An affiliate of Bethesda, Maryland-based W.C. and A.N. Miller Development Co. has picked up a foreclosed office park in Palm Beach Gardens. The new owner paid $18.6 million for a quartet of two-story office buildings totaling 86,349 square feet on Key Gardens Avenue. Trading for just over $215 per sqf, the asset was built in 2000 on a 5.6 acre site. Avison Young’s John K. Crotty and Michael T. Fay represented the seller in the deal, a commercial mortgage backed securities trust managed by LNR Partners. The CMBS trust invested $730,000 in enhancing the building, renovating the facade, installing a new roof overlay and it increased the occupancy rate from 50 percent to 98.5 percent.
“All key metrics of Palm Beach County’s office market point to its continued strengthening and within the PGA corridor, in particular, high demand for office space and limited availabilities are leading to ongoing rental rate increases,” said Crotty. “This, coupled with the maximization of our full-service team of leasing, management, and project management, resulted in a competitive investor bidding process which allowed for our client to ultimately realize a significant profit in selling Professional Centre at the Gardens to a highly motivated buyer.”
