Related Companies buys West Palm Beach office tower for $175M

Buyer developed tower in 2008 and sold it three years later for $126.5M

Miami /
May.May 24, 2021 05:30 PM
CityPlace Tower and Related Companies founder Stephen Ross (Related, Getty)

CityPlace Tower and Related Companies founder Stephen Ross (Related, Getty)

Related Companies bought the CityPlace Tower in downtown West Palm Beach for $175 million, marking the company’s second major office purchase there this year.

Related, led by Miami Dolphins owner Stephen Ross, bought the 18-story building at 525 Okeechobee Boulevard from CPT Equity, an affiliate of Greenwich, Connecticut-based W. R. Berkley, according to records.

New York-based Related and Boca Raton-based Crocker Partners developed the tower with 300,000 rentable square feet on 1.2 acres in 2008. KBS Real Estate Investment Trust II then bought it in 2011 for $126.5 million, records show.

KBS REIT II, based in Newport Beach, California, sold the building to W. R. Berkley’s affiliate in 2014 for $150 million.

Tenants include Cleveland Clinic, Comvest Partners and law firms Carlton Fields, Shutts & Bowen, and Greenspoon Marder.

The purchase is another sign that Related Companies is confident in the downtown West Palm Beach office market. Over the past year, the area has caught the attention of tech firms seeking to relocate or expand to South Florida.

In January, Related bought the two Phillips Point office towers for $282 million, and the company has two other office projects in the pipeline.

It plans the 25-story One Flagler near the foot of the Royal Park Bridge connecting West Palm Beach and Palm Beach, and it scored a $140 million construction loan from MSD Capital in 2020 to finish the 20-story 360 Rosemary, which topped off in September.





    Related Articles

    arrow_forward_ios
    Related's Jamar Adams and Steve Ross with 14-06 Gateway Boulevard (Credit: Getty Images and Google Maps)
    Related is the latest developer to target the Rockaways
    Related is the latest developer to target the Rockaways
    One New York Plaza and 60 Broad Street (Brookfield, Google Maps)
    Manhattan office rents hit 4-year low as availability remains at record-high
    Manhattan office rents hit 4-year low as availability remains at record-high
    Columbia Property Trusts CEO Nelson Mills (iStock)
    Columbia Property Trust reports first net loss of pandemic
    Columbia Property Trust reports first net loss of pandemic
    Empire State Realty Trust CEO Tony Malkin (Getty, iStock)
    ESRT braces for more pain at Empire State Building
    ESRT braces for more pain at Empire State Building
    The attraction is now closed and the developer is conducting an investigation. (Getty)
    Hudson Yards Vessel closed again after fourth death
    Hudson Yards Vessel closed again after fourth death
    Alphabet CEO Sundar Pichai and Twitter CEO Jack Dorsey (Getty)
    Twitter, Google latest big companies to delay office returns
    Twitter, Google latest big companies to delay office returns
    Converting offices to lab spaces comes with challenges, as some spaces need specific ventilation and upgraded electrical facilities (Getty)
    Conversions from offices to life science labs booming
    Conversions from offices to life science labs booming
    Paramount Group lost $16 million last quarter
    Paramount Group posts $16M quarterly loss
    Paramount Group posts $16M quarterly loss
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...