BBX Logistics, PCCP Plan Miami-Area Industrial Park
Site plan of BBX Park at Delray. Image courtesy of BBX Logistics Properties
BBX Logistics Properties and PCCP LLC have formed a joint venture to develop BBX Park at Delray, a 40-acre logistics park in Delray Beach, Fla., that will have up to three buildings totaling as much as 672,533 square feet of logistics space.
The partners recently acquired the development site north of Atlantic Avenue on U.S. 441 in Delray Beach, located in the rapidly growing population center of western Palm Beach County. A 200,000-square-foot building is expected to be constructed in the initial phase of the project, with the two additional buildings developed in the future.
Aiming to attract tenants who cater to the community, the partners are planning buildings that can be divided into smaller units. Each of the three buildings should be able to accommodate spaces as small as 50,000 square feet. BBX Logistics Properties and PCCP plan to incorporate sustainability initiatives at the property including solar-ready roofing, electric vehicle charging stations, indoor air quality enhancements and advanced exterior lighting control systems.
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The joint venture expects to obtain debt financing and begin site development and construction of the first phase in the first quarter of 2024.
A wholly owned subsidiary of BBX Capital Real Estate and BBX Capital Inc., BBX Logistics Properties specializes in high barrier to entry, infill locations in Florida and other Eastern U.S. markets. BBX Capital Real Estate contributed $2.9 million to the joint venture and expects to contribute an additional $2.5 million based on its expected share of the estimated total development costs.
PCCP industrial deals
BBX Park at Delray is not the only Palm Beach County industrial project PCCP, a national real estate and investment finance firm focused on commercial real estate debt and equity investments, is currently developing. In July, PCCP, in partnership with Woodmont Industrial Partners and Butters Construction & Development, broke ground on the first of eight facilities planned for the Palm Beach Park of Commerce, a 1,200-acre master-planned industrial park in Jupiter, Fla. The initial asset, a 303,364-square-foot Class A building, is set to deliver in the second quarter of 2024.
PCCP has been active in the industrial sector elsewhere in the U.S. in recent months. In August, PCCP and KPR Centers secured a $56.3 million construction loan to develop Tri-State Industrial, a 525,000-square-foot facility in Claymont, Del. Located in metro Philadelphia, the Class A warehouse asset will provide easy access to Interstates 95 and 495, and the New Jersey Turnpike. Also last month, PCCP and MRP Industrial acquired a 57-acre site in York, Pa., for the development of a two-building, 674,000-square-foot industrial park that is slated for delivery in late 2024.
The firm also has industrial projects underway on the West Coast. Earlier this year, a joint venture of PCCP and Panattoni Development Co. announced plans to develop two Class A infill industrial parks totaling 625,320 square feet in Vancouver, Wash.—Vancouver Logistics II and Hidden Glen Logistics.
