CBRE Capital Markets Secures $17 Million in Refinancing for Retail Center in Fort Lauderdale, Florida

CBRE has secured $17 million for the refinancing of Galt Ocean Marketplace, a 105,589-sq.-ft. grocery-anchored retail center at 3700-4032 N. Ocean Boulevard in Fort Lauderdale, Florida.

Paul Ahmed and Mackenzie Lampman with CBRE Capital Markets’ Debt & Structured Finance group represented the borrower in the transaction. A regional bank provided the loan.

Built in 1988, the Galt Ocean Marketplace is 96% occupied by 24 tenants, including Winn-Dixie, CVS, Holy Cross Hospital, and McDonalds. The center was acquired in 2006 by Kitson & Partners, a private real estate development company based in Palm Beach Gardens, Florida.

“Galt Ocean Marketplace is incredibly unique real estate with 8 acres located directly on A1A, just one block off of the beach in the Galt Ocean Mile in Fort Lauderdale” said CBRE Senior Vice President Paul Ahmed. “In addition, the news of Aldi’s plans to acquire the Winn-Dixie and Harveys Supermarket divisions of Southeastern Grocers will strengthen the creditworthiness of centers like this one in the eyes of lenders.”

According to CBRE’s 2023 U.S. Real Estate Market Outlook Midyear Review, retail fundamentals remain strong despite sustained headwinds. A slowdown in retail expansions, combined with key retail closures such as Bed Bath & Beyond, Tuesday Morning, Christmas Tree Shops and others, might have turned absorption negative in years past. However, retail availability remains extremely tight, standing at a record-low 4.8%. The lack of new construction has helped balance supply and demand, with forecasts suggesting that current high levels of occupancy will continue.