Building Description
Executive Summary
Marcus & Millichap is pleased to exclusively present the Boynton Beach Small-Bay + IOS Portfolio, a 32,200-square-foot, 92% occupied industrial asset situated on approximately four acres in Boynton Beach, Florida. The Property consists of 17 suites across three separate buildings and offers a rare combination of traditional multi-tenant small-bay industrial space together with dedicated Industrial Outdoor Storage (IOS), creating a highly functional asset that appeals to a broad range of industrial users. The majority of the tenant base operates under NNN lease structures, providing investors with a stable, expense-reimbursable income stream while minimizing landlord responsibilities.
The portfolio includes two multi-tenant small-bay buildings comprised primarily of 1,250-square-foot units, with several combined into double and triple bays to accommodate larger users. These buildings feature 14-foot grade-level overhead doors and approximately 18-foot clear heights, making them well suited for a variety of industrial and service-oriented tenants. The third building is a standalone single-tenant facility occupied by Pike Electric, one of the nation's leading providers of electrical infrastructure engineering and construction services, consisting of approximately 12,200 square feet of enclosed warehouse and office space, an additional 8,600-square-foot covered canopy, and approximately 2.3 acres of dedicated IOS. This flexible configuration provides tenants with a unique combination of warehouse, covered storage, and outdoor storage that is rarely available within the South Florida market, while the long-standing occupancy of Pike Electric provides a strong anchor to the Property's in-place cash flow.
The Property is currently 92% occupied by a diverse mix of industrial, contractor, marine, automotive, medical, fitness, and service-oriented users, reducing industry concentration while supporting stable long-term occupancy. Many of these tenants have occupied the Property for years, reflecting the functionality of the asset and the strength of its location. Several legacy leases remain significantly below current market rents, creating a compelling mark-to-market opportunity as leases begin rolling over in the near term. In addition, the dedicated IOS component provides a meaningful opportunity for future rental growth as demand for Industrial Outdoor Storage continues to outpace supply throughout South Florida. This provides investors with immediate upside while benefiting from stable in-place cash flow and continued demand for both small-bay industrial and IOS product throughout South Florida. Beyond the property's in-place cash flow and rental upside, the approximately four-acre site also provides significant underlying land value and long-term optionality within one of South Florida's most supply-constrained industrial markets.
