Illinois' GK Development buys two downtown commercial buildings

BUYER: XAC Developers LLC, Barrington, Ill.
SELLER: Palm Avenue Partners LLC
PROPERTY: 33 S. Palm Ave. and 30 Mira Mar Court, Sarasota

PRICE: $2.75 million
PREVIOUS PRICE: $2.2 million, July 2005

PLANS, DESCRIPTION:
Barrington, Ill.-based GK Development Inc. purchased a two-story 7,040-square-foot retail building and the 3,720-square-foot Roth Cigar Factory building for $2.75 million.

The price equated to $256 per square foot. That figure is higher than the two-year average price per square foot for retail space ($146) in the Tampa Bay area, according to the CoStar Group.

The two buildings occupy 8,643 square feet of land adjacent to the high-rise condominium 1350 Main.

The larger building was constructed in 1925 and the small building was built in 1916.

The seller, Palm Avenue Partners LLC, an entity owned led by Matt and Thomas Leiter, is in Chapter 11 bankruptcy. Matt Leiter is also GK Development's vice president of equity markets.

Leiter and GK Development did not return calls requesting comment prior to deadline.

Created in 1995, by former executives from the real estate development arm of Sears, Roebuck & Co., Homart Development Co., GK Development now has a portfolio of commercial properties valued at
$500 million. It has acquired, redeveloped, leases and manages 6.4 million square feet of space in eight states.