Blackstone has agreed to buy 125 Worth Ave., a three-story retail and office building in Palm Beach, Florida, from an entity linked to Citadel founder Ken Griffin for $86 million. The deal expands Blackstone’s South Florida holdings and underscores strong institutional demand for scarce luxury retail properties on Worth Avenue.
Key takeaways
- Blackstone is acquiring the 49,000-square-foot property for $86 million.
- The building is anchored by tenants including Truist Bank and Ferretti Group.
- Griffin bought the asset for $83 million in 2023.
- Palm Beach retail vacancy is below 1%, with rents nearing $92 per square foot.
The transaction places one of the world’s largest real estate investors on Palm Beach’s premier shopping corridor, where global luxury brands and limited available space have supported rising property values.
A high-profile Worth Avenue acquisition
The property at 125 Worth Ave. combines ground-floor retail with office space and sits among internationally recognized brands such as Chanel, Louis Vuitton and Ferragamo. Its tenants include Truist Bank and yacht brokerage Ferretti Group, providing established commercial occupancy in a highly visible location.
Blackstone’s purchase price is only modestly above the $83 million Griffin paid in 2023. The limited increase reflects a relatively quick resale while highlighting the appeal of a well-located asset in a supply-constrained market.
Palm Beach attracts institutional capital
The sale follows several major transactions along Worth Avenue. In March, the Reuben Brothers and Crown Onyx Investments bought the 128,000-square-foot Esplanade 150 Worth Ave. for $200 million. Acadia Realty Trust also acquired a 10,000-square-foot building at 225 Worth Ave. for $43 million.
The concentration of high-value deals indicates that institutional investors remain willing to pay premium prices for properties serving affluent residents, visitors and luxury retailers. Blackstone has described Palm Beach as one of North America’s strongest luxury retail markets.
Tight supply supports rents
Palm Beach’s retail vacancy rate is below 1%, while rents are the highest in Palm Beach County at nearly $92 per square foot, according to market data cited in reports on the transaction. Countywide retail vacancy is below 4%, and average rents are approaching $39 per square foot after rising 7% year over year.
Nearly 370,000 square feet of retail space is under construction across the county, with tenants absorbing more than 230,000 square feet during the first half of 2026. Even with new supply in the pipeline, demand for prime locations remains strong.
Griffin continues reshaping his South Florida holdings
The sale is part of Griffin’s broader real estate activity in South Florida. Citadel is developing a planned $2.5 billion headquarters in Miami, and Griffin sold a neighboring Worth Avenue property to TZ Capital for $80 million in 2025.
For Blackstone, the acquisition adds a prestigious retail asset to its growing South Florida portfolio. For Palm Beach, it reinforces the market’s position as a magnet for global capital and a high-end retail destination where scarce space continues to command premium pricing.