Property developer PMG has secured a $668 million residential construction loan – the largest in Florida's history – for its luxury Waldorf Astoria Residences project in Miami. Bank OZK and Related Fund Management are the lenders. The Financial Times, which reported on the transaction, noted that the closest sized deal in the state is a $600 million loan for the Cipriani Residences earlier this year.
The transaction brokered was by Christopher Peck, Chris Drew, Brian Gaswirth, Jimmy Calvo and Mateo Bolivar of Jones Lang LaSalle. Kramer Levin Naftalis & Frankel LLP and Saul Ewing LLP represented PMG.
PMG partnered with Canadian private equity firm Greybrook, global investment company Mohari Hospitality, S2 Development, and Hilton on this deal.
At more than 1,000 feet, it will be the tallest building in the Americas south of New York City. It will feature 387 units that range in price from $1 million for a studio to up to about $90 million for a penthouse. More than 90% of the units have already sold, PMG said. This weekend, the project will complete a foundation pour led by the development's general contractor John Moriarty & Associates alongside CAPFORM. Vertical construction of the property is slated for completion in Q2 2028.
Condo loans have been growing larger as costs increase and with no sign of demand slackening in Miami for these products, lenders are willing to underwrite projects. "You're at a new bar in terms of cost," Dan Kaplan, managing partner of the Miami-based PMG, told the FT, describing the record loan as "the most significant financing in the company's history".
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
