Matthew Brown, COO, NAI Merin Hunter Codman, Inc.

Matthew Brown, COO of NAI Merin Hunter Codman, Inc., sat down with Invest: to discuss how the company is working to meet the demands for infrastructure in West Palm Beach, what kinds of properties are driving growth, and what makes South Florida an attractive area for commercial real estate investment and development. “Palm Beach County continues to benefit from a combination of population growth, business migration, and pro-business policies that foster investment and development. It’s a market that rewards long-term vision and local expertise,” Brown said.

What changes have affected NAI Merin Hunter Codman in the last year, and in what ways?
NAI Merin Hunter Codman, one of South Florida’s leading commercial real estate brokerage and investment firms, continues to thrive in a fast-changing market. Founded in 1992, the firm leverages more than three decades of experience across leasing, investment sales, property and construction management, and strategic advisory services.
Transformative development continues to reshape downtown West Palm Beach into one of the nation’s most desirable Class A office markets. Roughly 1.5 million square feet of new space is under construction, with rental rates for trophy assets now rivaling Midtown Manhattan. These record-setting levels have created a distinct market divide: some tenants are pursuing premier West Palm Beach CBD space, while others are targeting Palm Beach County suburban markets such as West Palm Beach, Palm Beach Gardens and Boca Raton, where high-quality office product leases for less than half the cost of new downtown towers.
With more than 4 million square feet of commercial real estate under management, our property and construction management teams are executing targeted capital improvement programs to enhance asset performance and maintain market competitiveness for our clients, and our investors on the investment management side. We continue to navigate this bifurcated environment by educating and assisting tenants in identifying value and structuring creative leasing solutions tailored to evolving market conditions.

What types of services and properties are driving growth, demand, and profitability for the company in Palm Beach?
We’ve experienced strong growth across our property management, leasing, and investment sales divisions, driven by the Palm Beaches’ economic momentum and our long-standing market presence. Deep local experience and trusted client relationships enable us to capitalize on continued in-migration, business expansion, and institutional investment demand.
Much of our leasing activity is concentrated in Class A and B+ office properties near residential and retail corridors. These assets offer a better value proposition for small and midsize businesses, with rents well below downtown levels yet provide access to high-quality space and amenities. Smaller, move-in-ready spec suites between 2,000 and 4,000 square feet continue to do well, driven by steady demand from small and midsize companies who are both growing and in some cases downsizing from larger block space. At the same time, we’ve also represented several tenants this year in leasing new trophy and existing Class A office buildings in downtown West Palm Beach at $75 per square foot to $125 per square foot NNN rates, reflecting the strong dual demand for both premier downtown space and well-located suburban alternatives.
Medical office is a major growth driver in the market and also for us, fueled by population gains, an aging demographic, and healthcare provider expansion. Our medical real estate specialist, Lesley Sheinberg, is actively assisting healthcare tenants and owner-users in acquiring, divesting, and leasing space.

What are some factors that make Palm Beach an attractive market for commercial real estate investment and development?
Beyond favorable tax policy and climate, Palm Beach County stands out for its demographics, connectivity, and a deep and growing capital base. Sustained population growth, a skilled workforce, and steady business migration continue to drive long-term demand across asset classes.
Palm Beach in particular holds a distinct national profile due to its affluence, and brand cachet. As a result, the greater Palm Beaches attract a wide spectrum of investors, from major hedge funds, private equity firms, and ultra-high net worth family offices who are drawn to its stability, long-term growth potential and strong demographics. The area is viewed by institutional investors as a core growth market for both real estate and private capital deployment.

What is your overview of the commercial real estate industry in Palm Beach, including emerging trends or market dynamics?
Palm Beach County’s commercial real estate market remains robust, driven by population growth, business migration, and sustained investor confidence.
Healthcare continues to be a leading demand driver. Major healthcare systems such as Cleveland Clinic, NYU Langone, and Universal Health Services are expanding with new hospitals and outpatient centers, creating jobs and fueling demand for medical office and supporting development.
We’re also seeing a continued medicalization of retail, as healthcare providers expand into highly visible, easily accessible retail corridors. Urgent care centers, outpatient clinics, and specialty practices increasingly prefer former retail spaces for their convenience, parking, and proximity to residential populations. This trend further strengthens demand for well-located neighborhood and strip centers, particularly those with strong local demographics, and existing complementary medical co-tenancy.

What opportunities for growth and investment can be found within the commercial real estate industry in Palm Beach?
Medical office is poised for continued growth as population gains, in-migration, and an aging demographic drive demand for modern healthcare facilities. The expansion of major systems such as Cleveland Clinic, NYU Langone, and Universal Health Services is and will continue to create leasing and development opportunities across Palm Beach County.
Retail also continues to show sustained demand, supported by population growth, high consumer spending, and ongoing corporate relocations. Well-located neighborhood and lifestyle centers with service-oriented and experiential tenants remain attractive to both investors and tenants.
The office sector is gradually stabilizing after a period of adjustment. Following limited lending activity after the regional banking disruption during the second half of 2023 and 2024, liquidity for quality office assets is slowly returning to the market, primarily through CMBS, private equity debt funds and life companies. To evidence this, MHCommercial Real Estate Funds (www.mhcref.com), our investment management platform, refinanced a maturing first mortgage loan on Oakbrook Center, a 243,000-square-foot, 95% leased Class A office complex in Palm Beach Gardens. As more capital re-enters the space, we expect selective opportunities for acquisition/disposition, recapitalization, and value creation for high quality, well-located office assets.