The 5,875-square-foot (SF) property is 100% leased to Rimowa, the luxury luggage manufacturer owned by LVMH, and Birkenstock, the iconic footwear brand majority-owned by L. Catterton. Both tenants are secured under long-term triple-net leases, providing ROP with durable, passive cash flow in one of the most sought-after high street retail markets in the world.
“We are thrilled to make our first purchase in Miami’s Design District and our third in South Florida as we continue to grow our luxury retail portfolio,” said Adam Frank, President of River Oaks Properties. “I look forward to a long-term relationship with our new tenants, Rimowa and Birkenstock.” ** Prime Location Surrounded by Global Luxury Brands**
111-115 NE 40th Street is ideally positioned among many of the world’s premier luxury retailers. The property sits adjacent to the ALO Yoga flagship store, which was acquired by ALO vacant in December 2023 for $22 million (approx. $4,438/SF), and directly across from Atlas Plaza, home to Rolex, Fendi, and Richemont. Atlas Plaza was acquired earlier this month by Ponte Gadea, the family office of Spanish billionaire Amancio Ortega (founder of Zara), for $110 million (nearly $5,000/SF).
Miami’s Design District has established itself as a global luxury destination with a roster of tenants that includes Louis Vuitton, Hermes, Bulgari, Chanel, Prada, Gucci, Yves Saint Laurent, Tiffany & Co., Cartier, Moncler, Givenchy, Loro Piana, and Dior.
ROP’s Expanding South Florida Retail Portfolio
This transaction marks the continuation of ROP’s strategic expansion into South Florida’s most dynamic retail markets:
June 2022 – ROP entered the market with the $25 million acquisition of Shop Delray, a newly completed gourmet grocery-anchored shopping center in Delray Beach. January 2025 – ROP closed on the $28 million acquisition of Catch Miami, a trophy restaurant property in Miami Beach’s South of Fifth neighborhood, acquired from Black Lion Real Estate Group. With this third acquisition, ROP is building a diversified luxury retail portfolio across South Florida’s strongest submarkets.
Transaction Advisors
ROP was exclusively advised by Pegasus Investments Real Estate Advisory Inc. (“Pegasus”), which also represented the firm in its prior South Florida acquisitions and continues to advise ROP on dispositions of new single-tenant net leased developments in El Paso. Pegasus has also been retained by ROP to oversee the ongoing management of 111-115 NE 40th Street.
“Acquiring trophy assets in one of the world’s most sought-after markets is never easy, but we rely on our relationships to uncover these opportunities,” said Daylin Ackerman, Managing Director of Pegasus. “We want to thank our counterparty, Jordan Gimelstein of Inhouse Commercial, for his trust and support in bringing this transaction to a successful close.”
David Chasin, CEO of Pegasus, added, “South Florida, and Miami in particular, is undergoing a significant transition in capital maturity. Early, opportunistic investors have generated substantial value and are beginning to selectively exit projects, creating attractive opportunities for core, cash-flow-focused capital. Pegasus and its clients are strategically positioned to capitalize on this market shift and are committed to evaluating high-quality opportunities in the region.”
The seller, an affiliate of Harbor Group International, was advised by Jordan Gimelstein of Inhouse Commercial. Akerman LLP’s Miami office served as legal advisor to ROP.
“This transaction demonstrates the continued strength of Miami’s Design District as one of the world’s premier luxury retail destinations,” said Jordan Gimelstein, Principal of Inhouse Commercial Sales. “It was a pleasure to advise Harbor Group International on this sale and to help bring together two strong counterparties in River Oaks Properties and Pegasus,” Gimelstein added.
About River Oaks Properties
River Oaks Properties is the largest commercial real estate development and management firm in El Paso, Texas. Founded in 1959 by Gerald Rubin, the company owns and operates an expansive portfolio of high-quality retail, with a growing presence in South Florida. ROP specializes in the acquisition, development, and long-term ownership of premier properties that deliver enduring value to its tenants and communities.
About Pegasus Investments Real Estate Advisory Inc.
Pegasus Investments is a national commercial real estate investment advisory and asset management platform specializing in the acquisition, disposition, financing and management of high-quality commercial and net-leased properties on behalf of ultra-high-net-worth and institutional clients. Pegasus brings together a full-service suite of brokerage, capital markets, and asset management expertise to deliver long-term value for its clients nationwide.
About Inhouse Commercial Sales
Inhouse Commercial Sales leverages deep market knowledge, long-standing relationships, and extensive advisory experience across South Florida’s commercial real estate landscape. The firm in partnership with its affiliate, Inhouse Commercial, specializes in retail, hospitality, mixed-use, and land development, providing clients with tailored strategies in investment sales, leasing, marketing, and business development to deliver comprehensive solutions that maximize value and support long-term growth.