BGI Capital has finalized the purchase of a development site next to its nearly completed Alba Palm Beach condominium tower in West Palm Beach for $40.9 million. The Miami-based developer, led by Kenneth Baboun and Robert Barthelmess, acquired the properties at 4720, 4802, and 4804 North Flagler Drive from Justo Naranjo, Beatriz Corrales, and Nataly Nicole Corrales for $33 million.
The transaction includes a waterfront single-family home as well as the remaining units in the 4800 North Dixie condominium complex. This adds to five units BGI bought for $7.9 million in 2023. According to property records, BGI financed the acquisition with a $25.6 million loan from an affiliate of Linkvest Capital.
The combined sites amount to 2.2 acres with 200 feet of waterfront. They are adjacent to Alba Palm Beach, a 22-story, 55-unit condominium expected to be completed this spring and currently reported as being 70 percent pre-sold.
BGI is now seeking approval for another project nearby: a proposed condo tower tentatively named Alba Reserve. City planning documents indicate it would rise to 31 stories with 87 units. The firm has chosen Carlos Ott and Spina O’Rourke + Partners as architects for this development, which is expected to stand at 360 feet tall with unit sizes starting at about 3,000 square feet—larger than those in the original Alba building.
“It’s early to know what it’s going to be,” said Baboun about the new project’s concept phase. “I’m in concept design, this is the exciting part.”
Baboun indicated that prices will target higher-end buyers compared to their previous tower, where units started at $2.5 million: “We’re going high end all the way,” he said, highlighting strong demand for homes priced above $6 million.
Seller Justo Naranjo is known locally as a real estate investor with holdings throughout Palm Beach County. He and his wife purchased one of the involved properties in 2014 for $1.7 million and have lived there since then.
After BGI acquired its initial Alba site in 2020 for $5.8 million, Naranjo and his family began buying up neighboring condo units—spending around $2 million—in anticipation of future developer interest.
These two planned towers join several other major projects proposed or underway along West Palm Beach’s waterfront corridor—a region that now counts more than 2,000 new condo units either planned or under construction. Despite concerns over potential market saturation due to rapid growth in residential developments like these, Baboun stated he believes there remains significant demand: “We’re conservative with our pipeline, we’re in no hurry to launch projects as we speak,” adding that sales on the second tower may not begin until another year or two.
He also pointed out what he described as a shortage of existing waterfront condos within West Palm Beach.
Other developers are active in this area as well; Huizenga Holdings and Integra Investments are advancing plans for a redevelopment valued at approximately $2 billion near Rybovich Marina that would include four towers and more than 660 residential units at 4200 North Flagler Drive. Meanwhile, Great Gulf from Toronto recently acquired land at 5400 North Flagler Drive for $28.5 million and intends to build a separate tower with over ninety residences.
