This Week's South Florida Deal Sheet: Terra Plans First Project In Palm Beach

Terra Group has unveiled plans for a 25-story hotel and condo that marks the Miami-based developer’s first project in Palm Beach County. 

Terra is developing the Mr. C Hotel & Residences in West Palm Beach at 320 Lakeview Ave. in partnership with local firm Sympatico Real Estate. It is planned to include 110 hotel rooms and 146 branded residences starting at $2M, with Douglas Elliman handling condo marketing and sales. Some of the two-to-four-bedroom condos will be eligible for the property’s hotel rental program. 

Construction on the Arquitectonica-designed project is expected to begin in early 2024 and be completed in 2026. Boca Raton-based Landscape Design Workshop is handling landscape design, and interiors are coming from New York-based Meyer Davis, with input from Ignazio and Maggio Cipriani. The Cipriani brothers founded the Mr. C Hotels brand, which includes the Mr. C Hotel & Residences in Coconut Grove, also developed by Terra, and planned locations in Fort Lauderdale and Dubai.

The development is slated to have a restaurant and lounge from Bellini — an Italian concept with locations at the Mr. C Residences in Coconut Grove, New York and Providence, Rhode Island — and amenities including a pool deck, spa, coworking lounge, dog run and ballroom.

The Morrison family, which operates Sympatico Real Estate, assembled the 1.3-acre site for $8.3M in three deals in 2000, 2015 and 2021, property records indicate.

FINANCING

Bank OZK provided a $45M construction loan for The Standard Residences Midtown Miami, according to a release. The 12-story, 228-condo property at 3100 Northeast First Ave. is being planned by joint venture between Rosso Development, founded in 2020 by former Related Group executive Carlos Rosso; Standard International, the New York company behind the Standard hotel brand; and Midtown Development, a Miami-based developer.  

The property is nearly 90% sold, with its studio to two-bedroom units starting at $500K. It is already under construction, with delivery scheduled for the end of 2024. 

A JLL Capital Markets team led by Brian Gaswirth and Jimmy Calvo represented the joint venture in securing the debt. Condos are being marketed and sold by Douglas Elliman. 

The site, a narrow strip of vacant land adjacent to The Shops at Midtown Miami, was purchased for $1.6M in 2011, according to property records. 

SALES

Boise Cascade, a maker and distributor of wood products for construction, paid $31M for a 120K SF industrial and office property in West Palm Beach, according to a release. The building at 1300 Allendale Road was built on 9.8 acres in 1987 and includes a 91K SF climate-controlled warehouse and two-story office space totaling 20K SF. 

The seller, Brown Distributing Co., was represented by a CBRE team of Robert Smith, Kirk Nelson and Jeff Kelly. Boise Cascade was represented by NAI Miami. 

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Fingerlakes Warehouse Corp. sold two Doral warehouses totaling 27K SF for $7.8M in an all-cash transaction, according to a release. The 69K SF property at 1373 Northwest 97th Ave. was bought by an entity called Level II West LLC. Blanca Commercial Real Estate broker Andres del Corral represented the seller. The buyer was represented by Luisa Nicholls-Keller of Williams Capital.

THIS AND THAT

Miami-based Highline Real Estate Capital launched an investment fund targeting distressed office, retail, multifamily and industrial properties throughout the Southeast, according to a release. 

The fund, called Highline Real Estate Fund 1 LP, raised 70% of its $350M equity goal in its first investment round. It will consist of up to $75M in discretional capital commitments, $100M in joint venture commitments and $175M in debt financing. The investment firm plans to pursue acquisitions through direct investments, joint ventures and the provision of rescue capital to existing owners. 

CONSTRUCTION AND DEVELOPMENT

Related Urban Development Group, the affordable and workforce housing arm of Miami-based Related Group, broke ground on the fourth phase of the Liberty Square housing development, according to a release.

The mixed-use project in Liberty City west of Little Haiti will include 193 apartments across three buildings for families and individuals making between 30% and 80% of the area median income, which was $82,550 for a family of four as of May. The development will also host the Jessie Trice Healthcare Center and the headquarters of the Miami-Dade Chamber of Commerce. 

The project, expected to deliver in March 2025, is being financed through tax-exempt bonds, Low-Income Housing Tax Credit equity, the Florida Housing State Apartment Incentive Loan program, known as SAIL loans, and the Miami-Dade County Affordable Housing Surtax Program. 

It is the fourth of nine phases for the Liberty Square redevelopment that Miami-Dade County launched in 2015. The overall project spans 60 acres and is expected to include 1,900 affordable and market-rate units, a community center, an educational center, healthcare facilities and a grocery store. 

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13th Floor Homes, the homebuilding arm of Miami-based 13th Floor Investments, began construction on a 34-home luxury project called Marina Landings in East Fort Lauderdale, according to a release. The four-bedroom homes at the development, located at 2300 Southwest 15th Ave., average around 2,800 SF and are priced at over $1M. The houses are 20% sold, with the Dotoli Group at Compass leading sales and marketing, the developer said. Delivery is expected in 2024. 

13th Floor acquired the site from a church in August for $6M, then secured a $14M construction loan for the development from CIBC Bank USA, a subsidiary of Toronto-based Canadian Imperial Bank of Commerce, along with $1M in seller financing, the South Florida Business Journal reported. 

LEASES

Audemars Piguet signed a 12K SF lease to open a retail lounge at the under-construction Eighteen Sunset project in Miami Beach, according to a release. The luxury Swiss watch manufacturer will open the location next year on the top floor of the five-story building. 

The AP Lounge will be the luxury brand’s 16th global location. The store will “be an innovative residential salon concept made for intimate browsing, socializing and entertaining amongst existing and potential Audemars Piguet clients,” according to the release. 

Eighteen Sunset, located at 1752 Bay Road, includes 17K SF of ground-floor retail, a second-story parking deck and 40K SF of office space. The rooftop space Audemars Piguet is slated to occupy was originally planned as a penthouse residence. 

Deco Capital, the developer of Eighteen Sunset, was represented by Stephen Rutchik at Colliers and Neil King at CBRE. Audemars Piguet was represented by Jonathan Schley at CBRE and Lyle Stern of Miami-based Vertical Real Estate. 

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Century Town Center, an 8-acre mixed-use development in Doral, added three new retail tenants that will occupy more than 11K SF, according to a release:

• My Salon Suites will provide stylists fully equipped, private suites in a 6K SF location.
• Fitness concept Rumble Boxing will occupy almost 3K SF, combining boxing drills with resistance training in 10-round, 45-minute classes.
• KidStrong will open a 3K SF location, providing a training center for children up to 11 years old to help them build confidence through exercise and physical activities.

The first phase of Century Town Center in Midtown Doral includes 326 housing units and 31K SF of retail space with a planned second phase that will add 408 residences and 27K SF of retail. 

It is being developed by Double C by Conconcreto, a subsidiary of the Colombian construction and development firm Constructora Conconcreto; Mattoni Group, a Miami-based real estate investment firm; and Coral Gables-based Century Home Builders, which has built more than 16,000 homes in South Florida.