The Cushman & Wakefield Capital Markets team of Scott O’Donnell, Michael Ciadella, Dominic Montazemi, Greg Miller and Miguel Alcivar, combined with Anthony Librizzi and Michael H. Feldman of Cushman & Wakefield’s Brokerage Services, represented Gardens Medical Pavilion, LLC in the disposition of the asset. Charlottesville, VA-based Anchor Health Properties acquired the building for $24.3 million ($322 per square foot).
Gardens Medical Pavilion is a five-story medical office tower developed in 1991 on a ±4.71-acre site at 3401 PGA Boulevard. The asset features a porte-cochère, an on-site Walgreens pharmacy and diagnostics lab, covered and underground parking for tenants, lushly landscaped grounds and prominent visibility along PGA Boulevard.
Gardens Medical Pavilion is conveniently situated one-quarter mile east of Interstate 95 and less than three miles from Florida’s Turnpike along PGA Boulevard, providing easy access for all of Palm Beach County’s affluent population. The asset is strategically located within minutes of Palm Beach Gardens Medical Center, Jupiter Medical Center and the North County Surgery Center, which creates steady demand from numerous doctors and medical practices. The property is also within walking distance to premium amenities such as the 1.4-million-square-foot The Gardens Mall, Legacy Place and the District at the Gardens.
The building was 84.3% leased at the time of sale. Occupancy increased nearly 15 percent in the 18 months preceding the sale under the guidance of Gardens Medical Pavilion, LLC. Notable tenants include Florida Cancer Specialists, the University of Miami, Gastro Group of the Palm Beaches and Pediatric Partners.
“Gardens Medical Pavilion is widely considered one of the premier medical office buildings in North Palm Beach County and is the only medical office building along PGA Boulevard,” said O’Donnell. “The property provided investors with a rare, value-add, Class A medical office opportunity with excellent leasing momentum and requiring only minor renovations in one of Palm Beach County’s strongest micromarkets.”