PMG Pays $42M for Less Than Two Oceanfront Acres

The land, located at 5875 Collins Ave. and 58th St., is essentially vacant. However Mitchell Schneiderman, a PMG principal, tells GlobeSt.com that First Ocean had constructed pilings for a multifamily project. "We bought the property subject to its existing building permit," he says. He confirms the price, which GlobeSt.com had obtained elsewhere, and says, "We don't want to look crazy, and we won't, once our plans get underway. We're holding a 100% location, and we paid a record-setting price."

PMG, in partnership with Hollywood-based Bruce M. Goldstein & Associates, will begin development of Mei, a 135-unit, 22-story condominium, designed by Miami-based architect Kobi Karp, "in about two weeks," Schneiderman says. "Mei is Mandarin for beauty," so it's not surprising that the development will have an Asian esthetic. He expects completion within 18 months. Units will range in size from about 1,300 sf to 2,500 sf and sell in a range between $1 million and $2 million. Aventura-based International Sales Group is marketing the units and will begin sales in early June.

Goldstein tells GlobeSt.com he expects a sell-out "within the first 90 days. There's a lot of demand, and people want to be on the beach; not near the beach or across from the beach, but on it," he says. Buyers "will come from the Northeastern US, South America, Mexico and Europe."

Jason Cohen, managing director of New York City-based Ackman-Ziff Realty Group, arranged a $98-million acquisition and development loan for the project from PB Capital of New York. Cohen tells GlobeSt.com the loan-to-cost ratio "is about 80%."