UPDATED, Sept. 26, 1:50 p.m.: Terra secured $185 million in construction financing for its next development in Coconut Grove.
Mack Real Estate Credit Strategies is providing the loan to Terra for the Bayshore Grove project at 2655 South Bayshore Drive in Coconut Grove, according to property records.
It’s one of the largest construction loans to close in South Florida this year, after the $300 million loan for Vlad Doronin and Cain International’s 830 Brickell office tower and the $225 million loan for The Residences at Mandarin Oriental in Boca Raton, both of which closed in July.
MSD Partners, the private investment firm of Dell Technologies billionaire Michael Dell, is the lender for the $300 million loan, according to a spokesperson for Doronin’s OKO Group. The South Florida Business Journal first reported the loan.
In April, Terra affiliate CG Summer Investments LLP filed a notice of commencement to demolish the former Summerhill Apartments building on the site.
Terra said Meyer Davis and Arquitectonica are designing a luxury residential project to be built on the 1.5-acre lot, which is one parcel away from Terra’s Grove at Grand Bay, a pair of Bjarke Ingels-designed luxury condo towers.
Previous plans for the project called for two 20-story towers with about 300 residential units, 32,000 square feet of office space, a pool deck and parking, according to the South Florida Business Journal, which first reported the loan.
Marc Sznajderman, Romano Tio, Chris Gathman and Dylan Comras of Ackman-Ziff advised Terra on the financing.
The property is across the street from Regatta Harbour, a 9.5-acre, mixed-use bayfront development with more than 100,000 square feet of retail and restaurants, a new marina, dry boat storage and more. Treo Group is developing that project.
Based in an office condo between Grove at Grand Bay and the Bayshore Grove site, Terra has a number of projects in the neighborhood, including Park Grove with the Related Group, Mary Street and Grove Central.
Terra is partnering with Grass River Property on Grove Central, a mixed-use, transit-oriented project planned next to the Coconut Grove Metrorail station. The development will retail space and apartments, some of which will be managed by Common.