Renaissance Properties buys Boca Raton offices for $51M

More than a year after selling the Aventura Corporate Center, Renaissance Properties New York scooped up an office property in Boca Raton for $51 million.

The Fishel family’s New York-based company bought the South City Plaza building and garage at 1515 South Federal Highway, with plans to revamp the building and rebrand it as 1515Boca, according to the buyer’s news release.

Boca Raton-based Penn-Florida Companies, through an affiliate, is the seller, records show. The 190,000-square-foot building was constructed in 1986 on 3.7 acres, according to the release.

Penn-Florida, led by Mark Gensheimer, had paid $26.5 million for the property in 2006.

Maria Gomez of Powerful Real Estate represented the buyer. Mark Rubin and Bastian Laggerbauer of Colliers represented the seller.

Last year, Renaissance Properties sold the three-building Aventura Corporate Center at 20801, 20803 and 20807 Biscayne Boulevard for $140 million.

Founded in 1961, the company now is led by Kenneth and Bradley Fishel.

The Boca Raton office deal comes amid a slowdown in South Florida office sales, spurred by the Federal Reserve’s rate increases to curb inflation, coupled with lenders’ lack of appetite due to uncertainty of a full return to the office.

Still, several Boca Raton office properties have traded in recent months.

In July, Pebb Enterprises and Contrarian Capital Management bought the Meridian Office Center at 6551 and 6601 Park of Commerce Boulevard for $29.8 million.

MHCommercial Real Estate Fund II and an unidentified New York-based institutional real estate fund in May paid $45.9 million for the two-building Yamato Office Center at 999 and 1001 Yamato Road.

Late last year, when there was no sign of the Fed rate hikes to come, Boca Raton scored the biggest South Florida office deal of the year. New York-based DRA Advisors bought a stake in the 123-acre Boca Raton Innovation Campus for $320.2 million, with CP Group and Rialto Capital Management remaining as co-owners.