Related Group Sells Senior Community in Boynton Beach for $53M

Smith & Henzy Affordable Group purchased a senior housing complex in Boynton Beach, Fla., for $53 million, property records show.

Called Boynton Bay Preservation, the 240-unit affordable apartment complex comprises 17 two-story buildings on 22 acres at 1785 NE Fourth Street, just west of the Dixie Highway. Residents must be 55 or older. 

The Housing Finance Authority of Palm Beach County provided a $47.4 million, 18-year loan as well as a $10.7 million, 2.5-year loan. Delray Beach-based Smith & Henzy has already started renovating the complex.

The sale comes roughly to $220,800 per unit.

In 2022, Related Group paid $48 million for the property, which was completed in 1991.  

This is the second deal for Smith & Henzy Affordable Group in recent months. In February, the affordable housing developer purchased the ground lease for an affordable housing complex in Deerfield for $22.4 million. 

Representatives for Smith & Henzy Affordable Group and Related Group did not respond to a request for comment.

Affordable housing has become a pressing issue in Florida, with an already tight housing market exacerbated by the  COVID-19 pandemic, as wealthy Northerners decamped south. In response last year, the Florida Legislature passed the Live Local Act to spur construction of affordable properties with height incentives for developers. But the law has also been met with ire from many municipalities for overriding their authority.

Julia Echikson can be reached at jechikson@commercialobserver.com.