Developers Bulldozing Dated Miami Condos, New Ones on Way

Northwind Group announced the origination of a $98 million senior secured loan to acquire 1250 West Avenue, an existing condominium building in South Beach, Miami.

Northwind Group originated the loan to support the redevelopment of a prime bayfront site in Miami Beach. Terra is leading the project in partnership with JDS Development Group, Rafi Gibly, and Gianluca Vacchi. The group plans to transform the property into a luxury condominium tower on Biscayne Bay.

The existing asset, a 238-unit condominium built in 1964, had become increasingly challenged by rising common charges driven by insurance costs and deferred maintenance. The sponsorship successfully acquired more than 95% of the units, providing the ability to dissolve the condominium association and proceed with demolition. During this process, the team successfully secured entitlements permitting development up to 330 feet in height, with an anticipated 100-unit luxury residential program.

A Walker & Dunlop team, including Aaron Appel, Keith Kurland, Jonathan Schwartz, Adam Schwartz, Michael Diaz and Sean Bastian, arranged the financing on behalf of the borrower. John Vavas from Polsinelli represented Northwind, and Laura Gangemi Vignola from Gangemi Law Group represented the Sponsor.