KBS Realty Closes on 189K SF Financial Center at the Gardens

By Balazs Szekely, Associate Editor Financial Center at the KBS Realty Advisors of Newport Beach, Calif. has picked up a 188,772 square-foot Class A office building from institutional investors advised by JP Morgan Asset Management. The property, Gardens, is located at the northwest quadrant of PGA Boulevard’s intersection with Interstate 95 in Palm Beach Gardens. [...]

KBS Realty Advisors of Newport Beach, Calif. has picked up a 188,772 square-foot Class A office building from institutional investors advised by JP Morgan Asset Management.

The property, Gardens, is located at the northwest quadrant of PGA Boulevard’s intersection with Interstate 95 in Palm Beach Gardens.

Cushman & Wakefield’s team of Executive Director Mike Davis, Senior Director Michael Lerner, Senior Director Rick Brugge, Director Mark Pateman, and Associate Director Tara England represented the seller. The value of the transaction was not disclosed.

“With the strong demographics and economic/employment trends continuing in south Florida, real estate fundamentals have shown strong improvement along the PGA Boulevard corridor with tenant demand shifting from the coastline and towards I-95 more amenity-rich centers as well as popular commuting routes,” said KBS Eastern Regional President Marc DeLuca. “We consider this property to be among the premier office buildings in the North Palm Beach submarket.”

The building’s flexible floor plates–ranging from 21,600 to 46,500 square feet–allow it to accommodate tenants opting for traditional layouts as well as open-office configurations, and also to incorporate areas for collaboration. Financial Center at the Gardens has numerous amenities within walking distance, including a lifestyle center with restaurants, retail and entertainment destinations and a high-end mall.

The previous ownership has upgraded several key elements of the building over the last decade or so, including the roof, insulation, air conditioning, restrooms on multiple floors, the 743 space parking garage and the lobby area along with the monument sign. The property was 92 percent leased at the time of the acquisition, mostly to corporate tenants such as Morgan Stanley, UBS and Regus.

Photo credits: Regus