MIAMI—Related Group has secured $358 million in construction financing in December. During the past 90 days Related has closed on $525 million in construction financing from the country's top lenders. That means another few busy years for the firm.
First, Related and Terra closed on a $159.5 million construction loan from an affiliate of Mack Real Estate Credit Strategies for Park Grove. This loan comes on the heels of the first two towers' sales success, currently boasting 95% under contract.
"Securing this loan demonstrates the strength of the project and the sponsorship," says Ben Gerber, vice president of Finance at Related. "Mack ran a great process providing an efficient and seamless execution."
Park Grove at 2701 South Bayshore Drive marks first real estate project collaboration between Terra and Related. Located directly across from Biscayne Bay, the 5.2-acre site is bringing in design talent and art.
Related also announced today a $94.93 million construction loan for Paraiso Bayviews from Bank of the Ozarks. Paraiso Bayviews is the third of four towers to go vertical in Related's Paraiso mega-development. The fourth and final, GranParaiso, is expected to close on a construction loan in early 2016.
"This closing re-affirms the commitment of our lenders who, while becoming much more selective, are bullish on South Florida," says Gerber. "Having financial backing proves that others also embrace our vision for the Paraiso community and Edgewater, and they are willing to help us make Paraiso Bayviews a reality."
Finally, Related Group and Rabina Properties closing of a $105 million construction loan from SunTrust Bank for the Icon Las Olas development located at 500 East, Las Olas Boulevard. At 455 feet tall, Icon Las Olas will be the tallest high-rise in Fort Lauderdale and offer 272 units. Construction on the project began in February of 2015 and is set for completion in the second quarter of 2017.
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