Volvo Aero Corporation, a provider of aftermarket services in the aviation industry and a wholly owned subsidiary of global transportation equipment/services provider AB Volvo, has renewed its lease for 113,191 square feet of office and industrial space at 645 Commerce Way in Boca Raton, Fla.
A Newmark team led by Senior Managing Director Jon Bourbeau of the global real estate services firm’s Miami office represented Volvo Aero in the transaction.
The owner of 645 Commerce Way, Boston-based Cabot Properties Inc., was represented internally in lease negotiations by Asset Manager Janine Cobb.
When Bourbeau began the process approximately a year ago, the company’s original lease here was set to expire Sept. 2009. Renewing its lease in the building, located near Boca Raton’s I-95/Yamato Rd. interchange in the 800-acre Arvida Park of Commerce, provided Volvo Aero with the best and most cost-effective of several alternatives examined, according to Bourbeau.
“Volvo Aero considered a variety of options, including moving to existing buildings and entering into a build-to-suit arrangement,” Bourbeau said. “But given the high costs of land and construction, as well as the inflated pricing of what existing buildings had traded for in this market, renewing their existing lease was the most operationally and economically efficient solution for Volvo.”
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