This Week's South Florida Deal Sheet
Terra Group landed a $230M construction loan for its CentroCity project in Little Havana to get the mixed-used development up and running.
Terra plans to renovate the strip mall and build three apartment buildings with 470 units between them at 3825 NW Seventh St., The Real Deal reports. The developer also plans to develop 50K SF of new office and retail on a piece of the existing parking lot on the 39-acre site next to Magic City Casino.
Apollo Global Management affiliate Athene and Mack Real Estate Credit Strategies provided senior and mezzanine debt, respectively, while Walker & Dunlop arranged the financing package. The project is being designed by RSP Architects.
Terra Group bought the property two years ago from HayDay Inc., which owns the nearby casino, for $28.6M, although TRD reports that HayDay Inc., managed by the Havenick family, still owns a minority stake in the project. The finished product, slated for a 2024 delivery date, will include a 100K SF Target anchor. An additional 350K SF of retail and restaurant space is up for grabs.
SALES
An entity connected to billionaire Jeffrey Soffer acquired a Tequesta condo building for $100.5M, the South Florida Business Journal reports. Soffer plans to terminate the condo association and tear down the Regency Condominium, which was built in 1969, to build a new condo tower on the site.
The 39-unit building at 250 Beach Road was acquired for $2.58M per unit, making it one of the priciest deals for a condo building in South Florida history, per the SFBJ. Soffer and his business partner, Phil Perko, landed an $80.5M mortgage from Motcomb Estates for the acquisition. The condominium association filed a notice to terminate shortly after the deal went through.
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American Landmark Apartments acquired Glen at Cypress Creek for $60.5M, it announced last week; that's almost double what the previous owner paid six years ago. Priderock Capital Management bought the North Lauderdale rental complex, located at 1949 Cove Lake Road, for $36.5M in 2016, nearly 20 years after the building was delivered, The Real Deal reported. American Landmark assumed the $27.4M in debt attached to the building, and it increased the loan to $5.3M with lender Berkeley Point Capital.
Index Investment Group acquired the Quality Inn Palm Beach International Airport and an adjacent IHOP restaurant for $12.5M, according to a press release. Located at 1503-1505 Belvedere Road in West Palm Beach, the property has 135 rooms and sits on a 140K SF lot within walking distance from Palm Beach International Airport and downtown West Palm Beach, according to Colliers.
Colliers Executive Managing Director Mark Rubin and Director Bastian Laggerbauer represented Index in the deal, while Colliers' Richard Lillis represented the seller, Cherry Cove Hospitality, which paid $7.4M in 2016 for the property. A 5,408 SF IHOP is included in the deal, and the hotel is expected to keep the Quality Inn brand.
DEVELOPMENT
Former NFL star Elvis Dumervil is proposing his first apartment project with a heavy emphasis on family-style units. The Miami native's company, Prestige Estates, submitted a land use plan for the site located at 12050 NE 14th Ave., the South Florida Business Journal reports.
Dumervil, who played for the Denver Broncos, Baltimore Ravens and San Francisco 49ers before retiring in 2018, is looking to change the site's zoning from industrial and office to high-density, which would allow him to develop a 17-story apartment complex of 250 units and about 32K SF of retail space. Of the 250 apartments, 23 would be one-bedroom units, 80 would be two-bedrooms, 98 would be three-bedrooms and 50 would have four bedrooms. The units, designed by Zyscovich Architects, will range between 750 and 1,550 SF.
LEASES
Six new tenants will be calling the Waterford Business District home, The Real Deal reports. A joint venture of Nuveen and Allianz Real Estate landed the leases in the office park adjacent to Miami International Airport. Blanca Commercial Real Estate’s team represented Nuveen and Allianz in the deal.
New tenants include Pernod Ricard Travel Retail, which signed for 9,500 SF; Current Builders, which signed a 3K SF lease; and Southeastern Management, which is taking up nearly 8K SF, according to a press release. E&Q Floors, aikiu and Rohde & Schwarz also relocated to Waterford. In addition to the six new leases, Swatch Group expanded the 26K SF lease it signed in April.
Nuveen and Allianz own 1.7M SF of offices at the 3M SF, 250-acre business park, according to TRD.
