Cushman & Wakefield Negotiates $12M Sale and $6M Financing of Palm Beach County Industrial Portfolio
Genet Property Group Acquired Five Small-Bay Industrial Buildings in Riviera Beach from The Silverman Group
BOCA RATON, FL, January 8, 2019 — Cushman & Wakefield has negotiated the sale and financing of a five-building, small-bay industrial portfolio totaling 147,200 square feet in Palm Beach County.
The Cushman & Wakefield Capital Markets team of Greg Miller, Scott O’Donnell and Dominic Montazemi, along with CBRE Executive Vice President Robert Smith, negotiated the sale on behalf of Palm Beach, FL-based The Silverman Group. Tamarac, FL-based Genet Property Group, led by Benjamin Genet, acquired the assets for $11,994,000 ($81.48 per square foot). The portfolio includes Fairfax Industrial Park in Riviera Beach and 7150 Devons Road in West Palm Beach.
Jason Hochman, Senior Director of Cushman and Wakefield’s Equity, Debt and Structured Finance Group, assisted the buyer in securing long term financing for Fairfax Industrial Park. The $6M loan was sourced through Aegon Real Assets U.S. and carries a low fixed rate over its term.
Fairfax Industrial Park comprises four structures totaling 125,400 square feet at 1700 Avenue L. The buildings were constructed on a 5.03-acre site in 1971. The park features 20 units with a total of 10 dock-high loading positions and 37 grade-level, drive-in loading positions.
Fairfax Industrial Park currently houses 15 tenants with an average bay size of 6,270 square feet. The park was 90.4% occupied at the time of sale. Notable tenants include LVI Intermediate Holdings Inc., J.G. & L. Cabinetry and Design, Inc. and Statewide Windows & Doors, Inc.
Fairfax Industrial Park is located just east of Interstate 95 and south of Blue Heron Boulevard, providing exceptional access to Old Dixie Highway, Australian Avenue, U.S. Highway 1, the Port of Palm Beach and Palm Beach International Airport.
7150 Devons Road is a 21,800-square-foot, small-bay industrial building developed in 1987 on a 2.32-acre site. The asset features 1,650-square-foot bays, 12 drive-in loading positions and was 100% occupied at the time of sale. The property is located at the nexus of Palm Beach County’s transportation system, providing excellent access to Interstate 95, Beeline Highway, Military Trail and Blue Heron Boulevard.
“With the West Palm Beach industrial vacancy rate at less than 2%, The Silverman Group has dramatically increased rental rates and value since acquiring these assets in 2016,” said O’Donnell.
Genet Property Group has purchased six industrial assets this year. Cushman & Wakefield negotiated three of these acquisitions on behalf of the seller and financed two of them.
“Genet has a strong track record of wringing value from their investments and intends to make upgrades and continue to push rents,” said Miller.
The South Florida Commercial Team of O’Donnell, Montazemi, Miguel Alcivar, Miller and Jason Hochman has closed over $1.5 billion in sales and financing over the last three years. Please visit www.southfloridacommercialteam.com for more information about the team.