Prime PGA Office Building Sells

NAI/Merin Hunter Codman, Inc. has negotiated the sale of an 80,000 square-foot, Class-A office building at 4400 PGA Boulevard in Palm Beach Gardens, Florida. The sale, which closed this month, was orchestrated by NAI/Merin Hunter Codman Chairman, Neil E. Merin, who served as Receiver on the building on behalf of a special servicer.
The property sold for a reported $5,950,000, according to sources.
4400 PGA Boulevard was sold to a local investment group, Admiralty Acquisition Co. LLC. The sale is representative of a trend that Merin forecasted 24 months ago when he anticipated a sales boom of commercial properties in Florida in 2013 as distressed and foreclosed assets worked their way through the system and were resolved. This latest sale in Palm Beach Gardens marks the fifth “round trip” the brokerage firm has handled in the last 24 months, where it took on the Receiver role for distressed properties, stabilized the properties and subsequently negotiated their sale.
“We are seeing a steady recovery in distressed real estate that mirrors the increasing sales and pricing in already stable properties,” said Neil E. Merin, Chairman of NAI/Merin Hunter Codman. “South Florida is once again in the forefront as an attractive market for commercial real estate investment. Buyers from across the country, as well as Europe and South America, are scouring the region for investment opportunities in retail, office, industrial, and multifamily assets, as the rents and occupancy rates continue to increase.”
In addition to negotiating the sale, NAI/Merin Hunter Codman arranged a flexible loan structure on behalf of the buyer with A10 Capital, a nationwide firm specializing in small to middle-market commercial mortgage loans. Said Dung Lam, CFO of NAI/Merin Hunter Codman, “We facilitated the loan’s underwriting and closing in a very short timeframe, which was critical to the success of the deal and will allow the buyer to complete renovation plans to add value to the property.”
NAI/Merin Hunter Codman has also been appointed management and leasing agent for the new 4400 PGA Boulevard owners and will oversee multi-million dollar renovations to optimize its value and restore 4400 PGA Boulevard to its position as one of the top buildings in the important and affluent Palm Beach Gardens office sub-market.
“NAI/Merin Hunter Codman has the unique ability to provide our clients with a full range of commercial real estate services. This transaction required us to support our client with sales, financing, underwriting, construction, management and leasing expertise. Housing all of these capabilities under one roof gives NAI/Merin Hunter Codman an unparalleled ability to serve all of our clients’ commercial real estate needs,” said Jordan Paul, Chief Executive Officer of NAI/Merin Hunter Codman.