MIAMI—Marina Palms Yacht Club & Residences closed on a $98 million loan to fund construction of the condo project's first residential tower on the north side of the waterfront property. HSBC Bank made the loan.

Located at 172nd Street and Biscayne Boulevard in North Miami Beach, Marina Palms calls for two 25-story towers with a combined 468 residences. Construction began on the North Tower in September. Nearly all of its 234 condos have been sold. Only penthouses remain available. Coastal Construction is the general contractor.

“This was an ideal loan for us given the highly desirable nature and uniqueness of the project and the first-class development team that is executing on the business plan,” says Michael Wadler, vice president of real estate finance at HSBC Bank. Based on continued strong buyer demand, Marina Palms will begin selling condos in the South Tower with starting prices averaging $550 per square foot.

Affiliates of The Plaza Group and The DevStar Group are developing the condos. The project will feature a full-service yacht club and marina with 112 slips for yachts up to 90 feet in length. Demolition of the existing dock structure is already underway. This is the first residential and full-service marina/yacht club development to be built in Miami-Dade County in over more than 20 years.

“Our first building was a major success and we are transitioning our sales momentum into phase two of the project,” says Anthony Burns, a principal of DevStar, one of the development partners. “The demand to own a well-located condominium residence in South Florida remains strong and Marina Palms Yacht Club & Residences offers one of the best values in the area for a luxury product that promotes life on the water.  We anticipate selling out the South Tower by the end of 2014.”