Related Group Lands $424M Loan From Tyko to Build Luxe Condo Near Miami Beach

Here comes another gargantuan Tyko Capital loan in South Florida. 

The New York-based private lender, backed by Elliot Management, supplied a $424 million construction loan for a luxury oceanfront condo development spearheaded by developers Related Group, Two Roads Development and limited partner Rockpoint.

Called Rivage Residences Bal Harbour, the 24-story project will house 56 units at 10245 Collins Avenue in Bal Harbour, Fla., north of Miami Beach. Condos will range between 3,300 and 13,000 square feet, and the complex will feature amenities such as a fitness center, spa, beachfront restaurant and kids playroom that together span a total of 25,000 square feet. 

Construction on the 2.5-acre site began in September and is expected to be completed in 2027. 

Sales for the SOM-designed tower launched last year, with unit prices ranging between $8 million and $64 million. In the past two months, the project has generated over $100 million in sales, though a spokesperson for the joint venture has yet to provide total figures.

In 2021, the joint venture completed the $130 million buyout of a 15-story condo building on the site that was built in 1956, and later demolished the 88-unit complex. 

The loan marks Tyko Capital’s latest endeavor in South Florida since forming earlier this year. In July, the investment management platform, led by Adi Chugh, provided $565 million to refinance 830 Brickell, Miami’s trophy office building. In September, the lender also supplied $527 million for the construction of the St. Regis-branded condo tower in Miami’s Brickell neighborhood, another Related Group project. 

Luxury condo projects in South Florida have managed to get off the ground, in part thanks to strong pre-sales. Just this week, The Witkoff Group and PPG Development secured $273 million to build a 20-story condo development in nearby Hallandale Beach.

Julia Echikson can be reached at jechikson@commercialobserver.com.