R4 Capital provides $ 150 million loan to build affordable senior housing in Miami – Commercial Observer



The construction, which will include nearly 600 affordable retirement housing units, is one step closer to completion with $ 150 million in new funding.

Florida Swerdlow Group and SJM Partners received a $ 150 million building loan from R4 Capital for Sawyer’s Walk, a multifunctional complex on 249 NW 6th St. in the Overtown area of ​​Miami.

R4 is providing a four-year loan that will cover approximately half of the $ 300 million total construction cost. But the developers are Swerdlow, SJM and Miami. Alben Duffy received a decent amount in tax breaks, grants and other benefits from local and state governments for the project, Aztec groupwith Charles Penan, who was part of the team that brokered the funding for the developer, told the Commercial Observer.

“Miami really needs affordable housing,” Penan said. “There is a very big difference between market rates and affordable housing … It was supposed to be hybrid housing – market and affordable. But the city, county, state and federal government made it very attractive to make it 100 percent affordable. ”

Upon completion of the project, about 578 affordable apartment buildings for the elderly will be built; 954 parking spaces; and 250,000 square feet of retail space, including Target (a Starbucks and CVS with this), Aldi, Ross Dress for the Smaller, Five below and Burlington – who have already rented out premises in the building. The commercial floors of the 150,000 square foot complex are 80 percent leased.

“The developer thought it would be so nice if this local community was here where they are [have] “You don’t have to get in the car to go to the supermarket,” Penan said.

The 1.4 million square feet project will house seniors with an income of no more than 60 percent of the median income in the area. Project laid the foundation at the end of June with completion in autumn 2024, Shopping Center Business reported. The project faced pandemic-driven delays, like most developments across the country, as the development team shifted to work from home, Penan said.

Development team under Downtown Retail Associates, bought land from a community group, Overton / Park West Community Reconstruction Associationfor $ 10 million in 2020, property data shows.

The project was designed by a Miami-based firm. Arquitectonica and the general contractor Coastal construction… Penan from Aztec Group, Ezra Katz and Joel Zusman arranged financing on behalf of the developer. R4 did not immediately respond to a request for comment.

Celia Young can be contacted at: cyoung@commercialobserver.com


Source link