Kolter and Carlyle Buy South Florida Project Site, Secure Financing

Kolter Group and Carlyle Group purchased a development site along Biscayne Boulevard north of Miami and also nabbed an $86.1 million construction loan from PNC Bank, property records show. 

The joint venture between the Delray Beach-based developer and the private equity giant paid $15 million for the vacant 3.25-acre site within Miami-Dade County’s Biscayne Shores neighborhood at 11240 Biscayne Boulevard. The site is nine miles north of Downtown Miami.

The construction debt will likely go toward building a multifamily development. Last year, Altman Development, which previously had the land under contract, filed plans to build a 12-story building with 336 apartments and 530 parking spots, according to filings to Miami-Dade County. Just over 70 units would be priced as workforce housing. 

The proposal fell apart earlier this year when Altman Development announced it was putting many of its developments on hold to preserve cash in anticipation of a recession, the South Florida Business Journal reported. 

Despite elevated interest rates and stalled rental growth since the height of the pandemic, some developers are still managing to land financing for multifamily projects. Just this week, Namdar Group scored $460 million from Scale Lending to complete a two-tower rental development in Downtown Miami.

Representatives for Carlyle and Kolter did not immediately provide comment.

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