M
organ Group and Carlyle Group secured a $67 million loan to redevelop a former Macy's site in Pompano Beach, where they plan to build a 356-unit apartment complex on the nearly 12-acre property. The site includes the Macy's building at 1200 Northeast 12th Street within the Pompano Beach Citi Centre and an adjacent parking lot. Morgan Group, led by CEO Philip Morgan, and Carlyle Group, led by CEO Harvey Schwartz, borrowed the funds from Santander Bank.

    The redevelopment project will feature eight four-story buildings and 545 parking spaces. The loan comes after Morgan Group and Carlyle Group purchased the site in two deals for a combined $18.8 million, with Macy's selling its building for $10 million and Sterling Organization selling the parking lot for $8.8 million. The Pompano Beach City Commission approved the project in 2021.

    Morgan Group has a portfolio of over 18,500 units across 65 complexes nationwide, while Carlyle Group manages $435 billion in assets under management. In recent years, Carlyle Group has divested several South Florida properties, including the B Ocean Resort Fort Lauderdale and a superyacht storage facility in Fort Lauderdale.

    The redevelopment project is part of a larger trend as Macy's continues to downsize its presence in South Florida. The department store announced plans to close 150 underperforming stores nationwide over the next three years, with some locations being sold off to other developers.