Penn-Florida scores $225M construction loan for Mandarin Oriental condos in Boca

The loan is in addition to nearly $400M in financing the developer secured in 2017

Madison Realty Capital CEO Josh Zegen, Penn-Florida Companies CEO Mark Gensheimer, and the Mandarin Oriental in Boca Raton
Madison Realty Capital CEO Josh Zegen, Penn-Florida Companies CEO Mark Gensheimer, and the Mandarin Oriental in Boca Raton

Penn-Florida Companies secured a $225 million construction loan for The Residences at Mandarin Oriental in Boca Raton from Madison Realty Capital.

Penn-Florida Companies will use the loan to finish building the 12-story, 92-unit luxury condo development. The condo building, at 105 East Camino Real, will be the third and final tower at Via Mizner, a 2 million square foot mixed-use project in the center of Boca Raton.

The loan is in addition to nearly $400 million in financing the developer secured in 2017 for Via Mizner from Mack Real Estate Credit Strategies and the U.S. Immigration Fund, an EB-5 lender.

Construction of The Residences is already underway and is scheduled to be completed in less than two years along with the new 164-key Mandarin Oriental hotel.

Douglas Ellliman is handling sales and marketing of the condo units, which start at $2 million.

Sign Up for the undefined Newsletter

By signing up, you agree to TheRealDeal Terms of Use and acknowledge the data practices in our Privacy Policy.

In addition to the hotel and condos, Via Mizner will also include a 366-unit luxury apartment building and 60,000 square feet of retail.

The condo component will connect to the hotel via a two-story underground parking garage and a bridge on the fourth and fifth levels with a spa, gym, fitness center and meeting space. Condo owners will also receive membership to the Via Mizner Golf & City Club, which golf champion Jack Nicklaus is designing.

Anthony Orso, Bill Weber and Henry Stimler of Newmark Capital Market Strategies arranged the $225 million construction loan, according to a release.

Madison Realty Capital is increasing its presence in South Florida. In June, the company provided Menin Development a $72 million loan to finance construction of The Ray, a 141-room hotel planned in downtown Delray Beach. The New York-based lender has completed more than $10 billion in debt and equity transactions since it was founded in 2004.