Fontainebleau Miami Beach's $975 Million CMBS Loan Entered Special Servicing March 30

The $975 million commercial mortgage-backed security loan (CMBS) issued in November 2019 for the 846-room Fontainebleau Miami Beach, located at 4441 Collins Ave., entered special servicing on March 30. When issued the loan was the largest CMBS hotel loan in South Florida. Fontainebleau Development is reportedly in talks with its loan Master Servicer and Special Servicer to modify the loan terms and documents and was not behind on any payments. CMBS loans, which are secured by a mortgage on a commercial real estate property, are among the hardest to restructure as under the typical CMBS structure. A loan is transferred into a CMBS pool and a Master Servicer administers the loan. The Master Servicer is generally not permitted to enter into a loan modification or restructuring agreement and a Special Servicer is needed to potentially modify or restructure an individual loan in a CMBS pool. When loans are in special servicing the borrower cannot take out new debt or refinance their property.

South Florida’s hotels have bit hit with some of the hardest economic impact from COVID-19 where the industry must meet nearly $4.2 billion in CMBS payments. Miami Beach hotels, motels and short-term rentals were ordered shut on March 23 and have laid off thousands of employees. Fontainebleau Development also owns the JW Marriott Turnberry Miami, Turnberry Isle Marina, Turnberry Ocean Club and The Big Easy Casino in Hallandale Beach.

The Fontainebleau Miami Beach opened in 1954 and was designed by architect Morris Lapidus. The property spans more than 15 acres with 11 pools, a 40,000 SF spa, and 12 different restaurants and bars including Hakkasan and LIV Nightclub. The hotel is made up of four towers including the Chateau and Versailles towers with 846 hotel rooms as well as the Tresor and Sorrento towers with 748 condo-hotel units. It was first acquired by Turnberry Associates for $325 million in 2005.

Eyzenberg & Co. Secures $21.3 Million Loan For Weiss Group of Companies Kobi Karp-Designed Towers at Blue Lagoon

Weiss Group of Companies has secured $21.3 million in bridge financing for the Kobi Karp-designed Towers at Blue Lagoon, which will replace a previous loan and fund predevelopment costs. Weiss Group has owned the 7-acre site located near Miami International Airport since the 1970s. In March 2019, their proposed rezoning to Miami city commissioners that would raise the development site’s maximum building height from eight stories to 12 stories was approved. Phase one of the mixed-use project will include a total of 829 multi-family units in two 184,000-square-foot buildings. Unit floor plans will include studio, one-, two-, and three- bedrooms. Future plans for the development include two 147-room hotels, parking spaces, affordable, market-rate and workforce housing, and improved roads and pedestrian walkways.

Weiss Group secured the loan from a Canadian private lender, according to the president of Eyzenberg & Co. Eyzenberg and Robert Ginsberg, managing director of Eyzenberg & Co., assisted in arranging the loan on behalf of Weiss Group.

By Isabella Zimmermann

Related Group Selects Stantec To Lead The Architecture & Engineering Of Manor Miramar

The global design and delivery firm Stantec has announced that it has been selected by Related Group to provide architectural and engineering services for the Manor Miramar residential project located in the Miramar Town Center at 1 Main Street. Manor Miramar will rise eight stories and include 393 high-end residential units, 28,000 square feet of ground-floor retail, and a 650-space parking garage.

The project’s Mediterranean-inspired design will feature elegant arched windows, terracotta barreled tiled roofing, and a main entrance whose porte-cochère is adjacent to a landscaped plaza furnished with paved pathways and benches. The ground floor’s arched covered walkways and large windows are fit to attract any passerby to the various residential amenity spaces, including a bowling alley, game room, fitness center, spa, dining areas, and retail stores.

Manor Miramar is within walking distance to several of the city’s landmarks within the Miramar Town Center, such as the city hall, the cultural arts center, library, an education facility, and a transport hub.

“The residential complex will be an important component of the City of Miramar’s master plan to transform the Miramar Town Center into a true hub for the community,” said Christina Villa, senior associate and project manager with Stantec’s Miami office. “The building’s design will complement the area’s existing Mediterranean style of architecture and the city’s vision of a vibrant main street with promenades and retail shops.”

Residences comprise of studios, one-, two-, or three-bedroom units and range anywhere in size from 420 square feet to 1,600 square feet. Seven two-story, three-bedroom units will have their own private terraces that face both the interior courtyard and pool. Construction for Manor Miramar is scheduled to begin in 2020.

By Isabella Zimmermann

Rewind: Michael T. Fay Tom Wood and Jacques Bessoudo Discuss COVID-19 Impact On Commercial Real Estate in South Florida Webinar

On April 3, 2020, PROFILEmiami hosted a webinar conversation with over 350 viewers on the impact that COVID-19 has, and will have, on the commercial real estate industry in South Florida. If you missed us live, or just want to revisit some of the insight our panelists had to offer, we have now posted the full webinar for you to sit back and rewind! Hear from some of Florida's leading real estate professionals about how they are reacting to the crisis, navigating the uncertain circumstances and preparing for future opportunities that may arise from the economic fallout.

Speakers:

• Michael T. Fay, Principal and Managing Director, Avison Young

• Jacques Bessoudo, Managing Partner, Galium Capital

• Thomas D. Wood, President, Thomas D. Wood & Company

• Moderator: Demetri Demascus, Co-Founder & CEO, PROFILEmiami

Topics:

• What effects have we seen on valuations, leasing and sales velocity, construction, availability of capital, and tenants in the South Florida real estate market so far?

• As a landlord, how are you managing your tenants right now?

• In the face of negativity there is always opportunity. Where do you think we will see opportunity open up?

• What is the current state of financing - are deals falling out of contract? Bank vs. non-bank sources of capital - who’s willing to lend?

• How are you working with your teams remotely? 

• How is the current economic crisis due to COVID-19 different from that of 2008?

• How will different types of lenders and loan products give different flexibility to the borrowers?

• What advise do you have for those that currently have financing on their properties?

• What is loan forbearance and how is it handled?

Link: https://youtu.be/OofUMQIa8EU

How Can Offices Fight Off Viruses? Clean Science Solutions Completes 18 Month Field Study To Purify Indoor Environments & Eliminate Most Viruses

Clean Science Solutions, a New York City-based real estate proptech firm that specializes in commercial solutions to purify air and sanitize surfaces, has completed an 18 month field study demonstrating that the technology effectively sanitizes air and surfaces from bacteria, viruses, mold, VOCs, smoke and odors. The timing for such technology is now more important than ever as COVID-19, also known as the novel Coronavirus, has reached pandemic status in the United States.

Clean Science Solutions partnered with a leading New York City-based real estate development and investment firm who owns and manages over 6.5 million SF of property in New York City, to run the 18 month field study to test Clean Science Solution’s PHI-Cell® units within a 50 story, 1.2 million SF building. The firm found the results extremely compelling— lowering VOCs in the air at a rate significantly faster than natural (or HVAC-system-induced) dissipation.

“I’ve always felt like the next revolution in this world is environmental, and now we are looking at an indoor environmental revolution,” said Thomas M. Misisco, the CEO of Clean Science Solutions. “Some commercial properties have contaminated HVAC systems and now, seeing the effects that COVID-19 has had on our community, we expect a rising demand for clean, purified air in both the workplace and residential properties. We offer a solution for building owners to provide their tenants with a cleaner working environment to offer their employees, clients and customers.”

If not property maintained, heating ventilation and air conditioning systems (HVAC) are prone to mold growth and harboring viruses and bacteria. Clean Science Solutions offers building owners and tenants a peace of mind trusting that the air and surfaces in their buildings are continuously and actively cleansed to reduce toxins above and beyond the typical HVAC maintenance schedule. The Advanced Oxidation Technology (AOT) works on a molecular level to reduce toxic compounds in the air and on surfaces. The system supplements your existing filter and is 99% effective in reducing viruses and bacteria like MRSA, Swine Flu, Norovirus and more. It also reduces VOCs up to 99%, odors and mold up to 98% and smoke up to 70%.

Clean Science is a licensed distributor and reseller of patented Photohydroionization® PHI-Cell® or REME Halo® patent pending technologies manufactured by RGF Environmental Group, Inc, offers air and surface purification units which leverage AOT to kill bacteria, viruses, mold, and drastically reduce VOCs and odors within interior environments. Over the last 15 years, this technology has been installed to serve customers across several industries including healthcare, food processing, military, government, marine, hospitality, and residential and commercial real estate.

COVID-19 is genetically similar to other viruses that RGF has previously tested. This has given reason to believe that RGF technologies could be effective in reduction of COVID-19, however, no definitive claims can be made at this time. COVID-10 is a member of the RNA Coronavirus subfamily which have validated test results showing a 99+% reduction in similar viruses.

Clean Science products consume very low amounts of energy, about 12 watts, which is about the same as the lightbulb in a refrigerator, and test safe for Ozone levels, emitting little to none. Clean Science Solutions helps landlords bring peace of mind to themselves and their tenants while also helping them reach their target IAQ standards to pass sample tests for LEED Certification.

Commercial Real Estate Investment Bank Eyzenberg & Company Opens First Miami Office

The New York City-headquartered commercial real estate investment bank Eyzenberg & Company has expanded into Florida, opening a new office in Miami. It is the third location for Eyzenberg & Company, led by NYC dealmaker David Eyzenberg, as the firm continues to grow its capital solutions platform. Eyzenberg & Company recently closed a $21.3 million bridge financing deal on behalf of the Weiss Group of Companies to build a mixed-use multifamily and hotel project at the Blue Lagoon office complex near Miami International Airport.

“Florida is already a prominent market for us, with many existing clients operating in the state. Formalizing our presence here allows us to deepen our commitment to delivering our full platform of capital solutions to our current clients and to grow new relationships from our on-the-ground operation,” said David Eyzenberg, president of Eyzenberg & Company. “I have been doing business in Florida for 20 years, commuting back and forth for the past seven. The Southeast is a hotbed of development and investment activity and the new office will help us be more efficient as we continue to develop our presence here, while leveraging our established capital relationships in New York and Washington.”

Joining Eyzenberg as a director is Ronald Granite, who will be originating structuring and placing debt, equity and ground lease capital for commercial real estate transactions across the U.S. as well as supervising transaction execution. In a relocation from Chicago, Granite brings 14+ years of experience in the commercial real estate industry, working in capital markets, portfolio management, asset management, leasing and finance.

Since its founding in 2016, Eyzenberg & Company has become one of the fastest-growing real estate capital advisory firms in the U.S. Affiliated entities include Eyzenberg Ground Lease Capital, an institutionally backed private equity vehicle specializing in the creation and acquisition of leased fee positions, and Eyzenberg Green Capital, a joint venture with leading C-PACE firm, Greenworks Lending, providing proprietary capital solutions for commercial real estate transactions.

Eyzenberg also serves as an Adjunct Professor of commercial real estate finance at NYU Schack Institute of Real Estate, who has also been hired by the University of Miami to teach commercial real estate finance in its business program.

Oasis Hallandale Reveals New Renderings For 10-Acre Mixed-Use Development

Oasis Hallandale is a new multi-block district of residences, shops, restaurants, urban parks, and offices designed by Bernardo Fort-Brescia of Arquitectonica that will soon become a pedestrian-friendly city center to the city of Hallandale Beach. The development is located at 1000 E Hallandale Beach Blvd. Hallandale Beach and is estimated to be completed in 2025.

Oasis Hallandale will combine a live, work, and play lifestyle and community with boating, the nearby beaches, Gulfstream Park, the Hollywood Beach Boardwalk, Aventura Mall, Seminole Hard Rock Hotel & Casino, and the Fort Lauderdale-Hollywood International Airport all in one prime location.

“We are thrilled to play such a significant role in the growth of the city by delivering such a beautifully-designed core development to Hallandale Beach,” said developer Giuseppe Iadisernia, founder of Hallandale Oasis 2019 LLC, who purchased the 10-acre site in 2015. Iadisernia recently revealed new designs for the mixed-use concept to showcase the commercial and residential vision of the project. “This concept will elevate the city’s social spaces and offerings for residents and visitors alike.”

The residential portion will be made up of 500 multifamily units in two 25-story residential towers. Residences will range from 1-3 bedrooms and 891-1,843 square feet and will be equipped with floor-to-ceiling windows, walk-in closets, imported Italian cabinetry, stainless steel appliances, and balconies with glass railings. Residents will be able to enjoy luxury-level amenities that will fit any needs, such as a golf simulator, indoor and outdoor movie theatres, a fitness and wellness center, a yoga lawn, a ping-pong room, a mini soccer field, storage, a barbecue and fire pit areas and pet park, a splash-pad for children, poolside cabanas and 24-hour lobby attendants.

Oasis Hallandale will have five buildings dedicated to commercial spaces, with 59,219 square feet of retail and restaurant space, 34,691 square feet of office space, and 1,486 parking spaces. Lush, green urban parks will decorate the area throughout, making it a perfect location for public gatherings.

“The interest from the community has been tremendous,” said Norma Campos, Sales Director of Oasis Realty company, the in-hour real estate firm that is exclusively handling all sales. “This project is delivering an iconic centerpiece for this beautiful destination, offering the walkability and convenience that people are looking for while remaining close to the beach.”

Oasis Hallandale’s state-of-the-art spaces are attracting many eager tenants. Sales were launched for the first two buildings of the commercial phase, with 60% of spaces already under reservation. The sales launch for the entire project is scheduled to follow later this year.

Join Us For a Webinar: COVID-19 Impact On Commercial Real Estate in South Florida

Webinar Link: https://us04web.zoom.us/webinar/register/6215856217249/WN_obbwfc2LROmhcaJkQMedVg

PROFILEmiami presents a conversation around the impact that COVID-19 has, and will have, on the commercial real estate industry in South Florida. Hear first hand from some of Florida's leading real estate professionals about how they are reacting to the crisis, navigating the uncertain circumstances and preparing for future opportunities that may arise from the economic fallout.

Where: Once you register, Zoom will send you a link to the webinar.

When: Friday, April 3, 2020 | 3-4 PM

Speakers:

• Michael T. Fay, Principal and Managing Director, Avison Young

• Jacques Bessoudo, Managing Partner, Galium Capital

• Thomas D. Wood, President, Thomas D. Wood & Company

Topics:

• What effects have we seen on valuations, leasing and sales velocity, construction, availability of capital, and tenants in the South Florida real estate market so far?

• As a landlord, how are you managing your tenants right now?

• In the face of negativity there is always opportunity. Where do you think we will see opportunity open up?

• What is the current state of financing - are deals falling out of contract? Bank vs. non-bank sources of capital - who’s willing to lend?

• How are you working with your teams remotely? 

Can’t tune in live? Sign up below now and we will share a recording after the webinar.

Webinar Link: https://us04web.zoom.us/webinar/register/6215856217249/WN_obbwfc2LROmhcaJkQMedVg

Thomas D. Wood & Company Funds $42 Million For Windward Marina Group's Acquisition Of 3 Northeast Florida Marinas

Windward Marina Group has closed on the acquisition of three marinas in the Northeast Florida market with $42,000,000 in mortgage loan financings arranged by Thomas D. Wood and Company. Thomas D. Wood Jr. secured financing in the amount of $11,000,000 for the acquisition of St. Augustine Shipyard. The Shipyard is located at 117 Dockside Drive in St. Augustine, Florida with significant frontage along the San Sebastian River. It is a Category 4, dry storage barn and marina with 22 acres of developable land. The marina can accommodate up to 297 vessels and there are plans are to expand the wet slips and develop the 22 acres with single and multi-family housing units. Financing was provided by CenterState Bank. Wood also secured the refinancing for St. Augustine Marine Center in the amount of $12,000,000. St. Augustine Marine Center is a full-service marine center and boat storage yard located at 404 Riberia Street in St Augustine, Florida. The property is situated on a 28.64-acre site with 97,508 SF of office and warehouse space, with 2,200 linear feet of dockage and excess land to store boats. The financing was also provided by CenterState Bank.

The third acquisition Wood secured financing in the amount of $19,000,000 for the acquisition of Beach Marine, located at 2315 Beach Boulevard, Jacksonville Beach, Florida. The marina is comprised of a 257-space dry storage barn, 239 wet slips, and 34,538 SF of commercial space on over 130 acres of land. The Jacksonville Marina financing was provided by a New York Investment Bank.

Tracking COVID-19 By The Numbers: Breaking News In South Florida

(Last Updated 6:14 AM 3/27/2020):

BREAKING: 

• City of Miami officials have announced a curfew for its residents that will begin Friday night. According to officials, all residents must be indoors from 10 p.m. until 5 a.m. (3/27/2020)

• Miami-Dade County and the City of Miami Beach have ordered all hotels, motels and short-term rentals to begin immediately shutting down and vacate their guests, with full-closure by 11:59 PM on Monday, March 23. (3/21/2020)

• Miami-Dade Mayor Issues Executive Order Closing All Non-Essential Business 9 PM Thursday. (3/20/2020)

• All U.S. Citizens traveling around the world should return home ASAP or be prepared to stay abroad for an indefinite period. (3/19/2020)

Continue to check back for updates to below as we continue to track COVID-19 across South Florida:  

Stats:

• Number of Cases in Florida: 830+ (3/23/2020)

• Fatalities in Florida: 13+ (3/23/2020)

• Number of Global Cases: 351,000+ (3/23/2020)

• Global Fatalities: 15,321+ (3/23/2020)

• Number of U.S. Cases: 35,075+ (3/23/2020)

• Fatalities in the U.S.: 458+ (3/23/2020)

Miami-Dade County:

• Miami-Dade County # Cases: 2900+ (3/27/2020)

• BREAKING: Miami-Dade County and the City of Miami Beach have ordered all hotels, motels and short-term rentals to begin immediately shutting down and vacate their guests, with full-closure by 11:59 PM on Monday, March 23. (3/21/2020)

• BREAKING: Miami-Dade Mayor Issues Executive Order Closing All Non-Essential Business (3/20/2020)

• CONFIRMED CASES IN BRISTOL TOWER BRICKELL & SOHO BEACH HOUSE (3/19/2020)

• Officials have ordered the closure of all restaurants, bars, movie theaters, concert houses, auditoriums, playhouses, clubs, gyms, arcades, bowling alleys, etc. which will go into effect 11 PM Tuesday. All grocery stores, pharmacies, take-out and delivery services will remain open at this time (3/17/2020)

  • All bars and nightclubs will be closed for 30 days.

  • Restaurants will only be able to operate at half capacity.

  • Exceptions granted if they have a capacity of 10 people or less.

  • Mayor Carlos Jimenez signed the emergency order, but remains in self-quarantine after being exposed to a Brazilian government official who tested positive following a visit to South Florida.

• Miami-Dade Public Schools are now closed through at least April 15. (3/19/2020)

  • Miami-Dade Public Schools have closed this week and next. (3/16/2020)

• Key Biscayne and North Miami Beach have implemented curfew between 10 PM and 5 AM (3/19/2020)

• Officials have closed the beach from 5th to 15th Street, including Lummus Park.

• All city parking garages are closed to non-residents.

• In addition, all non-essential retail stores will be required to close at 10 p.m. daily. (3/16/2020)

  • Businesses excluded from this directive include: Pharmacies, grocery stores, convenience stores, private offices, banks, hotels, hospitals, medical service providers, medical supply stores, hardware stores, gasoline service stations and automotive supply and repair centers.

• An entertainment district curfew will go into effect at 11 p.m.

• All restaurants are asked to keep occupancy at 50% or less, and have under 250 people in each establishment at any given time.

• Ultra Music Festival has been cancelled.

• Miami Music Week has been cancelled.

• ArtScape Concert has been cancelled.

• The Miami Open Tennis Tournament has been cancelled. 

• University of Miami & FIU have moved classes online until the end of the spring semester. (3/20/2020)

• University of Miami Spring Commencement postponed until December. (3/20/2020)

• The Hardrock Seminole Hotel & Casino has suspended entertainment operations. 

• Calle Ocho Festival has been cancelled.

• Mayor Francis Suarez has confirmed that he has COVID-19.

Broward County:

• Broward County # Cases: 180+ (3/23/2020)

• Broward County Public Schools are now closed through at least April 15. (3/19/2020)

• Officials have closed the beach from Harbor Beach to Oakland Park Boulevard.

• Restaurants and bars must close by 10 p.m.

• Restaurants and bars are asked to operate at 50% capacity and have no more than 250 people at any time.

• The Tortuga Music Festival, which was set to run from April 17-19, has been postponed.

• The Wharf Fort Lauderdale is closed until further notice.

• The listed measures will remain in effect until April 12.

Palm Beach County:

• Palm Beach County # Cases: 59+ (3/23/2020)

• Town of Palm Beach implements curfew until further notice from 9 P.M. - 6 A.M. (3/18/2020)

• Palm Beach County Public Schools are now closed through at least April 15. (3/19/2020)

• Beaches will be closed on Tuesday 3/17/2020

• Nursing Homes and Assisted Living Facilities are closed to visitors.

• Drive-through testing underway at FoundCare (2330 S. Congress Ave, West Palm Beach - call 561-967-0365 to see if you qualify and for appointments)

National:

• BREAKING: The Federal Government has passed a $2.2 trillion stimulus package.

• United States of America # Cases: 35,075+ (3/23/2020)

• United States of America Fatalities: 458+ (3/23/2020)

• Income tax filing deadline moved to July 15 (3/20/2020)

• Foreclosures and HUD evictions have been halted for 60 days.

• CDC recommends ban on gatherings of 10+ people. 

• The Players Championship was cancelled & PGA Tour is suspended.

• NBA, NHL, MLB and MLS have suspended their seasons. 

• All ski resorts have closed.