West Palm office buildings sell out of foreclosure for $7.5M

NAI/Merin Hunter Codman will manage and lease the property

1601 Belevedere Road and Neil Merin
1601 Belevedere Road and Neil Merin

UPDATED: July 20, 11:50 a.m.: A pair of West Palm Beach office towers just sold out of foreclosure for $7.5 million.

A commercial mortgage-backed securities trust sold Towers at 1601 Belvedere, a 101,730-square-foot office complex with two five-story buildings to Belvedere Acquisition LLC, which is managed by the West Palm Beach-based real estate investment firm NAI/Merin Hunter Codman. The deal breaks down to about $74 per square foot.

NAI/Merin Hunter Codman has also been chosen to manage and lease the property, according to a spokesperson.

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Marcus & Millichap’s Douglas K. Mandel and C. Todd Everett represented the seller, Belvedere Investment Associates LLC. Mandel and Everett had previously marketed the property in 2013, when it faced foreclosure due to an outstanding $9.86 million mortgage from Wells Fargo. Neil Merin, chairman of NAI/Merin Hunter Codman represented the buyer.

The property previously sold for $9.9 million in November 2003. In 2005, it was appraised at $15.5 million but dropped to $6.8 million in 2013, property records show.

Everett said in a press release that the suburban office market is strong in Palm Beach County thanks to supply constraints and limited new development.

Last month, a CMBS trust sold the Concourse Towers, also in West Palm, to investors Carlos and Thomas Morrison for $13.8 million, or $92 per square foot. – Grace Guarnieri