POMPANO BEACH, Fla. — In a notable indicator of robust institutional demand for well-positioned retail assets in South Florida, Vision Real Estate Advisors has announced the successful closing of Planet Fitness Plaza, a 46,034-square-foot retail center located at 1400-1450 S. Powerline Road. Representing both the buyer and the seller in the transaction, the firm orchestrated a $16,400,000 sale, translating to approximately $356 per square foot at a 6.35% cap rate.
The property was acquired by Phillips Edison & Company, a prominent national real estate investment trust specializing in grocery-anchored and necessity-based shopping centers, from an entity controlled by private investors Michael Cosculluela and Dan Marzano. The transaction underscores the ongoing appeal of necessity and fitness-anchored real estate in Broward County, where sophisticated capital continues to pursue stable, income-generating properties with strong tenancy and historical resilience against vacancy.
High Valuations and Strategic Upside Potential
The transaction commanded significant attention within the regional commercial real estate community due to its aggressive pricing metrics. According to Vision Real Estate Advisors, the asset traded at a valuation that reflects strong confidence in the immediate submarket’s long-term economic trajectory.
"Planet Fitness Plaza traded at one of the highest prices per square foot we have seen achieved in this submarket, at a cap rate well below the cost of debt," said Elon Gerberg, Managing Director at Vision Real Estate Advisors. "Buyers recognized that in-place rents are well below what is being achieved at The Pomp, so as leases roll there is significant rent upside. This center is perfectly positioned to draft off the growth of The Pomp for years to come."
The overarching investment thesis for the acquisition heavily hinges on the property’s proximity to major regional transformations. Situated less than one mile from The Pomp—the massive 223-acre master-planned development spearheaded by The Cordish Companies and Caesars Entertainment—the retail plaza stands to benefit tremendously from sustained area growth. Once fully realized, The Pomp is slated to encompass an expansive 1.3 million square feet of dynamic retail and entertainment space, alongside 4,000 luxury residential units. This massive influx of density and commercial activity is expected to drive substantial consumer traffic toward surrounding retail corridors, making the existing below-market rents at Planet Fitness Plaza an attractive foundation for future revenue growth as leases expire and are renegotiated at prevailing market rates.
Strong Tenancy and Seamless Execution
The transaction process itself was streamlined by Vision Real Estate Advisors’ dual representation of the transaction parties, a strategic move that ensured operational efficiency and certainty of execution throughout the negotiation and closing phases.
"Fitness-anchored retail with a fresh 10-year lease extension and historically minimal vacancy is exactly what sophisticated capital is hunting for in Broward County," added Adam H. Klein, Managing Director at Vision Real Estate Advisors. "Representing both sides allowed us to keep the process efficient and certain from the first call to the closing table."
Planet Fitness Plaza occupies a highly visible, strategic 5.34-acre site boasting approximately 450 feet of frontage along S. Powerline Road, a heavily traveled thoroughfare accommodating more than 40,000 vehicles per day. The property’s operational stability is anchored by its primary tenant, Planet Fitness, which recently demonstrated long-term commitment to the location by signing a fresh 10-year lease extension.
Beyond its fitness anchor, the retail center maintains a diversified tenant roster featuring a balanced mix of national brands and regional neighborhood service providers. Among the notable occupants are Enterprise Rent-A-Car, Little Caesars, and Cora Health Services. Additionally, the property features an Aroma Joe’s drive-thru outparcel, enhancing the center’s daily-needs convenience profile and driving steady vehicular traffic throughout the week.
Historically, the asset has maintained minimal vacancy, a testament to the strength of the Powerline Road retail corridor and the enduring consumer demand for service-oriented retail concepts. For Phillips Edison & Company, the acquisition aligns seamlessly with their broader portfolio strategy of acquiring defensive, necessity-driven retail properties in high-growth metropolitan areas across the United States. As Broward County continues to experience tight retail market fundamentals and limited new construction inventory, assets combining secure, long-term anchor commitments with built-in rental growth opportunities remain highly sought after by institutional investors navigating changing macroeconomic environments.
Key Facts
Property: Planet Fitness Plaza
Location: 1400-1450 S. Powerline Road, Pompano Beach, FL
Asset Type: Fitness-anchored retail center
Transaction Type: Sale
Buyer: Phillips Edison & Company
Seller: Entity controlled by Michael Cosculluela and Dan Marzano
Size: 46,034 SF on 5.34 acres
Price: $16.4 million
Price Per SF: Approximately $356
Cap Rate: 6.35%
Anchor Tenant: Planet Fitness (recent 10-year lease extension)
Brokers: Vision Real Estate Advisors represented both parties; Elon Gerberg and Adam H. Klein, Managing Directors
Other Notable Details: Approximately 450 feet of Powerline Road frontage; less than one mile from The Pomp redevelopment.
