ISSUE I 2013 VOLUME I DEVELOPER’S STORY—

WHO IS GAK LLC ......... 2

SMART BUILDING—IT’S

GOOD TO BE GREEN ..... 3

ECONOMIC BENEFITS OF

THE PROJECT ................ 4

West Palm Beach A DDRESS I NG THE FUTURE O F THE CHAP EL B Y

T HE LA KE — P ROG RES S A LO NG THE P ATH

Plans have been proposed to construct a new ultra-luxury condominium building with only 96 residences on the West Palm Beach waterfront parcel located at 1112 South Flagler. The contemporary building, designed by award-winning architectural firm, Solo-mon Cordwell Buenz incorporates the latest design trends providing exquisite styling, innovative floor plans, and lush landscaping with water features along Flagler Drive. The building has been positioned on the North and East ends of the property in sensitivity to the concerns of its near-est neighbor, the 111-unit Trianon Con-dominium. This location, well setback from Flagler Drive, allows for creation of

a heavily landscaped front lawn highlight-ed with a cascading water feature on Flagler Drive. In addition, all parking will be concealed within the building. En-hancements to improve the pedestri-an experience are designed on both the East and West sides of Flagler Drive. Four city blocks (almost 800-feet) on the West side will include well-maintained land-scaping, pedestrian walkways and linear parks. GAK LLC has committed to constructing the building utilizing Green Building practices which provide for reduced environmental impacts on an ongo-ing basis. And, as a matter of standard practice, they will utilize minority con-tractors in the building process.

Celebrating new energy on the

Waterfront

“This waterfront location just outside of the official downtown

WPB area, is an important signature project for the City.”

Dennis Grady, Chamber of Commerce

Did You Know? The Chapel by the Lake was created in 1962 by First Baptist Church from land filled in on the Intracoastal. Now First Baptist Church would like to sell the parcel for condominium development to fund improvements to their Flagler Campus, as well as expand their ministry. This includes investing in 100 new Churches across South Florida, the hiring and training of Pastors and Staff, as well as using resources to meet the needs of the poor, hungry, and medically needy.

focus

GAK LLC Credentials

CHAPEL BY THE LAKE

John Hancock Center

Chicago

Snowmass Village

Colorado

G.A.K. partners, LLC is a joint venture by affiliates of Chica-

go-based Golub & Company, Detroit-based Commercial Financial Management and Miami-based Elion Real Estate Partners. The combined expertise of GAK brings a unique advantage for suc-cessful projects. GAK provides a global approach to real estate development while incorporating necessary local experience and maintaining sensitivity to local concerns.

Golub & Company, a privately held real estate investment

and development firm founded more than 50 years ago has de-veloped, owned, managed or leased more than 45 million square feet of commercial office space and 50,000 residential units. In addition to domestic activities the company has also developed projects throughout Central and Eastern Europe. Overall, the firm has been involving in more than $8 billion in real estate transactions. With a team of dedicated professional providing ''Best- In- Class" real estate services, Golub has earned a reputation as a highly respected and innovative international development company.

Commercial Financial Management has been owned

and operated by Allan R. Adelson for over 45 years. The Detroit based commercial property management firm has owned, oper-ated, and managed over seven million square feet throughout Michigan, Ohio, Florida and Colorado. Mr. Adelson has been a partner or participant in over 70 limited liability corporations during his 45 years of experience in the real estate busi-ness.

Elion Real Estate Partners was established by Jack Azout

and Shlomo Khoudari. Their affiliated companies have operated as a fully integrated real estate company based in Miami, Florida since 1992. Elion is horizontally diversified with divisions devot-ed to development and acquisition of commercial real estate, leasing, property management, brokerage, site development, vertical construction and construction management.

The Bristol

Chicago’s Gold Coast

The Elysian Hotel & Private

Residences, Chicago

One of the goals of the 1112

South Flagler project is to create a

building that is energy efficient,

healthy and makes a positive im-

pact on the environment and com-

munity. LEED Silver rating

is targeted, which provides third

party certification that the project

is designed to meet industry ac-

cepted green building standards.

The credits taken to achieve LEED

Silver will evolve, but the project

team is considering among other

measures ample bike parking,

water saving fixtures, green

terraces, Energy Star appli-

ances, and healthy building

materials.

The exterior design of the 1112

South Flagler building has been

developed with energy savings in

mind. The deep balconies provide

shading that lowers energy use

while providing daylight access

and preserving the spectacular

views. The design also takes a

clue from traditional architecture

in South Florida with the white

color which lowers energy use by reflecting solar energy.

SMARTER BUILDING:

Why it’s Good To be GREEN

Q: A question frequently asked concerning the Chapel by the Lake proper-

ty is “What uses are currently allowed on the property other that the

amphitheatre and parking?”

A: The answer is found by examining the existing designated Land Use

assigned to the property. Currently there are two Land Use Designations on

the Property – CS (Community Service) and MF (Multifamily).

Most of the property (2.634 acres) is designated CS. CS (Community Ser-

vice) allows for the current church use and other institutional uses such as

Colleges, Funeral Homes, and Cemeteries. CS also allows for hospitals and

offices (both professional and medical). Given that the Church has made a

decision to sell the property, if the current residential proposal was not ap-

proved, the most likely alternative private use would be Office.

The remainder of the property (.577

acres) is designated MF (Multifamily)

as is the neighboring Trianon Proper-

ty. The MF Land Use allows multi-

family residential construction up to a

density of 32 units per acre. In this

case, the current acreage would permit

18 residential units on the small area.

An analysis was performed assuming

that a buyer of the property only used

the property for what is entitled by the current Land Use. Most likely the

buyer would want to maximize

the use which in this case would

allow 86,052 square feet in a 60’

foot high building. In order to

meet City parking requirements

430 parking spaces would be

required necessitating a multi-

level parking structure. The re-

sult is graphically depicted

above as it would be viewed

from Flagler Drive. In addition

to the wall of buildings result-

ing, the impact of 430 cars com-

ing and going all day would be

significant as compared to the current low impact residential proposal.

Current Land Use Analysis

Getting the most economic benefit for our City

With the zoning change from

Community Service to Multi-

Family, the Chapel by the

Lake land will become tax-producing for the City of West Palm Beach. The building, as proposed by

GAK LLC will provide on-going much-needed tax revenue estimated to be

$2.9 million annually to

pay for City services enjoyed

by all residents, including

police and fire protection, utilities, etc.

In addition, the condos are

expected to generate $2.7

million in operating ad val-

orem revenue for

the Palm Beach

County School

District. The

high taxable val-

ue of the condos

will likely help to

hold the Millage

rates lower for

other property owners within

Palm Beach County.

As a low density project (only

96 residences) the building has

minimal impact on traffic on

Flagler Drive, as well as on the

use of City Services.

The new building

creates both short-

term construction

jobs (over 1,000

jobs) as well as

creates lasting

employment for

just over 100 peo-

ple.

Residents will support the lo-

cal economy as taxpayers as

well as by shopping at local

retailers and dining in local

restaurants.

“This project is a win/

win for the City, for First

Baptist Church & for

Palm Beach Atlantic

University.”

KARL WATSON

SPEAK OUT: Contact Your

Local Officials

GAK LLC

Mayor, Jeri Muoio (561) 822 1400 jmuoio@wpb.org

District 1 Commissioner

Sylvia Moffett (561) 822 1400 smoffett@wpb.org District 2 Commissioner Ike Robinson (561) 822 1400 Irobinson@wpb.org District 3 Commissioner Kimberly Mitchell (561) 822 1400 kmitchell@wpb.org. District 4 Commissioner Keith A. James (561) 822 1400 Kjames@wpb.org District 5 Commissioner Shanon Materio (561) 822 1400 smaterio@wpb.org

Originally proposed as the tallest building in West Palm Beach, developer,

GAK LLC has improved upon the initial plans as follows:

Reduced the overall height of the building by eliminating 4

floors and reducing the ceiling height in amenity areas in

the building. Therefore, the building as re-submitted for

approval at 327 feet will now be shorter than the 330-foot

Trump Towers and the approved but not yet built, 343-foot

Opera Place project.

Contracted to purchase a 100-foot wide stretch of sub-

merged land to the North of the parcel from Palm Beach

Atlantic University. The developer has agreed to deed re-

strict this additional land in order to preserve its water

views in perpetuity.

Initial Plans Reduced