The Real Deal Miami

New York firm pays $18M for Palm Beach commercial space

Buildings were repossessed as part of $52.6M foreclosure judgment

November 02, 2015 02:15PM
By Sean Stewart-Muniz

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The Renaissance Commons commercial building in Boynton Beach

The Renaissance Commons commercial building in Boynton Beach

An affiliate of a New York investment company just paid $18.2 million for restaurant and retail units in a Boynton Beach commercial center that was lost to foreclosure two years ago.

Cohen Commercial Properties, which specializes in purchasing and operating open-air shopping centers, purchased 17 restaurant and retail units at the Renaissance Commons development through a deed filed Thursday.

The units are located in two mixed-use buildings that house a mix of restaurant, retail and office condos. Cohen’s purchase breaks down to roughly $1.07 million per unit.

Cohen financed its purchase with a $13.65 million loan from Mercantil Commercebank.

The seller was Redus One LLC, which is controlled by Wells Fargo executives, according to Palm Beach County property records.

Wells Fargo won a $52.6 million foreclosure suit in 2013 against the shopping center’s owners, Boynton Development Associates II, an affiliate of developer Compson Associates. The suit concerned two commercial buildings at 1880 North Congress Avenue and 1500 West Gateway Boulevard, both of which were built in 2008. The buildings measure 122,388 square feet and 109,000 square feet, respectively.

Records show that Wells Fargo took control of the buildings, except for 18 of the units Compson had already sold, in November 2013.