Morabito Properties advanced its Wynwood office-retail project with a $35 million construction loan, as looming doubts over the neighborhood’s office market viability persist.
The Miami Beach-based development firm dropped $14.6 million for the Wyncatcher II project development site at 2150 Northwest Miami Court in Miami, according to Morabito’s spokesperson. Miami-based BridgeInvest provided the $35 million floating-rate loan, which both refinanced the construction loan for the project’s adjacent first phase, Wyncatcher I, and financed the construction of Wyncatcher II.
Juan Andrés Nava of Metro 1 Commercial represented Morabito in the purchase, and David Ballard of RelatedISG Realty represented the seller. Scott Wadler and Michael Basinski of Berkadia represented Morabito in the financing.
Whittall & Shon, a hat shop founded and led by hat designers Eliot Whittall and Richard Shon, sold the two-story, 14,200-square-foot building, according to records. It was completed in 1951 on a half-acre lot.
The development firm, led by Valerio Morabito, plans to repurpose the building to office, retail and event space, according to Morabito’s news release. Completion is expected in the first quarter of 2026.
Wyncatcher I, 2143 Northwest First Avenue, and Wyncatcher II will span a combined 42,000 square feet, with 32,000 square feet of offices and 10,000 square feet of retail and food and beverage space.
Morabito’s plan to add office space to Wynwood comes at a questionable time for the neighborhood’s office market. The area became a prime target for Silicon Valley techies and other companies over the past four years, prompting developers to start projects. But elevated interest rates, the collapse of Silicon Valley Bank and the overall economic headwinds have ended the leasing frenzy and threatened Wynwood’s office market.
Of the 2.1 million square feet of office space in Wynwood, 14.4 percent is vacant. This means the neighborhood has a higher vacancy rate than other prime Miami-Dade County markets, including Brickell, Coral Gables, downtown Miami and Miami Beach, according to Colliers.
Wyncatcher II has no takers so far, according to Morabito’s spokesperson. The firm is in talks with two potential tenants.
Wyncatcher I is fully leased to Knotel under a seven-year term. The flexible office space provider, owned by Newmark, will open this summer. The space will include a restaurant with 6,000 square feet of indoor space and 7,000 square feet of outdoor space.
Morabito bought the Wyncatcher I development site in 2019 for $9.3 million.
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Residential
South Florida
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