6600 N. Army Path. Picture courtesy of CommercialEdge
The ODP Corp. has bought its 639,830-square-foot headquarters in Boca Raton, Fla., for roughly $104 million. BH Group and PEBB Enterprises acquired the asset in a partial sale-leaseback deal: The mother or father firm of Workplace Depot and OfficeMax will preserve its headquarters in a portion of the constructing, totaling some 285,000 sq. toes, for no less than two years.
CommercialEdge info exhibits the constructing beforehand modified arms in 2017 for $132.1 million. The value was 26.9 p.c larger than the one of many present transaction.
In ready remarks, Anthony Scaglione, CFO of ODP, mentioned that the deal ends in higher flexibility and decrease operational prices for the corporate, permitting for improved asset utilization and shareholder returns.
Located at 6600 N. Army Path, the five-story constructing got here on-line in 2008 on a 29-acre lot. The LEED Gold-certified property options 2,431 parking areas, in response to CommercialEdge information.
Excessive costs in Florida
In Boca Raton, the 2022 end-of-year emptiness fee was 11.7 p.c, a Cushman & Wakefield report exhibits. Demand within the space, as for the remainder of the Palm Seashore, Miami and bigger Florida markets, was a lot larger for Class A workplace properties than for different asset courses. The identical analysis exhibits that on the finish of final 12 months, Boca Raton workplace asking lease costs per sq. foot averaged $40.94, with $46.86 for Class A property.
The Miami workplace market has began 2023 on a optimistic word, regardless of investments slowing down in response to lowered workplace area demand and rising rates of interest. A current CommercialEdge report exhibits that the metro’s gross sales quantity accounted for $332 million as of February, occupying the fourth place within the U.S. after Boston ($666 million), New Jersey ($423 million) and Manhattan ($351 million).
