MIAMI—As Wynwood continues heating up, lenders are placing bets on retailers there. Merchant banking firm Aztec Group just secured a $2 million acquisition loan for a retail property at 2301 North Miami Avenue in Miami.
Aztec represented the borrower, an affiliate of New York-based Atlas Real Estate Partners, in the transaction. US Century Bank provided the financing. Terms of the five-year, non-recourse loan include a 55% loan-to-cost and 4.25% fixed interest rate. Atlas also turned to Fundrise, a real estate crowdfunding platform, to raise money for a 13,000-square-foot mixed-use development in Wynwood.
“The property's prime location, conservative loan request and the borrower's proven track record enabled Aztec to arrange favorable financing terms that exceeded our client's expectations,” says Charles Penan, director of Aztec. “The property will be home to art galleries and design retailers, who will add to the neighborhood's rising art scene.”
Located along the major thoroughfare of North Miami Avenue, the 13,353-square-foot retail property was formerly used for the same purpose as many of Wynwood's commercial real estate assets: warehousing. A high-end furniture store will occupy the retail space, which includes four individual storefronts that art galleries.
Wynwood is one of Miami's most artistically dynamic and diverse neighborhoods. It's home to over 70 galleries, museums and collections and is the center of Miami's Arts and Culture District.
The area's renaissance has drawn real estate investors to transform former warehouse spaces into retail shops, galleries and showrooms, and restaurants. Today, Wynwood has become one of the most desirable real estate markets in Miami.
Wynwood's commercial real estate market is heating up on all fronts. Another recent example is the $5 million sale of a warehouse facility and a vacant lot. EEFC 2214 NMA Owner and EEFC 74 NW 24 Owner acquired the assets.
“The surge in interest in the Wynwood section of North Miami Avenue as of late is exciting,” says Ari Dispenza of Mizrach Realty Associates. “While properties have been trading with regularity for some time now, it has clearly intensified, largely due to anticipated up-zoning and the mixed-use developments being drawn up.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
