$130M Funds ArTech Condo Construction
AVENTURA, FL-Developers have closed on a $130-million construction loan for the nine-story, 232-unit ArTech condominium project. Construction on the project began earlier this year.
The financing was comprised of two loans. The senior loan from Corus Bank, NA totaled $130 million and was secured by a mortgage and an additional mezzanine loan was obtained from Colonnade ArTech Mezz LLC, an affiliate of Colonnade Properties LLC. “The strong presales and excellent design allowed the bank to provide the loan on a non-recourse basis and without participants,” says Corus Bank senior vice president Brian Brodeur.
Bilzin Sumberg corporate attorneys Marshall Pasternack and Sheila Bandari negotiated the operating and partnership agreements for the majority of the entities, including the negotiations with the lenders and among the joint venture partners. Bilzin Sumberg attorneys John Kuhn and Javier Granda handled all of the real estate aspects of the transaction. “The loan defies the conventional wisdom right now about financing. Lenders are still eager to make these types of loans to strong developers,” Kuhn tells.
Artech is a joint venture project of Miami-based Fortune International and Aventura-based Shefaor Development. Architects on the project are Uruguay-based Carlos Ott and locally based Charles Benson. Interior designers of the project are South Beach-based Urbanica Group. The building, which has nine stories and is located on 188th Street in an area known as “Thunder Alley,” is expected to be completed in winter 2007. Prices for the units start in the $500,000s.