Carroll Organization Acquires Florida Luxury Waterfront Property
- Oct 08, 2014
North Palm Beach, Fla.—Carroll Organization and Goldman Sachs Asset Management have acquired Mariner’s Key, a luxury waterfront apartment community situated on the Intracoastal of North Palm Beach, Fla. The apartment community features 208 units and 625 feet of direct Intracoastal Waterway frontage in northeastern Palm Beach County.
Carroll Organization made the acquisition in joint partnership with AIMS Real Estate, a business unit within Goldman Sachs Asset Management. The acquisition brings the number of Sunshine State assets held by Carroll Organization to 16. The company is beginning its rebranding of the property by changing the name to Marina Key.
“Marina Key is a true best-in-class asset, in an excellent location on the Intracoastal, that does not have any true competitors,” Carroll Organization president and chief operating officer Josh Champion tells MHN. “Palm Beach County has yet to garner the kind of investor attention that Broward and Miami-Dade Counties have. [That] allowed us to purchase Marina Key for an attractive basis that is a steep discount to replacement cost.”
Among the primary attributes of the property is its enviable location, near the 6.5 million square feet of office space that partially comprise the West Palm Beach business district. Also nearby is the Jack Nicklaus North Palm Beach Country Club & PGA Golf Course, the West Palm Beach VA Medical Center and the Singer Island Beaches.
Just minutes away is Downtown at the Gardens, which offers residents of Marina Key an abundant selection of dining and shopping alternatives.
“This is the first asset we have purchased that included a marina, and there were inherent challenges in understanding the dynamics of the submerged land lease,” Champion says. “Anytime we are buying something new, we rely on our comprehensive due diligence process to put ourselves in the best position possible after closing. To address this challenge, we made sure to spend the time required to gain a thorough understanding of any potential issues involved with marina ownership and leasing.”
Adds Carroll Organization founder and CEO M. Patrick Carroll: “This is an all-around exceptional asset, with a pristine location on the Intracoastal of North Palm Beach. It is one of only six apartment communities located directly on the water in the tri-county area, which provides us with a truly unique and valuable asset with which to expand our portfolio in the South Florida market.”
Carroll Organization intends to undertake a light value-add program at Marina Key, including both indoor and outdoor enhancements designed to elevate the resident experience.
The amenity-rich property includes a newly-constructed clubhouse, private sandy beach area overlooking the Intracoastal, heated waterfront pool and spa, outdoor kitchen, waterfront fitness center, sauna, his/hers locker rooms with showers and a 17-foot slip marina, available for leasing by residents.