Partners' Land Buy Sparks $221M Mixed-Use Project

The Atlantic Ocean development site is 90 miles north of Downtown Orlando, 30 miles south of Jacksonville, and a mile south of St. Augustine, the oldest city in the continental US. The joint venture partners have taken the first step by paying Julian LeCraw & Co. of Atlanta and Ponte Vedra $24.2 million in cash, or $183,333 per acre ($4.20 per sf), for a 132-acre tract that will house the project.

"This joint venture was a perfect match between an experienced condominium developer and converter in Hudson Capital, and a private investor in AMC Delancey, which understands and appreciates the returns that can be achieved in the major markets of northern Florida," Christopher Feeley, NorthMarq's senior vice president and senior director of Equity Investments, tells GlobeSt.com.

To buy the land, NorthMarq Capital Inc. of Bethesda arranged a $30-million joint venture equity investment, with an initial funding of $23 million. The deal had AMC Delancey providing $23 million in equity and Hudson Capital, $1.2 million. "The deal was closed from start to finish in 90 days," Feeley says. "NorthMarq Capital worked with the client under a very short time frame per the sale contract."

Feeley says no interest rate or time frame for repaying the equity was involved in the deal. "The partnership will be securing construction debt in approximately 12 to 15 months when they begin construction of the project," Feeley tells GlobeSt.com. The two-bedroom to four-bedroom townhomes will average 2,000 sf with a price per unit expected to range from the high $300,000s to $1 million, Feeley says.

Anastasia Island is a half mile wide at its smallest point and 2.5 miles wide at its broadest area. The island's north end is connected with St. Augustine by a bridge. Coquina quarries dot the island, according to St. Augustine Chamber of Commerce information.