Developers Bulldozing Dated Miami Condos, New Ones On The Way

Northwind Group has originated a $98 million senior secured loan to facilitate the acquisition of 1250 West Avenue, an existing condominium building located in South Beach.

The financing will support the planned redevelopment of the prime bayfront property. The project is being led by Terra in partnership with JDS Development Group, Rafi Gibly, and Gianluca Vacchi. The joint venture intends to transform the site into a luxury residential tower overlooking Biscayne Bay.

Originally built in 1964, the 238-unit condominium had become financially strained due to escalating insurance costs and deferred maintenance, which led to rising common charges. The development team successfully acquired over 95% of the units, enabling the dissolution of the condominium association and clearing the way for demolition. The team also secured entitlements allowing for new development up to 330 feet in height, with plans to deliver approximately 100 luxury residential units.

Walker & Dunlop arranged the financing, with a team including Aaron Appel, Keith Kurland, Jonathan Schwartz, Adam Schwartz, Michael Diaz, and Sean Bastian representing the borrower. Legal representation was provided by John Vavas of Polsinelli for Northwind Group, and Laura Gangemi Vignola of Gangemi Law Group for the sponsor.

 

Source: connectcre