Hoffmann Commercial Real Estate, a division of the Naples-based Hoffmann Family of Companies, has finalized an agreement to purchase the ground-floor retail units at 465 Fifth Avenue South in downtown Naples. This acquisition marks a significant expansion of the Hoffmann family's commercial property holdings in the area.
The purchase price for the commercial portion of the building is $12 million. This transaction follows a major real estate deal in 2023 where Hoffmann sold approximately 25 downtown Naples properties. The current acquisition signals a renewed investment strategy for the prominent real estate firm in the Fifth Avenue South district.
Key Takeaways
- Hoffmann Commercial Real Estate is acquiring ground-floor retail at 465 Fifth Avenue South.
- The deal is valued at $12 million.
- This is the second recent acquisition for Hoffmann on Fifth Avenue South.
- The building includes luxury condominiums above the retail space.
- Phil McCabe, the developer and owner, confirmed the sale.
Hoffmann Expands Downtown Naples Holdings
The Hoffmann Family of Companies, through its real estate division, is increasing its presence on Fifth Avenue South. The target property is located at the northwest corner of Fifth Avenue South and Fifth Street South. This three-story building houses luxury condominiums on its upper two floors. The ground floor contains commercial retail units and underground parking facilities.
Phil McCabe, the developer and current owner of the building, confirmed the sale. He stated that the deal is complete, with "hard money" already exchanged. The closing is anticipated to occur within approximately three weeks from the announcement.
Quick Fact
The building at 465 Fifth Avenue South, completed in 2018, measures 10,845 square feet. It replaced a one-story strip of retail and office units.
A Return to Fifth Avenue Investment
This acquisition represents a notable return to direct investment on Fifth Avenue for the Hoffmann family. Two years prior, Hoffmann had expressed interest in purchasing the same property from the McCabe family. However, that earlier letter of intent did not result in a finalized sale. At that time, Hoffmann was in the process of selling its broader downtown Naples real estate portfolio to M Development, an Aspen-based firm.
"We've always admired this property, and we're thrilled to be back on Fifth Avenue, an area that owes much of its vibrancy to Phil," said Greg Hoffmann, CEO of Hoffmann Commercial Real Estate. "Phil was incredibly helpful to our family when we first came to town, and we genuinely enjoy working with him."
The relationship between the Hoffmann and McCabe families has been positive. Mr. McCabe developed and owned the building, which includes several retail tenants. These tenants will now have Hoffmann as their landlord.
Current Tenants and Future Plans
The retail units on the ground floor are fully leased. Existing tenants include The Vine Room, which is owned by Philip McCabe, Phil McCabe's son, and Gelato & Co. These businesses will continue their operations under the new ownership.
Phil McCabe expressed confidence in Hoffmann Commercial Real Estate as the new owner. He praised the family's previous contributions to the area. He believes they will be excellent landlords and continue to support Fifth Avenue's vitality.
Background Information
The Hoffmann Family of Companies is a diversified private equity firm. It owns more than 120 global brands. The company employs 17,000 individuals across 30 countries and 400 locations. Their portfolio includes various businesses beyond real estate, such as maritime tourism, sports teams, and golf clubs.
Second Recent Fifth Avenue Acquisition
This is not Hoffmann Commercial Real Estate's first recent purchase on Fifth Avenue South. Earlier this summer, the company acquired another corner building in the area. That property is located on the northeast corner of Fifth Avenue South and Sixth Street South. This location is set to become the second branch of The Augusta Clothing Co., a fashion boutique founded by Jerri Hoffmann, the family matriarch.
The opening of The Augusta Clothing Co.'s second location is expected soon. These two acquisitions highlight a strategic effort by Hoffmann to re-establish and expand its commercial footprint in this prominent downtown Naples district. The company remains optimistic about the local commercial real estate market.
"I've said it before, and I'll say it again: We're strong believers in the Naples commercial real estate market and remain committed to investing in its continued growth," Greg Hoffmann stated.
Phil McCabe's Legacy on Fifth Avenue
The sale of the 465 Fifth Avenue South building marks a significant moment for Phil McCabe. This transaction represents his final property ownership on Fifth Avenue. McCabe has been a long-standing and influential figure in the development of the area. He was the developer and former owner of prominent establishments such as the Inn on Fifth and McCabe's Irish Pub.
McCabe resided in a unique three-story corner unit within the 465 Fifth Avenue South building until recently. This unit featured a private rooftop pool. He confirmed the sale of his residential unit on September 2. He plans to move into a condominium at the new Naples Beach Club, A Four Seasons Resort, in early 2026. In the interim, he is renting another home.
"This is a meaningful milestone in my 30-year journey on Fifth Avenue," McCabe reflected. "After building, owning and operating the Inn on Fifth for decades, and calling Fifth Avenue home for so long, I'm proud to pass this property on to Hoffmann Commercial Real Estate. They've proven to be exceptional stewards of every property they've acquired, and I'm confident they'll continue to elevate the future of Fifth Avenue through their thoughtful art contributions and first-class management."
McCabe's departure from Fifth Avenue property ownership closes a chapter spanning three decades of his involvement in shaping the area. His contributions are widely recognized in the local community.
Diverse Holdings of Hoffmann Family of Companies
Beyond commercial real estate, the Hoffmann Family of Companies operates a wide range of businesses. This month, they acquired Pure Florida, a Naples-based maritime tourism business. Other notable acquisitions include Hertz Arena, home of the Florida Everblades hockey team, Old Collier Golf Club, and Old Corkscrew Golf Course.
The Hoffmann Family of Companies functions as a multi-vertical, family-owned private equity firm. Its extensive portfolio includes over 120 global brands. These brands collectively employ approximately 17,000 people. The businesses are located in 30 countries and operate across 400 locations worldwide, demonstrating the company's significant global reach and diverse investment strategy.
