BBX Logistics Properties announces venture with PCCP to develop logistics park in Delray Beach, Fla.
BBX Logistics Properties announced the formation of a joint venture with PCCP and the successful acquisition of approximately 40 acres north of Atlantic Avenue on U.S. Route 441 in Delray Beach, Fla. The joint venture intends to develop the site, which is entitled with rights to build up to 672,533 square feet of logistics space, into BBX Park at Delray, a logistics facility expected to comprise three buildings. The initial phase of the project is expected to be construction of an approximately 200,000-square-foot building, with plans to construct the two additional buildings in the future.
Focusing on attracting tenants who cater to the community, the development plans for BBX Park at Delray to allow for dividing space into smaller units, with each of the planned three buildings expected to accommodate spaces as small as 50,000 square feet. BBX Logistics Properties and PCCP also hope to incorporate sustainability initiatives in the development plans, including solar-ready roofing, electric vehicle-charging stations, indoor air-quality enhancements and advanced exterior lighting-control systems.
The joint venture expects to obtain debt financing and begin site development and construction of the initial phase of the project in first quarter 2024.
In connection with the formation of the joint venture with PCCP, BBX Capital Real Estate contributed $2.9 million to the venture with PCCP and expects to contribute an additional $2.5 million to the venture based on its expected share of the estimated total development costs.