Terra, Fortune International Secure $145M for Record Land Deal in Key Biscayne

Terra and Fortune International Group secured $145 million in seller financing for their $205 million acquisition of oceanfront property on Key Biscayne, Fla., that will be redeveloped into a luxury condo development.

The purchase of the Silver Sands Beach Resort set a record for land sales in Key Biscayne, a wealthy island town right off Miami’s Brickell district. The property’s sellers — Red Dragon’s Sands, a Florida entity managed by Axis Development, and Key Biscayne residents Reinaldo Iragorri and Catalina Bernal — provided the acquisition loan, according to mortgage documents. 

The 56-room Silver Sands motel sits on a 3.8-acre site at 301 Ocean Drive. In October, the joint venture secured approvals to replace the motel with a 13-story development, housing 56 condo units and 221 subterranean parking spots. The acquisition equates to $3.6 million per planned condo unit. 

The 288,163-square-foot project will mark the first condo development on Key Biscayne in decades. It also teams up two of the most active Miami developers.

Just last week, David Martin’s Terra secured a $392 million construction loan for an 800-room hotel next door to the Miami Beach Convention Center. 

Last year, Fortune International Group, led by Key Biscayne resident Edgardo Defortuna, secured a $259 million construction loan for a Ritz-Carlton-branded condo project in Pompano Beach, and $219 million for a St. Regis-branded condo project in Sunny Isles Beach.

A representative for Axis Development could not be reached. A spokesperson for the buyers did not immediately respond to a request for comment. 

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