Fortune International Group and Château Group scored $119 million in refinancing from Bank OZK for their planned La Playa de Varadero condo development in Sunny Isles Beach.
The developers are planning to build two 56-story condo towers on the vacant site at 18801 Collins Avenue. The site is approved for 490 residential units and 1.15 million square feet, according to a release.
Newmark Knight Frank’s Dustin Stolly, Jordan Roeschlaub, Nick Scribani, Chris Kramer and Dominick Calisto brokered the deal, according to the release
Stolly said the $119 million loan retires a pre-existing loan, and “gave [the developers] a fresh, five-year loan until they are ready to build.”
Fortune and Chateau paid $113 million for the 4.7-acre development site in November 2014. At the time, it was occupied by La Playa de Varadero condo-hotel. The developers bought out the owners’ units individually.
Little Rock, Arkansas-based Bank OZK is one of the most active condo construction lenders in Miami, lending to some of the area’s largest projects, including a $558 million loan to The Trump Group’s The Estates at Acqualina in Sunny Isles Beach in 2018.
Sunny Isles Beach is home to some of South Florida’s largest condo towers, but the area faces a multi-year long oversupply of luxury units. Only four condos priced over $1 million sold in April, down 77 percent compared to April 2019. There are currently 643 active listings priced above $1 million, according to data compiled through the Multiple Listing Service by Ana Bozovic of Analytics Miami.
Chateau Group and Fortune International also partnered together to build the 52-story Ritz-Carlton Residences, Sunny Isles Beach. Bank OZK also funded that project, providing a $212 million construction loan in September 2016. The partnership paid off that loan last week.