Cypress Creek Office Park Reaches 94% Occupancy With New Lease Deals, Renewals And Expansions

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Feldman Equities announced it has achieved a 94%+ occupancy following the signing of numerous new leases at Pinnacle Corporate Park, a Class A office campus at 500 and 550 West Cypress Creek Road in Ft. Lauderdale.

Pinnacle Corporate Park, located in the Cypress Creek submarket in North Ft. Lauerdale, is adjacent to the intersection of West Cypress Creek Road and is immediately adjacent to a Tri-Rail railroad station.

The roster of new and expanded tenants at Pinnacle Corporate Park includes:

  • Sound Income Group, LLC- 11,900 SF new lease
  • Maxim Healthcare Staffing Services, Inc.-8,314 SF new lease
  • Dimension Hospitality-7,757 SF new lease
  • La Cava Jacobson and Goodis, P.A.-5,919 SF new lease
  • Legacy Staffing-2,928 SF new lease
  • Clean Initiative FL, Inc.-2,287 SF new lease
  • Parsons Services Company-1,824 SF new lease
  • Harmon Inc.-1,502 SF new lease
  • Chen Moore and Associates, Inc.-12,405 SF lease renewal and expansion
  • Ascendo-6,292 SF lease renewal and expansion
  • Your LTC Resource, Inc.-1,592 SF lease renewal and expansion
  • Johnson & Martin, P.A.-1,465 SF lease renewal and expansion
  • Filomena’s Bean Café-1,410 SF new lease

“We’re thrilled to extend a warm welcome to our new tenants joining the dynamic community of Pinnacle Corporate Park,” said Larry Feldman, President and CEO of Feldman Equities. “We’re committed to providing a topnotch experience for our tenants, and the recent additions to our tenant roster are a testament to the capital improvements we’ve implemented. At Feldman Equities, we have worked very hard to enhance the overall environment and services we offer to our valued tenants.”

Pinnacle Corporate Park was 80% occupied when Feldman Equities acquired the property about two years ago. Following the acquisition, ownership has recently completed a multimillion-dollar renovation to the property. The renovations were designed by the world-renowned Gensler architectural firm. Improvements include:

  • Large high-end fitness center
  • First-class tenant lounge with soft seating and private meeting booths
  • Indoor and outdoor game area
  • New café with indoor and outdoor seating
  • Patio area with new pergolas for shade
  • New lighting throughout the common areas of the building

Pinnacle Corporate Park boasts near immediate access to Interstate 95 and is walking distance to hotels, restaurants, retail and banking and following the renovations, the buildings are now the best-amenitized office buildings in the Cypress Creek submarket. Pinnacle Corporate Park also offers EV charging stations and an on-site parking ratio of four spaces per 1,000 rentable square feet.

Despite the weaker office market nationally, the Sunshine State’s office market is benefitting from robust job growth, nation-leading population growth, a business-friendly regulatory climate and an influx of employers and workers from other parts of the United States.

 

Cushman & Wakefield Represents Landlord & Tenant In Huge Office Lease Renewal, Expansion

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Ultimate Kronos Group, Inc. (“UKG”) has completed a 140,599-square-foot long-term office lease renewal and a 14,072-square-foot office lease expansion (cumulatively 154,671 square feet) at Weston Pointe, located at 2250 North Commerce Parkway in Weston.

Ultimate Software Group, Inc., which merged with Kronos Incorporated in 2020 to form UKG, was founded in Weston in 1990. UKG currently operates a dual headquarters model, with one headquarters located in Lowell, Massachusetts and the other in Weston, Florida.

Cushman & Wakefield’s Deanna Lobinsky and Chase Kulp represented the landlord, an institutional client of New York Life Real Estate Investors, in the lease negotiations. John Boyle, Tony Jones, and Mary Burnieka, also of Cushman and Wakefield, represented the tenant, UKG.

“At nearly 155,000 square feet, this market-making transaction is the largest office lease renewal completed in Broward County since 2019. With the execution of this lease, UKG, one of the largest and most recognizable HCM, payroll, and workforce management technology companies in the world, has reaffirmed its commitment to maintaining a strong office and employment presence in both Weston, FL and Broward County, respectively. Our team worked with ownership to develop a strategy to mitigate the risks of new development in the area and secured a long-term lease that was extremely accretive for the asset,” said Lobinsky, Executive Director at Cushman & Wakefield.

 

“On behalf of ownership, we are very excited to have renewed and expanded UKG at Weston Pointe. The property is now 97% leased with a 7.5 year weighted average lease term, which is an incredible accomplishment given the current macroeconomic headwinds facing the office sector. We couldn’t be more pleased with Deanna and Chase’s persistence and performance in executing this renewal with such an important tenant for our client,” added Joe Thomas, Director of Asset Management at New York Life Real Estate Investors.

Weston Pointe is a four-building, Class A, suburban office asset acquired by New York Life Real Estate Investors in January 2016. Weston Pointe is situated at the intersection of I-75 and Royal Palm Boulevard in one of the most prestigious office submarkets in Broward County. The property offers abundant parking, on-site property management provided by Foundry Commercial, a recently modernized tenant fitness center, and the property recently achieved LEED Silver certification and a Fitwel Level 1 designation.

 

Plantation Medical Office Park Trades

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Avison Young’s Florida Capital Markets Group completed the $15,450,000 sale of Plantation Medical Office Park, a six-building, single-story medical office campus totaling 63,319 square feet at 6710-6834 West Sunrise Blvd. in South Florida’s Plantation submarket.

The $244-per-square-foot transaction underscores the attractiveness of medical office assets as overall office sale activity has slowed.

Avison Young Principals John K. Crotty, CCIM; David Duckworth; Michael T. Fay, who is also Managing Director of the firm’s Miami operations; and Brian C. de la Fé sold the asset on behalf of PPP Capital, LLC. The buyer was Bezrat H., Corp.

“Located in one of Broward County’s most desirable office submarkets, Plantation Medical Office Park is 98% occupied with a rent roll composed entirely of medical tenants, many of which have been there for decades and have expanded their operations and occupied additional space,” said Crotty. “The buyer will benefit from stable, long-term cash flow as the asset appreciates and the option to fulfill the property’s significant value-add potential through developing a vacant pad previously approved for a two-story 22,000-square-foot medical building.”

Plantation Medical Office Park is in a densely populated, major commerce and medical hub with over 200,000+ residents, 7,000+ businesses, and $2.3 billion in total consumer spending within a five-mile radius. With exceptional visibility from Sunrise Boulevard, the Park is strategically located just three miles from Westside Regional Medical Center, a full-service 250-bed hospital. Notable tenants include American Access Care, Dickens Sanomi Academy, and Baptist Hospital of Miami, Inc.

“Medical office is currently one of the most desirable property types among investors due to the stability of in-person doctor-patient care solidifying tenant need for physical space,” said Duckworth. “Marketing the attractiveness of medical office and the ideal location of this asset, in particular, allowed us to secure strong pricing despite market uncertainties in the financial markets.”

Avison Young insights show the latest banking crisis has led to more economic headwinds for investors, rendering it difficult to secure financing for commercial real estate transactions, particularly within the office sector. However, the greater need for physical space and high costs associated with relocations and build-outs among medical office tenants abate the concerns of investors and financiers alike and make medical assets the exception during challenging times.

 

Cushman & Wakefield Arranges 12,000-SF Office Lease For Largest Privately-Owned Global Coworking Franchisor

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Cushman & Wakefield has arranged a new long-term lease totaling 12,149 square feet for Office Evolution and Venture X at the District Pointe office building in West Palm Beach.

Office Evolution and Venture X will lease the fifth floor and create a superior coworking space that offers a community of entrepreneurs, established businesses, and startups a flexible workspace and opportunities for professional collaborations.

Anthony Librizzi and Tara England of Cushman & Wakefield represented the landlord, District Pointe, LLC, in the lease negotiations. Derek Baker of Colliers represented the tenant.

“This transaction reflects the on-going trend of flexible office providers growing at a break-neck pace here in South Florida,” said Librizzi, Managing Director at Cushman & Wakefield. “The offerings provided by these flex space operators are meeting the demands of many small and start-up companies here in South Florida. And District Pointe, with its complete renovation of the interior and exterior of the building, is attracting significant interest from a number of industries in our market.”

Owner District Pointe, LLC is a joint venture between Verdex Construction and Index Investment Group that was formed to purchase the property in November 2021. As part of the acquisition, the building was rebranded as District Pointe and Verdex Construction announced plans to occupy a floor for their new U.S. headquarters.

“We welcome Office Evolution and Venture X to this building, that will be part of a larger redevelopment occurring around Centrepark Boulevard and Belvedere Road to create a great environment for live-work-play with additional apartments, restaurants, retail, and sports facilities being built,” added Bjarne Borg, CEO of Index Investment Group.

District Pointe is located at 1501 Belvedere Rd. and sits directly across from Palm Beach International Airport. Recently made available for multi-tenant use, the office building allows tenants to benefit from close proximity to the airport and Interstate 95 as well as the amenities offered at the Warehouse District. The office building will soon offer additional amenities including a structured parking garage, on-site restaurant, and pickle and Padel ball courts as part of a massive interior/exterior renovation project currently underway.

 

110 East Broward Blvd. Sells, Marks Fort Lauderdale’s Largest Office Transaction Of The Year

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Real estate and private equity firms Pebb Capital and Intalex Capital, in partnership with CDS International Holdings Inc. (CDS), announced the acquisition of a trophy ’Class A’ office building in the urban core of Fort Lauderdale.

The transaction, which closed on May 15, marks the largest ‘Class A’ office deal in downtown Fort Lauderdale this year.

Pebb Capital and Intalex Capital purchased 110 East, located at 110 East Broward Blvd., from Stockbridge for $43 million.

Christian Lee, Andrew Chilgren, Marcos Minaya and Sean Kelly of CBRE brokered the transaction on behalf of both the buyer and seller.

At the entryway to downtown Fort Lauderdale, 110 East is situated in the middle of 15,000 multifamily units developed in the last decade and is within walking distance to more than 30 restaurants and the famed Las Olas Boulevard. Conveniently located near major transportation hubs, the property is just two blocks from the Brightline Station and a 10-minute drive to Fort Lauderdale-Hollywood International Airport.

The 24-story tower consists of 343,500 square feet of space. During the pendency of the contract, Pebb Capital and Intalex Capital commenced leasing efforts and secured approximately 76,000 square feet of new tenancy.

The partnership is actively negotiating another 125,000 square feet of new leases to stabilize building occupancy years ahead of their anticipated underwriting. Travis Herring and Katherine Ridgway of Cushman & Wakefield have worked with Pebb Capital and Intalex Capital to oversee leasing velocity.

As a premier commercial offering, 110 East has the largest block of contiguous office space available in the market with panoramic views of the ocean, intra-coastal waterway and downtown. Adding to its prestige will be multi-million-dollar renovations to common areas, including bathrooms, fitness center, terraces and lobby, which follow substantial renovations completed by Stockbridge in 2021.

“This deal is a significant success for our portfolio, working nearly a year to finalize it as capital markets shifted,” said Todd Rosenberg, co-founder and managing partner of Pebb Capital. “South Florida has remained a bright spot in domestic office activity, with strong fundamentals to continue this trajectory of business and population growth. Combine this with Fort Lauderdale’s economic outlook and the value-add opportunity of 110 East, the conditions align with our office investment strategy of acquiring and developing more than 600,000 square feet in the tri-county area.”

Cushman & Wakefield’s Q1 2023 Broward County MarketBeat Office Report notes, in the coming quarters, an expected positive absorption year-to-date, with continued demand for larger leases in the Central Business District. The market also saw a historic record of overall office rates exceeding $55-per-square-foot this year. According to Intalex Capital Founder Bryson Ridgway, the deal and current market dynamics set in motion a concerted effort by the firms to aggressively acquire more South Florida office assets.

“110 East Broward is a great opportunity to take advantage of current dislocation in the office segment and capital markets,” added Bill Milmoe, President of CDS. “As soon as we completed our diligence and understood Pebb Capital and Intalex Capital’s business plan, we were enthusiastic to provide the LP capital for this very exciting project. We are bullish on South Florida and have the utmost confidence in the team to execute the business plan. The rapid pace of pre-closing leasing activity confirms that this is going to be a superlative opportunity.”

Greenwall Capital Management advised CDS in the transaction and Kapp Morrison, LLP provided legal representation to CDS.

 

CBRE, The Agency Announce New Office Lease In Palm Beach

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CBRE has arranged a new office lease at 180 Royal Palm Way in Palm Beach Island, on behalf of The Agency, a global real estate brokerage.

The Palm Beach office is led by Principal of The Agency, Santiago Arana, and The Agency’s Founder and CEO, Mauricio Umansky, alongside Brian Fairweather Jr. as Managing Director and Howard Elfman as Managing Broker.

This office will serve as The Agency’s permanent office in Palm Beach, replacing a temporary office used at the time of launch in Q1 of this year. In addition to this new office and their current South Florida offices in Miami’s Bal Harbour neighborhood and Naples, The Agency Palm Beach currently has approximately a dozen agents and staff with plans to strategically grow their new office with like-minded agents in the region. They will occupy space on the second floor in May.

“Our expansion in Palm Beach is an exciting chapter for The Agency as we continue to grow our presence in South Florida and across the globe,” said Arana, Managing Partner of The Agency Palm Beach and Miami.

 

“I am honored to be leading The Agency Palm Beach alongside Mauricio, Santiago and Howard as we continue to showcase the power of The Agency brand throughout this highly sought after region,” added Fairweather Jr.

Max Pawk with CBRE represented The Agency in lease negotiations. The landlord is Frisbie Group, LLC.

“As one of the fastest-growing premier, boutique brands in the world, it was important for The Agency to find a location where they can tap into the highly affluent Palm Beach Island community as they continue growing their business across South Florida,” said Pawk.

Located steps from the ocean, this property has prime access to notable restaurants and retailers nearby, including The Breakers Hotel, Buccan Restaurant, and La Goulue Restaurant.