Office Building Near Gardens Mall Sold For $428 PSF

/in , /by

A Palm Beach Gardens office building just south of the Gardens Mall has been sold for $30.3 million.

OG 3001 PGA Blvd LLC, led by Robert D. Owens of Orlando’s Owens Realty Capital, transferred ownership of the 70,730-square-foot property at 3001 PGA Blvd. to APC (US) 3001 PGA LP, a Delaware-based entity with ties to Toronto’s private equity firm Roadmap Capital.

The transaction price equates to $428 per square foot.

The three-story building last changed hands in 2018 for $25.1 million. Palm Beach County has continued to see strong demand for office space, with many affluent individuals relocating to the area, often bringing their businesses along.

Constructed in 2006, the property sits on a 5.6-acre plot. Its tenants include Seacoast Bank and American Title Insurance Co.

 

Source:  SFBJ

Marcus & Millichap Brokers $12 Million Sale Of Mixed-Use Office, Retail Portfolio In Coral Springs

/in , /by

Marcus & Millichap announced the sale of Promenade of Coral Springs, a mixed-use office and retail portfolio located at 1999 N. University Drive in Coral Springs for $11,940,000.

“This property boasts a great mix of office and retail tenants in one of South Florida’s most sought-after neighborhoods,” says Alex Zylberglait, executive managing director investments in Marcus & Millichap’s Miami office. “With significant upside in occupancy and rents, the new ownership will benefit for many years to come.”

Zylberglait and Michael Crocchiola exclusively marketed the property on behalf of the seller and procured the buyer, a local private investor.

The property includes 58,446 square feet of rentable space across two buildings on 5.23 acres. It features 35,349 square feet of Class A office space divided into 14 suites, 13,360 square feet of multi-tenant retail across seven units, and a 9,737-square-foot outparcel occupied by Miller’s Ale House, which has been a tenant since 2003. The site has a diverse tenant mix, including national brands such as Avis and Nothing Bundt Cakes, along with established local businesses.

 

CBRE Arranges Sale, Financing Of Boca Office Building

/in , /by

CBRE Capital Markets has facilitated the $20 million sale of Boca Corporate Center, a four-story, 93,219-square-foot boutique office building located at 2101 NW Corporate Boulevard in Boca Raton.

The buyer, Larsen MacColl Partners, is a Pennsylvania- and Florida-based real estate investment firm with a focus on commercial properties in affluent, dense suburban markets and with primarily professional service tenants. Boston-based Spaulding and Slye Investments, with over 50 years of experience investing in the U.S., provided asset management services on behalf of the seller.

Exclusively representing the seller, the sale was facilitated by the CBRE’s Office Investment Sales team, led by Vice Chairman Christian Lee, Vice President Sean Kelly, Senior Associate Tom Rappa, and Financial Analyst Matthew Lee. CBRE’s Debt & Structured Finance team, led by Senior Vice President Amy Julian and First Vice Present Andrew Chilgren, secured a $14 million loan with Deutsche Bank on behalf of the buyer.

“The property’s location within the Midtown Boca micromarket provides immediate access to the City’s top retail destinations as well as I-95 and the Turnpike,” said Lee.

 

“The boutique nature of the property appeals to the smaller tenants that frequent the Boca submarket,” added Kelly.

Boca Corporate Center features recently renovated lobby and common areas, highly efficient floor plates, and walkable amenities. There is significant upside through marking the in-place rents up to today’s higher market rents.

“Boca Corporate Center’s strong occupancy history, in-place income and future upside provided abundant confidence on the future success of the asset throughout the lending community,” said Chilgren.

 

Three Companies Secure Space At 110 East Broward

/in , /by

In the coming months, three diverse companies—a bank, an IT firm, and a provider of autism therapy services—will be relocating to a 24-story office tower in downtown Fort Lauderdale.

Pebb Capital, Intalex Capital, and CDS International Holdings revealed that their 110 East Broward Boulevard building, a 24-story structure, is now 64% leased, following a series of office lease agreements over the past 15 months.

The largest tenant will be ABA Centers of America, a South Florida-based provider of autism therapy. Listed among the fastest-growing private companies by Inc. Magazine and the Business Journal, ABA Centers will occupy 48,000 square feet across the building’s top three floors. The company had originally planned to occupy a single floor but will now take up more space once construction is complete in January, according to ABA’s Director of Public Relations, Katie Murphy.

Founded in 2020, ABA Centers specializes in autism treatment at its facilities in Florida, New Hampshire, and Massachusetts. The company is also preparing to open a 13,341-square-foot testing and treatment center near South University’s Royal Palm Beach campus.

Seacoast Bank, the sixth-largest bank headquartered in Florida, will open a 7,795-square-foot retail branch and office on the building’s first floor in May. Based in Stuart, Seacoast Bank made notable acquisitions in 2022, purchasing Miami’s Apollo Bank for $168.3 million and Coral Gables-based Professional Bank for $489 million.

Chelsea Technologies, a New York-based IT services provider for hedge funds, banks, and private equity firms, will take up a 3,221-square-foot office on the 20th floor. Chelsea is scheduled to move in June, relocating from its current office at 101 N.E. 3rd Ave in Fort Lauderdale, according to a spokesperson for Pebb Capital.

Travis Herring and Katherine Ridgway of Cushman & Wakefield represented the building’s landlords in the lease negotiations.

In May 2023, the South Florida real estate firms Pebb, Intalex, and CDS acquired the 110 East Broward Boulevard building for $43 million. At the time of purchase, the 1982-built office tower was only 28% leased, as noted in a press release from the owners.

 

Source:  SFBJ

Fort Lauderdale’s Office Sector Sees Pick Up In Spec Suites

/in , /by

Spec suites are gaining traction in South Florida’s commercial real estate market.

Fort Lauderdale, in particular, is emerging as a key player in this trend, offering 52 spec suites across 16 properties, totaling more than 61,000 square feet, according to a recent report from Avison Young. This represents a notable increase in activity, with 17 transactions completed so far this year, compared to just 12 in 2023.

The Downtown Fort Lauderdale submarket is leading the way, providing 26 suites spanning over 61,000 square feet. In comparison, Southwest Broward offers 13 suites with a combined 38,000 square feet of space. Smaller spec suite offerings can also be found in areas like Pompano Beach and Hollywood, each providing just over 10,000 square feet.

At present, Fort Lauderdale’s office market includes 29 vacant, built-out spaces, with 23 more still under construction or in the planning stages.

“As more companies look to establish offices in South Florida, spec suites offer a quick and convenient solution, reducing the time and effort required for planning and construction,” said Greg Martin, Managing Director of Avison Young’s Fort Lauderdale office. “Moreover, the increasing demand from tenants seeking to adjust their office space for better productivity is further driving the need for ‘move-in ready’ spaces. The time, cost, and energy savings benefit both landlords and tenants.”

Most importantly, the office sector is recovering from the pandemic’s effects. South Florida is leading the nation in office space recovery, with nearly 90% of employees back to in-office work, according to the Fort Lauderdale Downtown Development Authority.

“Although remote work remains a part of the equation, Downtown Fort Lauderdale has largely remained unaffected by the decline in office worker foot traffic,” the authority noted.

Many industry experts, including those at Goldman Sachs, believe the office market has already hit its lowest point.

 

Source: GlobeSt.

JLL Arranges Eight Leases Totaling More Than 46,000 SF At Northbridge Centre In WPB

/in , /by

JLL announced the completion of several new leases, including new-to-market, expansions and renewals, at Northbridge Centre in Downtown West Palm Beach that drive total occupancy in the trophy office complex to 95 percent.

Situated at 515 North Flagler Drive in the city’s urban core, the four story, 294,493-square-foot trophy office property will see new and existing tenants ranging in size from approximately 1,800 to over 13,300 square feet.

JLL Senior Managing Directors Kevin Probel and Kevin McCarthy along with Sales Coordinator Leigh Lingo represented the building’s ownership group, Vanderbilt Office Properties, who recently invested over $18 million into capital improvements, including multi-tenant floor renovations, speculative suite buildouts, elevator and lobby renovations, and exterior upgrades.

“Palm Beach County remains a hotspot for corporate headquarter relocations and expansions due to its growing and highly educated labor force, unmatched quality of life and economic strength,” said JLL’s Probel. “With only a handful of available spaces left, Northbridge Centre remains the premiere choice for companies looking to expand or enter the region and take advantage of the property’s employee friendly amenities and strategic location in the heart of Downtown West Palm Beach.”

Among the new additions to Northbridge Centre’s distinguished roster of tenants are:

  •  Duracell Distributing, which offers office administrative and support services, is expanding from 1,955 square feet to occupy 6,113 square feet of space. Duracell Distributing was represented by Mitchell Millowitz at Newmark.
  •  General Services Administration (GSA), an independent agency of the United States government established to help manage and support the basic functioning of federal agencies, will occupy 13,135 square feet. GSA was represented by Scott Powell with Public Properties.
  •  Serengeti Asset Management, a New York-based boutique financial firm specializing in investment management services that will be taking 4,119 square feet. Serengeti Asset Management was represented by Connie Thomas with TCRE.
  •  Smart Source LLC, a new-to-market global company that offers print, promotional and digital marketing services and will occupy 4,140 square feet. John Criddle with CBRE represented Smart Source LLC.
  •  Shoreham Capital,a privately-held real estate firm focused on the acquisition, development, ownership, and management of best-in-class real estate properties spanning the East Coast, signed a new lease for 3,455 square feet of space;
  •  Fifth Third Bank, a financial institution offering a range of banking services to individuals and businesses, has renewed its spots on the first and seventh floor for a total of 7,984 square feet. Will Portfolio and Chris Smith with CBRE represented Fifth Third Bank.
  •  Lightview Capital, a lower middle market private equity firm, has renewed its 1,825 square feet of space on the fifth floor. Lightview Capital was represented by Jason Sundook and Lesley Sheinberg with NAI Merin Hunter Codman.
  •  DC Capital Partners, a private equity investment firm, has renewed and expanded its lease from 3,150 square feet to now occupy 6,560 square feet. Brad Davis with CBRE represented DC Capital Partners.

Located in the heart of Downtown West Palm Beach and the central business district, Northbridge Centre offers convenient access to Palm Beach Island, Interstate 95 & Okeechobee Blvd and is less than a mile away from the first private US passenger rail Brightline station. The trophy office building features panoramic water views of the intercoastal waterway, the Atlantic Ocean, and Clear Lake as well as spectacular views of Palm Beach Island and the West Palm Beach skyline. Additionally, the property offers tenants three on-site dining venues, rooftop amenity deck, full-service banking, executive valet parking with direct building access, a Paul James salon, a fitness center with extensive programming, and a state-of-the-art conference facility.

According to JLL’s latest office insight report for Palm Beach County, flight-to-quality remains an important driver of activity as demonstrated by rents and vacancy rates in Palm Beach’s most exclusive submarket – Palm Beach Island. Overall direct rents reached an impressive $70.69 per square foot, full service (FS) this quarter, representing a staggering 31.3% increase year over year.