Monthly Archives: November 2017

Robert Wennett lists PH for $34M after selling 1111 Lincoln

Robert Wennett and his penthouse (Credit: The Jills – Photography by Luxhunters)

Selling 1111 Lincoln Road for $283 million wasn’t enough for developer Robert Wennett. Now, he’s listing his penthouse atop the luxury mixed-use garage for $34 million.

The condo, with 7,700 square feet of indoor space, 18,000 square feet of outdoor space, seven bedrooms, a separate guest house and landscaping by Raymond Jungles, is being listed by Coldwell Banker’s Jill Hertzberg and Jill Eber of the Jills. It was designed by Pritzker Prize-winning architect Herzog & de Meuron.

Wennett is ready to move on to another project, Hertzberg said. He sold the building, an office, retail, event venue and parking garage he developed, to German institutional investor Bayerische Versorgungskammer in July.

Robert Wennett’s penthouse (Credit: The Jills – Photography by Luxhunters)

The penthouse features a sloped garden with grapevines, outdoor terraces with Roberto Burle Marx-style pavement, and a rooftop with a pool, bar and kitchen. The smart home has white oak floors and cabinets, Gaggenau appliances, bathrooms with skylights and high-tech lighting. Hertzberg called it one of the most exciting properties she’s listed. Wennett has been living in the condo since 2011.

Property records show Wennett paid $23.5 million for the site in 2005 before building 1111 Lincoln. The building, which sits at the northwest entrance of the Lincoln Road pedestrian mall, has 94,488 square feet of office space, 51,839 square feet of retail space, and a 300-space parking garage/event space.

In September, he paid $16 million for a 10-acre property in Allapattah, where he is reportedly planning a major development.

Source:: The Real Deal

Rockefeller and Kimco sell portion of Miramar Town Center

Miramar Town Center with Daniel L. Rashin CEO of Rockefeller Group and Conor Flynn CEO of Kimco Realty (Credit: City of Miramar, Rockefeller Group, Kimco Realty)

A joint venture between the Rockefeller Group and Kimco Realty just sold a portion of its Miramar Town Center mixed-use development to IMC Equity Group for $24.8 million.

Property records show the partnership sold part of the mixed-use project at 11645 Red Road and 2401 Main Street to a company led by IMC Equity Group’s co-founder and CEO, Yoram Izhak. The Israeli-born real estate investor financed the deal with a $17.25 million CMBS loan from LoanCore Capital Markets.

The Rockfeller-Kimco partnership sold 17 apartments spanning 27,000 square feet, 127,000 square feet of retail and office space, a 585-space parking garage and a 3.7-acre vacant lot.

Miramar Town Center Site Plan (Credit: City of Miramar)

The 54-acre project also includes a 487-unit apartment complex, a performing arts center, an educational building and Miramar’s city hall and police headquarters – all of which were not included in the deal.

Tenants at the mixed use projects include a 24-Hour Fitness, Subway, UPS Store, Juana’s Sports Bar, La Famiglia Restaurant, Salonz Suites and Comcast Corporation.

Last year, IMC Equity Group paid $18 million for a West Kendall shopping center. In 2014, Izhak said he set a goal to spend $200 million in real estate investments that year.

Kimco, known for retail acquisitions, is also developing Dania Pointe, a shopping and entertainment center under construction in Dania Beach. It recently announced leases with Brandsmart USA, Hobby Lobby, and TJ Maxx. The first phase of Dania Pointe is slated to open by the end of 2018. Once completed, the center will span 1 million square feet and house more than 100 stores and restaurants.

Source:: The Real Deal

Mortgage industry latest real estate sector to express alarm over GOP tax bill

The mortgage industry is the latest group to express concern over the proposed GOP tax plan

From TRD New York: Add the mortgage industry to the list of groups concerned about the Republican tax plan.

Industry leaders are worried that a provision in the Senate bill changing the time when lenders pay taxes on income they get from managing mortgages could cause some smaller lenders to go out of business, according to Bloomberg.

Lenders currently pay taxes on this service as they receive the money, but under the Senate bill, they would have to pay these taxes upfront. The Mortgage Bankers Association said smaller companies unable to afford this could just abandon the practice entirely.

“It’s a fire drill,” MBA president David Stevens told Bloomberg. “We’re scrambling to get people on phone calls. It would cause a significant disruption in the industry.”

Senate leaders expect to vote on the bill Thursday or Friday, and it is unclear whether they plan to keep this provision in the bill or whether they targeted lenders on purpose.

The Republican tax proposals could have far-reaching effects on the real estate industry, including making it more expensive to own a home and making it more difficult to develop affordable housing, though it would likely be a boon for condominium developers and large real estate corporations. [Bloomberg] – Eddie Small

Source:: The Real Deal

RedSky scores construction loan for Cube Wynwyd

Rendering of Cube Wynwyd

RedSky Capital closed on an $18.27 million construction loan for an office building it plans to develop in Wynwood, property records show.

Bank of the Ozarks is providing the financing for Cube Wynwyd, an eight-story office building at 222 Northwest 24th Street. The project, with nearly 80,000 square feet of office space and about 11,400 square feet of retail space, will mark one of the first new office buildings in Wynwood. Construction is underway, according to a spokesperson for Blanca Commercial Real Estate, which is handling leasing.

JLL’s Aaron Appel and Jonathan Schwartz arranged the financing.

Rendering of Cube Wynwyd

Asking rents range from about $38 to $42 per square foot triple-net for spaces that go up to a full 11,360-square-foot floor, Tere Blanca previously said. It’s 27 percent preleased to tenants that include Spaces, a shared workspace concept. Spaces just signed a nearly 24,000-square-foot lease at Cube Wynwyd, according to a spokesperson. Randy Carballo and Gavin MacPhail of JLL represented the co-working firm, and Blanca, Danet Linares and Flavia Eternod of Blanca Commercial represented RedSky.

Rendering of Cube Wynwyd

Arquitectonica is designing the LEED-certified building, which will include a rooftop terrace and 30-foot breezeway with restaurant and retail tenants on the ground floor. It’s slated to open in 2018.

Source:: The Real Deal

Fannie and Freddie are fighting with the Trump administration over $7.7B

FHFA Director Melvin Watt

From TRD New York: Fannie Mae and Freddie Mac owe the White House more than $7 billion, and the two entities are fighting over how to move forward.

Officials from the Federal Housing Finance Agency say they want Fannie and Freddie to keep between $2 billion and $3 billion to protect them against losses, but in exchange for this, officials from the Trump administration want to limit their market footprint through measures like tighter limits on loan sizes that they back, according to Bloomberg.

Fannie and Freddie are scheduled to pay the U.S. Treasury $7.7 billion by the end of December, and if FHFA director Mel Watt decides to withhold some money without getting approval from the administration, it could lead to a major conflict between President Donald Trump and the independent agency.

The negotiations stem from the government’s takeover of Fannie and Freddie in 2008. The two mortgage giants got $187.5 billion to help them get through the financial crisis, while taxpayers got a new type of stock in return that paid a dividend of 10 percent. [Bloomberg] – Eddie Small

Source:: The Real Deal

Wyndham hotel in Miami Springs scores construction loan, breaks ground

(Credit: Getty Images)

A new Wyndham hotel will be built in Miami Springs, according to a notice of commencement filed with Miami-Dade County.

Property records show entity Sucre LLC, led by Salvatore Natoli, scored $17.7 million in construction financing to build a 10-story, 150-key Wyndham Garden hotel at 4849 and 4909 Northwest 36th Street. The lender was Centennial Bank. Modis Architects will be designing the hotel.

In 2015 the developer paid $5.35 million for the 2.2-acre site. Miami Springs city leaders approved plans to build the Wyndham Garden Hotel last year. It’s being built on the former site of an old Pilot House bar, which closed nearly a decade ago. The site currently holds some retail space, including a Subway.

The lot at 4909 Northwest 36th Street (Credit: Google Maps)

Wyndham Hotel Group has a global portfolio consisting of 18 brands and more than 8,100 hotels and 705,700 rooms, according to its website. In 2016 it generated $1.3 billion in revenue.

Other hotels that have sprouted near the airport and in Doral include Riviera Point Development Group’s Radisson Red hotel at at 3450 Northwest 25th Street. In March, Baywood Hotels closed on a $15.4 million construction loan for a hotel it’s building near the Trump National Doral Miami resort.

Source:: The Real Deal

Miami renters spent more than 40% of median income on rent: Q3 report

(Credit: Getty Images)

Apartment rents have risen dramatically in South Florida, requiring an even bigger chunk of the average paycheck, according to a newly released report.

In the third quarter, the median rent in the Miami-Fort Lauderdale metro required a whopping 41 percent of the median income, which comes out to about $7,000 more a year than prior to the housing bubble, according to the report by Zillow. The listings website defines the “pre-bubble years” as 1985 to 2000, when the median rent required 28.5 percent of the median income, which in Miami is $53,651, a spokesperson said.

Mortgage payments are also requiring a bigger share of income: 21.3 percent in the third quarter compared to 20 percent historically.

Earlier this month, Apartment List released a report that ranked Miami as the least affordable metro for renters in the U.S. last year. Nearly 63 percent of Miami renters spent more than 30 percent of their income on rent in 2016, according to Apartment List. Rents are also expected to keep rising.

Across the country, renters in 34 of the 35 largest markets, Miami included, are spending a larger share of their paychecks on rent, Zillow said. Los Angelinos spent the biggest share of their income on rent in the quarter – a whopping 48.4 percent – compared to the city’s historic average of 36.2 percent. That’s a difference of more than $8,000 a year.

In the New York-northern New Jersey market, renters were sacrificing 39.3 percent of their income on housing, up from the historic average of 26.2 percent – a difference of about $9,500.

Source:: The Real Deal

Waterfront Palm Beach mansion owned by late fashion designer hits the market

The home at 980 North Ocean (Credit: Douglas Elliman)

The Palm Beach estate owned by the late fashion designer and artist Philip Hulitar just hit the market for $41.9 million.

The home, at 980 North Ocean Boulevard, was designed by Marion Sims Wyeth, the same architect responsible for President Trump’s Mar-a-Lago club, according to the Wall Street Journal.

Hulitar, who died in 1992, and his wife Mary, who died earlier this year, bought the 12,000-square-foot property in 1971. Their two daughters said they will donate the proceeds of the sale to the Hulitar Family Foundation.

The home at 980 North Ocean (Credit: Douglas Elliman, Bradford Deflin)

Amenities at the five-bedroom, seven-and-a-half-bathroom mansion include a pool and about 240 feet of direct ocean access, according to listing agent Ashley McIntosh of Douglas Elliman. The 1.5-acre property, built in 1945, could “use some attention,” she said.

The home at 980 North Ocean (Credit: Douglas Elliman)

Hulitar, famous for his cocktail dresses and evening gowns, joins a number of fashion designers to call Palm Beach their home. A mansion where the father of fashion designer Vera Wang once lived sold in June for $36 million. In May, American fashion designer Tommy Hilfiger moved into town after paying $34 million for an oceanfront estate at 100 Casa Bendita. [WSJ] – Amanda Rabines

Source:: The Real Deal

Birdman cuts price of Miami Beach mansion

70 Palm Avenue and Birdman (Credit: Getty Images, MLS, Trulia)

Rapper and producer Bryan “Birdman” Williams is reducing the asking price of his Palm Island mansion.

The Cash Money Records co-founder cut the price of the property at 70 Palm Avenue in Miami Beach by 15.5 percent to $16.9 million from $20 million amid the slowdown in luxury residential sales.

It’s on the market with Brett Harris and Darin Tansey of Douglas Elliman.

The house is now listed for less than $800 per square foot, which Harris called “a good value for someone looking on a per-foot level.” They’re gearing up to market the property during Miami Art Week and throughout the holidays with about half a dozen showings already scheduled.

Williams bought the house in 2011 from Rockstar Energy Drink founder Russell Weiner for $14.25 million, and spent millions renovating the 20,000-square-foot waterfront home.

Williams, whose net worth was pegged at about $180 million, is reportedly looking to downsize, Harris previously said. The seven-bedroom, 12-bathroom mansion features about 100 feet of water frontage with a dock for a 100-foot yacht, a volleyball court, movie theater, chef’s kitchen, two wine cellars, a four-car garage and a two-car garage, a pool, and a summer kitchen with a pizza oven. It was built in 2004.

The record producer, whose label is home to artists like Drake, Nicki Minaj and Lil Wayne, listed the house in June. Curbed first reported the price cut.

Source:: The Real Deal

Here’s how the GOP tax plan could impact affordable housing

Rendering of the affordable-housing complex along Atlantic Avenue between Dismore Place and Chestnut Street (Credit: Dattner Architects)

From TRD New York: Affordable housing developments would not fare very well under the Republican tax plan currently winding its way through Congress.

The House version of the tax bill, which passed earlier in November, would end the “private activity” bond tax exemption, commonly used by developers of affordable housing to finance projects, according to the Wall Street Journal.

This could dramatically slow down both the construction and renovation of affordable housing units, with an analysis by accounting firm Novogradac & Co. finding that the bill would lower affordable housing production by about 700,000 units over the next 10 years.

The Senate bill does not eliminate this tax exemption, but Republican supporters of the House bill say that several exemptions are necessary to finance tax cuts for personal and corporate rates. The Joint Committee on Taxation estimated that eliminating the private activity bond exemption would generate $38.9 billion worth of additional tax revenue over 10 years.

Building and preserving affordable housing in New York has been a central component of Mayor Bill de Blasio’s agenda since he took office. The mayor initially pledged to build or preserve 200,000 affordable units by 2024 but recently upgraded his plan to build 300,000 units by 2026.

The GOP tax plan could have massive impact on several sectors of the real estate market, with potential effects including an increase in homeownership costs and lower taxes on the profits of commercial property owners. [WSJ] – Eddie Small

Source:: The Real Deal