What’s Up In The Real Estate Market…

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Avison Young completes $8.45 million sale of Meridian Center

Avison Young closed the $8.45 million sale of Meridian Center, a two-building office complex spanning 51,978-square-feet on 4.35 acres at 6501 and 6531 Park of Commerce Boulevard within the Park at Broken Sound in Boca Raton.

Following the firm’s value-driving management and lease-up of the properties, Avison Young Vice President Mark M. Rubin and Principal Keith O’Donnell facilitated the disposition on behalf of the sellers, Frank Capital LLC, Meridian Venture LLC, and RLT Capital LLC to the buyer, MTI Properties Florida LLC.

“Having coordinated service lines working together with a common objective, we enhanced value, facilitated complicated due diligence, and achieved market-leading pricing on behalf of our client,” Rubin said.

Over the length of the leasing and management assignment, Avison Young grew Meridian Center’s occupancy from 20 percent to 91 percent. Daryl Perkowski, Senior Property Manager with Avison Young, spearheaded the management of the portfolio in conjunction with the firm’s Project Management Group led by Chip Faulkenberry, Vice President.

“Meridian Center offered a unique opportunity for the buyer to purchase a stabilized asset within the upscale, burgeoning Boca Raton submarket at a discount to replacement cost,” added O’Donnell. “Furthermore, at 91 percent leased with below-market rents, the complex affords new ownership the potential for additional cash flow through the lease-up of vacant space and rent increases.”

Meridian Center is well-positioned within The Park at Broken Sound, a 700-acre development featuring office, retail, and residential units, known as the business park hub of Boca.

“Investment activity remains solid as both national and local investors seek to expand portfolios to include high-quality assets in Palm Beach County business hubs such as Boca Raton submarket,” said O’Donnell. “The Meridian Center sale represents this trend as well as the uptick in notable sales closing among class B assets in the market, closing on the heels of the recent $12 million sale of the TravelPro building on 700 Banyan Trail.”

CBRE’s Jeffrey Kelly, Executive Vice President, and Marshall Hydorn, Senior Vice President, represented the buyer during the transaction.

Integrated Dermatology Group moves to Boca Raton Innovation Campus

Integrated Dermatology Group has a new space at the Boca Raton Innovation Campus.

Cushman & Wakefield negotiated a sublease for the group in a 23,630-square-foot office at 4700 Exchange Court.

IDG owns, manages and operates dermatology practices throughout the company. The Boca Raton-based company acquires and partners with practices with the intent of creating value for independent practices by lowering operational costs and reducing management responsibilities while offering the advantages a large integrated group can provide.

The new space features an executive wing, five executive offices, an executive lounge with restroom, a 14-person executive conference room, 14 staff offices, 84 cubes, a break room and storage.

It is located on the former IBM campus, which now is owned by Next Tier HD. It features a state-of-the-art fitness center, on-site licensed day care, a 250-seat conference center, parking, modern interior finishes, 24-hour security, on-site retail, dining and banking and a Tri-Rail shuttle.

Cushman & Wakefield Managing Director John Criddle and Senior Associate Joseph Freitas represented the sublandlord. Michael Feuerman of Berger Commercial represented IDG.

“The BRIC space offered IDG a plug-and-play environment with state-of-the-art finishes in one of Florida’s iconic office parks,” Criddle said. “The space was move-in ready, necessitating very little in the way of down-time and transitional costs for IDG.”

GEO Group leases space at Boca Village Corporate Center

The Geo Group, Inc. has a new, long-term lease in a nearly 25,000-square foot office at Boca Village Corporate Center.

The GEO Group, Inc. is the first fully integrated equity real estate investment trust specializing in the design, financing, development and operation of correctional, detention, and community reentry facilities around the globe. GEO provides services to government agencies worldwide with operations in the United States, Australia, South Africa, and the United Kingdom.

GEO’s worldwide operations include the ownership and/or management of 143 facilities totaling about 100,000 beds, including projects under development, with a growing workforce of approximately 23,500 professionals.

The GEO Group is currently constructing its new corporate headquarters on an adjacent site and will utilize Boca Village Corporate Center as additional space. The GEO Group’s existing headquarters operations are housed at Boca’s One Park Place on NW 53rd St.

Boca Village Corporate Center is a state-of-the-art, 108,550-square-foot Class A office building developed in 2008. The seven-story building features five stories of office space with high-end finishes throughout, hurricane-rated impact glass and three floors of covered and attached parking. It is one of the few Class A buildings in Palm Beach County with a fully redundant back-up generator capable of powering the entire facility for one week. The building is LEED Silver-certified by the U.S. Green Building Council.

Cushman & Wakefield Managing Director John Criddle and Senior associate Joseph Freitas negotiated the lease on behalf of building owner AGS Properties Corporation. Jay Whelchel of Whelchel Partners represented GEO Group. A January 2018 move-in date is anticipated.

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