A Boca Raton development team has secured a $74 million construction loan to build a major mixed-use project in the city’s downtown district.
Bank OZK, based in Little Rock, Arkansas, provided the financing for a project called The Aletto, advancing a plan that began construction late last year and is now fully funded through vertical build.
The Aletto will consist of two 10-story mid-rise buildings on a 1.3-acre site at 119 East Palmetto Park Road, just east of Mizner Park and near the Brightline Boca Raton station. The site was bought in 2023 by an affiliate of the lead developer for about $8.6 million.
Together, the towers will total roughly 140,000 square feet of space, with 117,000 square feet dedicated to office and approximately 23,000 square feet for retail and restaurant tenants. The development also includes a 550-space parking garage.
The lead developer on the project is Compson Associates, a Boca Raton firm run by Robert D’Angelo and Carl E. Klepper Jr. Compson is partnering with West Palm Beach-based North American Development Group, led by CEO Jeff Preston, and local jeweler Alfredo Aletto.
The architecture and site design were created by Boca Raton-based Vander Ploeg and Associates. The development is projected to be completed in 2026, according to materials from the developers.
Leasing for The Aletto is being handled by a Colliers International team led by brokers Scott Brenner and Gary Gottlieb. Office tenants signed to lease space include Slavic401k, NSI Insurance, and co-working provider Industrious.
Retail and restaurant operators planning to open at the project include Ink Entertainment Group, a Toronto-based hospitality company. Ink Entertainment has signed for two concepts: Amal, a contemporary Lebanese restaurant planned for the rooftop, and Sofia, an upscale Italian restaurant.
Bank OZK has financed Compson projects in South Florida before. In 2016 the bank provided a $24.5 million construction loan for Santorini, a multifamily project in Boynton Beach. In 2020, Compson used a $48.7 million Bank OZK loan to build Tower 155, a condo project in Boca Raton.
The Aletto sits in the heart of Boca Raton’s core commercial district. Mizner Park, a mixed-use lifestyle and retail center that has anchored downtown Boca for decades, is directly to the west. The property is also steps from the Brightline heavy-rail station, a growing regional transportation hub connecting Palm Beach, Broward and Miami-Dade counties.
Office construction financing has tightened nationwide in recent years, especially for projects outside major financial hubs. Developers and lenders have been closely watching demand for office space amid shifting work patterns and higher borrowing costs. Despite those pressures, local brokers say pre-leasing at The Aletto is progressing. Some reports indicate the office component is already more than half leased ahead of completion.
The Aletto’s progress could be a bellwether for future downtown Boca Raton development. The city has seen increasing interest from office, retail and mixed-use developers since the mid-2020s, with several large sites either under construction or in planning phases.
Source: The Real Deal https://therealdeal.com/miami/2026/01/06/boca-raton-mixed-use-lands-74-million-construction-loan/
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