The groundbreaking of the Old Town Square building in Pompano Beach will soon take place. This will be the first large apartment building, coming to the Pompano Beach community, which is surrounded by mostly single-family homes and low-rise commercial buildings.
The Old Town Square building in Pompano Beach is being developed through a partnership between the Fort Lauderdale-based Cavache Properties and the Delray Beach-based Wilson Enterprises, which is called the Old Town Square Owner LLC. A $45 million construction loan was secured by developers from Bank OZK, and the loan will assist them in financing this project, which is worth about $72 million in total. Additionally, the developers also secured $7.8 million worth of tax incentives, from the Pompano Beach Community Redevelopment Agency (CRA).
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Located at a 2.2-acre site at 200 N.E. First Ave., the Old Town Square building will rise10 stories and consist of 281 apartments, with about 5,000 square feet of retail, and a garage with over 300 spaces. It also features several amenities which include a pool, an indoor/outdoor gym facility, a barbecue gazebo area, a clubhouse, a business center, and a grab-and-go snack bar. According to Adam Adache, a co-developer of Cavache, the building is only two miles from the beach and one mile from Interstate 95, which means that the prospective tenants would benefit from the businesses and art studios in downtown Pompano Beach.
Adam explained that it had been necessary at that time for the partner companies to wait for the loan market to loosen up, while they focused on obtaining their construction permits to enable them start work on the Old Town Square building. Adam added, “We still had offers to finance. They just weren’t what we were looking for. If you were planning to get $45 million, at the time, in financing from a construction lender, it might have been $35 million.”
This Old Town Square building in Pompano Beach was initially scheduled for completion this year, but ended up delayed due to unfavorable financing conditions during the pandemic. Construction is now expected to start by November and the finishing date has been pushed forward to 2023. Other companies working on the project include the Delray Beach-based Kaufman Lynn Construction, serving as the general contractor and the Adache Group Architects, led by Daniel Adache, who is Adam’s father.
