Terra has secured $183.8 million in financing. This serves to refinance a newly completed, wellness-oriented office complex in Bay Harbor Islands, Florida. Tom Brady's family office is among the tenants of this property. The financing from Monroe Capital supports the office component of “The Well” development, which spans 96,000 square feet and was completed this summer.
The four-storey office building is located at 1177 Kane Concourse in an affluent island community in Miami-Dade County, near Indian Creek. This exclusive neighbourhood is home to tech billionaires Jeff Bezos and Mark Zuckerberg, among others. The Class A complex is 90 per cent leased. Tenants include Dwight Capital, NewCo Capital Group, Legacy Wealth Advisors, and Brady's TEB Capital Management, which signed an 8,145 square foot lease.
Amenities and previous financing
The building offers extensive amenities, including a gym, spa area, health coaching, and concierge services. Keith Kurland of Walker & Dunlop, who brokered the financing on behalf of Terra, stated that the strong leasing momentum and the differentiated, wellness-focused concept of The Well Bay Harbor Islands created the opportunity for a refinancing that aligns with Terra’s long-term goals. He was supported in the brokering by Aaron Appel, Jonathan Schwartz, Adam Schwartz, Dustin Stolly, Sean Reimer and Jordan Casella.
The current debt financing replaces a $238 million refinancing loan provided last year by Todd Boehly's Eldridge Capital Management and Hudson Bay, according to a representative of the Miami-based development company led by David Martin. The “The Well” development also includes an eight-storey building with 65 condominiums. Terra acquired the 1.8-hectare plot in 2021 for $31.6 million and received a $141 million construction loan from Mack Real Estate Credit Strategies a year later.
Competition in the market segment
In Bay Harbor Islands, there will be future competition for this development. Landau Properties and Taubco are constructing a 126,000 square foot office project, having secured a $74 million construction loan in 2024. The refinancing for “The Well” occurred just one week after Terra secured $507 million for the construction of a luxury condominium tower in South Beach, even before sales began.
