ground floor retail space. The residential apartments consist of 22 unique one-bedroom floor plans including some two-story townhome style, some with large skylight windows or with spectacular views of Clematis Street.
Originally built in 1925, the six-story, art deco building went through a comprehensive renovation in 1996 including new wiring, plumbing, replacement of all windows and doors, roof and HVACs. Apartments average 658 rentable square feet and all but three are in condominium quality. All apartments are on 12 month leases but zoning does allow for short-term rentals. Furthermore, average rents are notably under market and provide significant upside potential. The average rent at Harris Music Lofts is $1,365, while newly constructed one-bedrooms in the area average approximately $2,000.
On the ground floor there is 4,516 square feet of prime retail space just steps from the Waterfront and Fountain on Clematis Street. The current retail tenant is paying $11.47 modified gross with the lease expiring in May 2021. Once the retail lease expires, a new owner will have the ability to more than triple the current lease rate as well as be reimbursed for additional expenses that are currently not being reimbursed; all of which would go directly to the bottom line. Such a prime retail space on Clematis Street rents between $30-$35 NNN in today’s market.
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