Done Deals: HFF announces sale of mixed-use creative district property in West Palm Beach, FL

Tuesday, December 18, 2018

HFF announces sale of mixed-use creative district property in West Palm Beach, FL

The 85,000-SF, Six-Building Warehouse District
West Palm Beach, FL

E. Hunter Beebe

MIAMI, FL, Dec.18, 2018 – Holliday Fenoglio Fowler, L.P. (HFF) announces the sale of The Warehouse District, a popular mixed-use creative district with 85,000 square feet of restaurants, craft brewing, a rum distillery and creative commercial and fitness space in West Palm Beach, Florida.

The HFF team arranged the off-market transaction on behalf of both the seller, Johnstone Capital Partners, and the buyer, Asana Partners.

The Warehouse District comprises a portfolio of six buildings and is home to the 14,000-square-foot Grandview Public Market, which is a food hall concept with a variety of popular chef-inspired vendors, including Celis Produce, Clare’s Chicken, Cholo BBQ, Zipitios, Crema, Pumphouse Coffee Roasters, Poke Lab Eatery and more;

Eric Williams

the Steam Horse Brewery, which is West Palm Beach’s first craft brewery and taproom; Elizabeth Ave Station, a curated retail market, event space and communal workspace; Palm Beach Squash Club,

Palm Beach County’s first premier boutique squash club; Grain and Barrel Sprits, a craft spirit company; District Workspaces, boutique co-working space with private office suites; Steel Tie Spirits;

a state-of-the-art, multi-spirit, retail craft distillery; Gypsy Life Surf Shop, a curated lifestyle fashion boutique; VXIT, an IT consulting and services company; and Burn Up Company, a local vintage motorcycle shop.

The buildings were constructed between 1925 and 1968, and the redevelopment is maintaining the original historic character by integrating the original loading docks, columns and domed wood trusts ceilings into the current aesthetic.

Manny de Zarraga

Public art and gathering places are a hallmark of the project, including The Railway, a 700-foot-long former rail line that bisects the property and once carried freight to and from the warehouses 40 years ago that has been preserved, reimagined and transformed into a landscaped pedestrian path connecting the community.

Situated just southwest of downtown West Palm Beach and east of Interstate 95, The Warehouse District benefits from a prime, highly accessible location with convenient highway access and strong surrounding demand drivers.

The HFF investment advisory team that arranged this transaction included director Eric Williams, executive managing director Manny de Zárraga, senior managing director and co-head of HFF’s retail practice Daniel Finkle and managing director Luis Castillo.

Daniel Finkle

“The visionary developer of the Warehouse District, Johnstone Capital Partners, which is owned by E. Hunter Beebe, did a tremendous job,” Williams said.

“Under the project leadership of Vice President William Earl, they have transformed a collection of previously underutilized industrial buildings into a cool, modern community that is the first of its kind in West Palm Beach.

"West Palm Beach is one of the fastest-growing cities in South Florida, and the emergence of The Warehouse District is a testament to the continued evolution of West Palm Beach into a thriving 18-hour city.”

Johnstone Capital Partners is a privately-owned, fully integrated real estate investment management company based in Palm Beach, Florida.

Luis Castillo

Johnstone Capital Partners seeks to deploy capital into specific defined strategies within the real estate sector that may be built around a particular geographic concentration, asset class or asset strategy.

Johnstone Capital Partners’ professionals have been involved with over $12 billion or real estate transaction investment transactions throughout the United States.

For more information, please visit hfflp.comor follow HFF on Twitter @HFF.