Pebb Capital Breaks Ground On 'Sundy Village' Mixed-Use Destination Transforming Delray Beach

Pebb Capital has broken ground on Sundy Village, a transformative mixed-use development located at the gateway of Downtown Delray Beach. Spanning approximately seven acres, Sundy Village will serve as the entryway to the entertainment corridor of Downtown Delray Beach. The landmark project will introduce a business, lifestyle and hospitality destination that harmoniously celebrates a thriving urban setting, while honoring the city’s past through the incorporation of historical elements. With architecture by Gensler and RLC Architects, patrons will enjoy thoughtful design and a campus-style layout that integrates open-air courtyards, breezy walkways, green space and indoor/outdoor dining and seating areas.

On Feb. 22, Pebb Capital, development partners, community members and city officials gathered at the project site, 22 W. Atlantic Ave., for the official groundbreaking ceremony. Special guests included Delray Beach Mayor Shelly Petrolia and Downtown Development Authority Executive Director Laura Simon. Pebb Capital is a diversified, multi-strategy real estate and private equity investment firm led by Todd Benson, Carlos Jimenez and Todd Rosenberg.

Sundy Village will feature 99,000 square feet of ‘Class A’ offices, more than 28,000 square feet of retail and premium dining, and multiple structures listed on the National Register of Historic Places that will be preserved throughout the development process. This includes the Sundy House, the oldest house in Delray Beach, in addition to The Rectory and the Cathcart House.

“We are now another step closer to realizing our vision for Sundy Village to drive positive economic impact to Delray Beach and be a placemaking project,” said Todd Benson, principal of Pebb Capital. “Through collaborative efforts with many community members and the city, we have spent years conceptualizing this significant project and are thankful to all who supported us along the way. Sundy Village will usher in a new era of businesses and lifestyle for locals and visitors, showcasing the many special qualities of the area.”

Less than one mile from Interstate 95, Sundy Village will be the most unique, fully-amenitized mixed-use destination in the Atlantic Avenue District, already attracting strong demand. It will offer tenants the city’s best access to main thoroughfares and quality spaces, within walking distance to all that downtown Delray Beach offers.

Bluewater Builders will serve as the general contractor, with delivery anticipated for summer 2024. CBRE oversees Sundy Village’s office leasing, while Vertical Real Estate handles retail leasing.

Pebb Capital And LeaseFlorida Sell Trophy Miami Beach CVS For $17.73 Million

Pebb Capital, in a partnership with LeaseFlorida, has sold a trophy retail condominium asset on Miami Beach for $17.73 million to California-based Cove Capital Investments. CVS Health (CVS), the largest national pharmacy health care provider and a publicly traded company, is the long-term tenant, which signed a 25.5-year lease in May 2021.

Cushman & Wakefield’s National Net Lease Group, led by Blake Tagmyer, Brandon Price and Greg Mason, facilitated the sale. Emerald Creek Capital arranged $13.3 million of financing for the buyer.

Delivered in 2019, the two-story, 8,896-square-foot retail condominium property at 4000 Collins Ave. is situated under a four-story parking garage that was constructed from the ground up by the seller. It is adjacent to the historic Hampton Inn at The Continental, a 100-key Hampton by Hilton hotel at the same address that is owned, operated and was renovated in 2019 by Pebb Capital and LeaseFlorida for $25 million.

Located just one block from the ocean, CVS is at the prime intersection of Collins Avenue and 41st Street, one of Mid Beach’s busiest corridors, with daily traffic count in excess of 70,000 vehicles. There are over 2,700 hotel rooms and 6,000 residential units within a five-mile walking radius. A mile west is Mount Sinai Medical Center, one of South Florida’s largest hospitals with more than 4,000 employees and 672 beds.

“The key to retail is consistent traffic, and there’s a surplus of that at this busy corridor,” said Todd Rosenberg, co-founder and managing principal of Pebb Capital. “This sale proves the continued success of opportunistic investments with positive real estate fundamentals.”

Images via Alex T Photo