A Related Group affiliate was the winning bidder in a foreclosure auction for the note on the Promenade in Boynton Beach this morning. The entity, PRH Palm Beach, won with a bid of $2.13M, just $100 higher than a bid by Florida Rental Specialists.
Related can now take title to the two-tower mixed-use space. It has tapped Related ISG to handle sales.
“We intend to rebrand the 395 residential and 20,000 square feet of commercial space and will begin our marketing program early next year,” said Related COO Matt Allen.
The move is part of a distressed real estate push Related said it began in 2010, one that has led to investment in $600 million in South Florida assets.
Related’s Arden Karson, who oversees the firm’s acquisitions, distressed debt and strategic operations, said in a statement that the deal showed the “renewed availability of bank financing and market confidence.”
The Promenade, which is located at 400 North Federal Highway, went into foreclosure in April, with a final judgment of $121 million entered last month, according to the South Florida Business Journal.
Donna Fullwood was Related’s representative at the auction.
“We think this will be a great residential development for international markets such as Canada and regions of Latin America,” said Craig Studnicky, Principal of ISG World. “Local buyers, especially empty nesters will also be attracted to this property.”