Sperry Commercial Global Affiliates – Flint Brokers & Associates assisted Midtown Melbourne, LLC in their $6.2MM acquisition of the West Melbourne Crunch Fitness location.
West Melbourne, Fla. – June 17, 2021: Founding Principal, James Flint, CCIM of Sperry Commercial Global Affiliates – Flint Brokers & Associates, a commercial real estate firm headquartered in Melbourne, Florida, represented the buyer, Midtown Melbourne, LLC, in their $6.2 million-dollar acquisition of the 45,755 square foot retail location, leased by Crunch Fitness. The seller, PND Melbourne,LLC, in cooperation with CR Fitness Holdings, had converted the former Toys-R-Us location into the new fitness center, and had initiated a 15 year, absolute NNN lease in the midst of the Covid-19 pandemic. The group was represented by Matthew Mousavi, MBA, Managing Principal of National Net Lease Group of SRS Real Estate Partners.
Crunch Fitness is undergoing an aggressive expansion in Florida with the guidance of Vince Julien, Geoff Dyer, Tony Scrimale and Jeff Dotson. According to their press release, the four owners have a combined 100 years’ experience in the fitness industry, and have built more than 120 clubs between them. They currently have six locations in Orlando, two in Melbourne, and 15 more in development in the Southeast region of Florida. NorthCastle partners provided the equity capital to help drive future growth, with more
than 100 Clubs expected to be open and operating within five years.
"Our rapid expansion in Florida has been very exciting as these new locations represent a unique opportunity to provide our existing and new members with the high quality, affordable fitness experience Crunch is known for," says CR Fitness Holdings LLC. CEO, Vince Julien. "We look forward to sharing the Crunch experience in these new communities as we continue to move into new markets and further accelerate our growth."
On the buyer’s side, Midtown Melbourne LLC’s acquisition of the property was part of a 1031 Exchange after the successful disposition of an asset in Palo Alto, CA. Their principal chose the State of Florida because of its population growth, and its favorable tax environment.
“The 1031 Exchange is a very powerful tool that allows investors to defer their capital gains, and depreciation recapture,” said Flint. "By leveraging funds that would otherwise be taxable, investors can increase their wealth by acquiring more and more valuable assets."
The Sperry Commercial – Flint Brokers & Associates team was able to guide their client through the process of location, analysis, offer submission, negotiation, and ultimately acquisition. In addition to the site selection process, the team introduced their client to their Central Florida network, who provided the financing, legal guidance, and physical property due-diligence required for a successful acquisition.
If you are in considering the acquisition or disposition of an asset, and you need assistance with your 1031 exchange, along with the process of locating and acquiring a replacement property, please call Sperry Commercial – Flint Brokers & Associates for a consultation.
About Sperry Commercial Global Affiliates – Flint Brokers & Associates
Founded in by James Flint, CCIM, Sperry Commercial – Flint Brokers' team serves as expert commercial real estate advisors to owners and investors across a broad spectrum of industries. By combining their in-depth local market knowledge and connections, with the broad reach of their global affiliate network, and their utilization of the latest technologies, they are able to deliver strategic, targeted solutions to their clients, with integrity and professionalism. For more information, visit www.flintbrokers.com.