The Press, an office and retail complex that houses The Palm Beach Post, Joseph's Classic Market, Starbucks, and Pink Steak, has sold to Pebb Capital and Sabal Investment Holdings, which have plans to invest tens of millions of dollars to improve the property.
The 11.6 acres of land at the southwest corner of South Dixie Highway and Belvedere Road was purchased from Tricera Capital and is in a key location adjacent to the tony El Cid historic district and just two blocks from the Intracoastal Waterway south of downtown West Palm Beach.
Miami-based Tricera bought it for $24 million in 2019 from Cox Media Group, which owned The Palm Beach Post and Palm Beach Daily News before they were sold to GateHouse Media in 2018. GateHouse Media merged with Gannett in 2019.
The price paid by Pebb Capital, which has offices in Boca Raton and New York, and California-based Sabal Investment Holdings was not disclosed and the deed had yet to appear in Palm Beach County public records as of Aug. 16. But the companies said they expect to spend just under $80 million between the purchase and improvements on the property.
Improvements to the property at 2751 S. Dixie Highway will include enhancements to the common area of the office building, a completion of office suites, and additional landscaping on Dixie that the firms hope will attract additional upscale tenants to the area, a news release says.
"This asset boasts an irreplaceable location, which is both across from the El Cid district and in one of the best-performing submarkets in the country,” said Barton Vaughan, director of investment management with Sabal Investment Holdings in a prepared statement. “Additionally, we were able to acquire at what we believe to be an attractive basis and plan to invest significant capital to unlock its potential value.”
The purchase includes a large parking lot west of the main complex. The Post's printing facilities and distribution center were housed in the building that now includes Joseph's Classic Market.
An influx of wealth to West Palm Beach following the pandemic has transformed the city in just a few short years with new Class-A office towers downtown, multiple luxury waterfront condominiums and a robust market of shops, restaurants, and design centers along Dixie Highway.
The Press' strategic location along Belvedere Road, a main corridor from Interstate 95 to the city, and its proximity to downtown and historic communities was what attracted Sabal to the project, said Sabal Managing Director of Opportunistic Investments Tal Seder.
In addition to 256,653 square feet of office and retail space, the parking lot is 3.7 acres of "developable" land. Tenants also include cryotherapy provider Restore Hyper Wellness, Tremble Pilates, Salons by JC and Amped Fitness.