TJAC Development sells mixed-use portfolio near Boca Raton for $155M

Stateland Brown owner-brokers Ayal Frist and Dan Statlander with one of the properties, City National Bank Plaza at 7000 West Palmetto Park (Google Maps)

Stateland Brown owner-brokers Ayal Frist and Dan Statlander with one of the properties, City National Bank Plaza at 7000 West Palmetto Park (Google Maps)

TJAC Development disposed of four mixed-use office and retail plazas west of Boca Raton for $155 million, marking one of the largest commercial sales in South Florida this year.

Weston-based Titan General Partners acquired the 515,000-square-foot portfolio by buying an interest in the four limited liability companies TJAC originated to own the properties, according to Boca Raton-based Stateland Brown co-owner Ayal Frist, who brokered the deal with brokerage co-owner Dan Statlander. No deeds were recorded.

The portfolio includes roughly 17 buildings interspersed along Powerline Road from Glades Road to Southwest 18th Street, Frist said.

Florida corporate records show Titan General, as well as Carlos Ulloa and Debra Corchia, who are affiliated with Titan, became managers of TJAC affiliates TJAC Boca Grove, TJAC Palmetto Park, Boca Wharfside and Boca Medical Plaza in late February.

Frist and Statlander said Bahamas-based investment manager Holdun also bought a stake in the properties. The brokers declined to say how Titan General and Holdun divided their interest in the properties.

TJAC, founded and led by the Schwarzman family and based in Boston, focuses on student housing and mixed-use retail properties, according to its website.

Frist and Statlander said they worked on behalf of TJAC to assemble the properties from 2012 to 2016. TJAC paid a total of $78 million.

The portfolio sale includes the seven-building Fountains Center, at 7000-7700 West Camino Real, which spans 15 acres. Built in 1978 and 1981, it includes a building with two banks and a medical office; two mid-rise office buildings; and four more buildings with a mix of office and retail. Property records show TJAC bought it for $16 million in 2012 from CB Camino Real.

The sale also includes the Grove Centre, at 21301 Powerline Road, which was built in 1983 on 3.5 acres. It has a one-story and a four-story office building. TJAC bought it for $11.5 million in 2016 from SF Partners, according to records.

Also, City National Bank Plaza, at 7000 West Palmetto Park, which includes a 132,598-square-foot, mid-rise office building with Starbucks and McDonald’s outparcels. The office building includes a City National Bank of Florida office, several medical offices and restaurant space. It was built in 1986 on 7.3 acres. TJAC bought it for $37.6 million in 2016 from 700 West Palmetto I, records show.

Lastly, the portfolio includes The Boardwalk at 18th Street, at 6853-6909 Southwest 18th Street, which spans 10 acres and overlooks a lake. It has several medical offices, as well as a Carrabba’s Italian Grill with lakefront dining. TJAC bought it for $13 million in 2013 when the plaza was called Wharfside Village Shopping Center.

TJAC renovated the properties over the years. Frist and Statlander leased vacant space on behalf of TJAC and increased occupancy by 60 percent, Statlander said. Rents are in the low $20s per square foot for offices and in the $30s per square foot for retail, he said.

The portfolio had a 92 percent occupancy when TJAC sold it, and maintained its occupancy throughout the pandemic, Frist added.

In January, the Related Companies closed on its $282 million purchase of the Phillips Point office towers in West Palm Beach, marking the largest office sale in South Florida in more than a year.

More recently, an office building in Boca Raton at 6700 Northwest Broken Sound Parkway sold for $6 million to an affiliate of private equity firm AE Industrial Partners LP.

Also, investor CA Ventures paid $80 million for an apartment complex at 135 Northwest 20th Street in Boca Raton.

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