SF Partners Sells Grove Centre Office Building in Boca Raton for $11.5 Million
- Mar 03, 2016
Miami–Cushman & Wakefield recently announced that it has brokered the sale of Grove Centre, a 52,253-square-foot office building located in Boca Raton. KAS Grove LLC, managed by Daniel Stuzin of SF Partners in Miami, sold the office complex to TJAC Boca Grove, managed by Zvi Schwarzman, the managing director of Boston-based TJAC Development.
Cushman & Wakefield’s capital market team, lead by Executive Director Scott O’Donnell and Senior Director Dominic Montazemi, represented the seller, SF Partners, while the buyer, TJAC Development, was represented by Ayal Frist of Stateland Brown. The price per square foot was $220 and the transaction was valued at $11.5 million, with a mortgage of $8.6 million provided by SunTrust Bank. The building was 86 percent occupied at the time of sale. It last traded for $6.9 million in 2013.
“SF Partners nearly doubled the price they paid in 2013 through a successful repositioning program,” said O’Donnell in prepared remarks. “This is a very unique asset whose value was also driven by the opportunity to develop retail on the site.”
Located at 21301 Powerline Road, Grove Centre is a three-story building on a 3.5-acre parcel constructed in 1983. At the time of the sale the building was occupied in a proportion of 86 percent. Notable tenants include C3TS/Stantec, Sequoia Insurance & Financial Inc, Freedman & Spoont P.A. and Weisberg & Associates.
TJAC Development plans to build a retail center on the south side of the property, which is currently utilized for overflow parking. TJAC mostly builds student housing, although it has also constructed retail centers. Its retail properties include Fountains Center and the Boardwalk in Boca Raton, both of them also on Powerline Road.
O’Donnell and Montazemi’s nine-member capital markets team has closed more than one million square feet of office and land transactions in Broward, Miami-Dade and Palm Beach Counties valued at $42 million since joining Cushman & Wakefield in November.
According to Cushman & Wakefield research, the Palm Beach office market continues to exhibit positive fundamentals and remains a target for users and investors alike.
Image courtesy of Cushman & Wakefield.