JPMorgan Lends $245M on Terra’s Grove Central Mixed-Use Project in Miami
By Julia Echikson January 26, 2024 2:51 pm
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David Martin’s Terra and Grass River scored $245 million from JPMorgan Chase (JPM) in permanent financing for Grove Central, a mixed-use development in Miami’s Coconut Grove neighborhood, Commercial Observer has learned.
Earlier this year, the Miami-based joint venture completed the development, located by the Coconut Grove Metromover station at the intersection of US-1 and SW 27th Avenue. It features a 23-story rental tower with 402 apartments, a 1,250-space public parking garage, and about 170,000 square feet of retail space.
The newly issued loan will fund remaining public infrastructure improvements, including upgrades being made to the adjacent Metrorail station. It also retires Grove Central’s existing $204.5 million construction loan, which Apollo Global Management provided in 2021.
Keith Kurland, Jonathan Schwartz, Aaron Appel, Adam Schwartz and Michael Diaz of Walker & Dunlop negotiated the financing on behalf of the developers.
“Our ability to secure favorable long-term financing and pay off our construction loan shortly after the delivery of Grove Central is a testament to the growing demand we are seeing in South Florida for transit-oriented developments that promote urban living,” Martin, CEO of Terra, said in a statement.
Over 30 percent of Grove Central’s residential units have been leased, which range from 400-square-foot studios to 2,170-square-foot five-bedroom apartments. A portion of the units are being set aside as workforce housing, though a representative for Terra declined to provide an exact figure.
Justin Kennedy, Co-CEO at Grass River said the loan closing “speaks volumes for the institutional nature of our project and the confidence we and JPMorgan have in our asset and its position in the fabulous Coconut Grove Market.”
Nearly all, 95 percent, of retail space has been leased to tenants including retailers Target, Sprouts Farmers Market, Total Wine & More, Five Below and luxury gym Club Studio.
Additional retailers expected to open this year include Black Sheep Coffee, Mattress Firm, Chipotle, T-Mobile, Woof Gang Bakery and Pacific Dental.
Julia Echikson can be reached at jechikson@commercialobserver.com.
