Software Firm Found Liable For Fraud Lists 189K SF Broward Office
A global software and development company based in Sunrise is seeking takers for the 189K SF office building it purchased in 2021 after being ordered to pay customers $500K in a fraud lawsuit.
Chetu Inc. has tapped an Avison Young team of Justin Cope, Greg Martin and Lisa Blumer to market its headquarters at 1500 Concord Terrace in Sunrise, Bisnow has learned.
The company occupies a full, 36K SF floor in the five-story office, built in 1995 within the 22-acre Sawgrass International Corporate Park, according to a listing on LoopNet. The other four floors have been vacant since at least 2021.
"1500 Concord presents a unique opportunity to occupy an entire building in one of the country’s most robust business ecosystems," Cope said in a statement. "The owner currently occupies a full floor space but is open to relocation if a full-building tenant is interested."
The office space, an eight-minute drive to Sawgrass Mills, is being marketed for about $30 per SF on a triple-net basis, according to a marketing brochure. The building also has a 7,500 SF data center on the first floor. The entire space is described as fully built out and available immediately.
Chetu didn't respond to requests for comment. The listing was first revealed in a Newmark first-quarter office report.
Bansi Properties, the development company led by Chetu CEO Atal Bansal, paid $25M for the building in 2021, according to Broward County property records.
At the time, Chetu, which provides custom software for businesses, planned to anchor the building and lease out any remaining square footage to other tenants, The Real Deal reported.
Next to 1500 Concord Terrace, Bansi Properties planned to build a 140K SF, four-story office building with completion set for 2023, according to a release on the real estate company's website. Bansi described itself in the 2021 release as “South Florida’s premier commercial real estate developer,” despite having been founded in 2020.
Chetu had developed its 63K SF, three-story headquarters in Plantation and just delivered it in 2019 but said in a 2021 release that its “unprecedented growth has already necessitated a larger venue.” Bansi inked the IRS to a 15-year lease at the building for the agency's Broward County office.
Chetu also has seven offices in the U.S., one office in Europe and three offices in Asia, according to its website.
The company has been caught up in litigation with unhappy customers since 2022.
Chetu was ordered to pay more than $500K in October, including punitive damages, to a barbershop chain in Washington state after being accused of a “bait and switch” scheme by promising functional software and not delivering on it while continuing to charge fees, NBC6 South Florida reported.
A district court judge wrote in a 72-page opinion following a three-day bench trial that Chetu “defrauded and hoodwinked” its customer to the tune of $145K.
Chetu appealed the decision in January, arguing that it wasn't given a chance to make an oral argument, according to court records.
The addition of Chetu's 189K SF building drove net absorption levels into the negatives in the Broward County office market for the first time since 2022, according to Newmark.
In the first quarter, companies emptied 162K SF more office space than they moved into, and the vacancy rate was 18.5%, according to the report.
UPDATE, MAY 4, 5:05 P.M. ET: This story has been updated with additional information about Chetu's occupancy and a statement from Avison Young.
