It must be a hot market for charter school campuses in South Florida, as the campus of Franklin Academy in Palm Beach Gardens was sold for the second time in two months.
RM Franklin Acad FL LLC, an affiliate of New York-based Rosemawr Management, sold the 87,832-square-foot charter school building at 5651 Hood Road for $23.79 million to Erudite Properties, a for-profit affiliate of Fort Lauderdale-based Florida Charter Foundation, led by Scott Sznitken. The buyer leased the campus to the nonprofit Franklin Academy Foundation.
The Florida Charter Foundation operates all the Franklin Academy School locations. The arrangement allows the nonprofit school to pay rent to a for-profit affiliate.
The Franklin Academy campus last traded for $21.19 million in December, as part of a national portfolio deal. It was built on the 9.3-acre site in 2014. It serves grades K-8.
The deal was financed by $88.7 million in educational facilities lease revenue bonds through U.S. Bank. The same loan was used to finance Erudite Properties’ purchase of Franklin Academy in Pembroke Pines. The latter deal had a different seller.
Charter schools have been increasingly attracting students in South Florida, which has contributed to a decline in enrollment at many traditional public schools. The steady stream of revenue from public school systems for each student enrolled has made charter schools a strong investment.