PPG Development and BH3 Management Secure $225 Million Refinancing for Hallandale Beach Luxury Tower
In a strategic move to enhance their portfolio, PPG Development and BH3 Management have announced the successful refinancing of a luxury residential tower in Hallandale Beach, Florida, with $225 million in funding. The joint venture made this announcement recently, shedding light on their ongoing commitment to upscale urban living.
Details of the Refined Debt Structure
The refinancing package was arranged through J.P. Morgan and Monroe Capital, addressing the needs of the Slate Hallandale Beach property, located at 101 Diplomat Parkway. This prime location is situated just a half-mile from the coastline. The noteworthy building features 250 luxury units, designed by prominent architect Kobi Karp, which boast over 30,000 square feet of upscale amenities.
- State-of-the-art gym
- Spa and relaxation areas
- Swimming pool
- Golf simulation room
- Movie screening room
- Wine cellar
- Shared office space
Current Market Position
The Slate Hallandale Beach property currently enjoys full occupancy, with apartment sizes ranging from 859 to 3,230 square feet. Monthly rental prices for these upscale apartments range between $3,459 and $10,406, making it an attractive option for luxury renters as per data from Apartments.com.
Historical Context and Development Journey
The property has a noteworthy development history. In 2018, PPG Development and Premium Capital Resources acquired the 5-acre site for $43.2 million before securing a substantial $100 million construction loan from Related Companies. Following the construction of the impressive 796,330-square-foot tower, completed in 2022, BH3 Management acquired a 50% interest in the property.
According to property records, the tower was initially refinanced in 2022, obtaining $50 million from Arbor Realty.
Vision for the Future
“We saw the potential for this tower to become the address of choice for residents seeking the highest-quality luxury residences in Hallandale Beach,” said Daniel Lebensohn, co-founder and co-CEO of BH3 Management. “That’s exactly what has transpired since.”
Adjacent Developments
Slate Hallandale Beach is situated next to the prestigious Shell Bay Country Club. PPG Development, under the leadership of Ari Pearl, is working on an adjacent luxury condo and hotel project in collaboration with The Witkoff Group. Notably, the firm’s founder Steve Witkoff has taken a role as President Trump’s Middle East envoy.
Recent Financial Moves
In the past year, the joint venture continued its growth by securing a significant $273 million construction loan for a new 20-story project, which was funded once again by BDT & MSD Partners and J.P. Morgan.
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