Silvia Coltrane sells Manolo building near Ocean Terrace project in North Beach

Silvia Coltrane and 7300 Collins Avenue (Corcoran, Google Maps, Manolos)

Silvia Coltrane and 7300 Collins Avenue (Corcoran, Google Maps, Manolos)

Silvia Coltrane sold a commercial building in North Beach leased to the Argentine restaurant Manolo to a company tied to Haim Yehezkel’s Elysee Investments.

Records show Coltrane, a developer and broker, sold the property at 7300 Collins Avenue to 7300 Collins Investment LLC for $8 million. The buyer financed the deal with a $5 million loan from Valley National Bank.

Coltrane’s Collins and 73rd Developers LLC paid $10.5 million for the corner building in 2016, which means she sold the property at a loss. Elysee Investments owns other real estate in the area.

The 12,700-square-foot, single-story building sits on a 15,000-square-foot lot.

Coltrane said she previously planned to build a small mixed-use project with a residential component on the site. “We had acquired the property with the plan to develop it, and we had our plate full, [so] we decided to go ahead and sell it,” she said.

The property is near Alex Blavatnik and Sandor Scher’s Ocean Terrace development, a planned mixed-use project with a hotel, residential, retail and parking components.

Coltrane also owns the retail buildings in the 7100 block of Collins Avenue, where she’s planning to build a mixed-use hotel. Last year, Lion Financial filed a $14.2 million foreclosure suit against Coltrane’s Collins and 72nd Developers LLC, the South Florida Business Journal reported at the time. Coltrane said she is working with her lender and plans to build a micro-unit hotel with retail space.

More than a year ago, she joined the Corcoran Group. Her Real Estate Transactions office in Surfside became a Corcoran outpost.

A number of projects are planned in North Beach, a Miami Beach neighborhood north of 63rd Street and south of Surfside. In the fall, developer Aria Mehrabi secured approval from the Miami Beach Design Review Board for a residential and retail development in North Beach.

Menin Hospitality’s Byron Carlyle Theater redevelopment vote shelved until February

Rendering of Byron Carlyle Cultural Center, with Matis Cohen, Jared Galbut and Keith Menin (Miami Beach City Commission)

Rendering of Byron Carlyle Cultural Center, with Matis Cohen, Jared Galbut and Keith Menin (Miami Beach City Commission)

Miami Beach delayed until February a vote on Menin Hospitality and its partners’ plan to redevelop the Byron Carlyle Theater in North Beach.

The Miami Beach City Commission opted not to vote on a proposal by Menin Hospitality and KGTC, LLC to replace the 52-year-old, city-owned Byron Carlyle with a 125-foot-tall theater complex with 151 workforce units.

Assistant City Manager Eric Carpenter told the mayor and six commissioners Wednesday evening that the city needed more time. “We do think this proposal has some merit and we do think it has potential, [but] we do not have the financial analysis for this project yet,” Carpenter said.

The city bought the theater in 2001 for $1.7 million, and it served as a movie house for the non-profit O Cinema for five years until the city’s building department deemed it an unsafe building in July 2019. Six months prior to its closure, the city issued a request for proposals for bids to redevelop the theater into a “mixed-use project with a cultural component.”

On Aug. 3, Menin Hospitality and KGTC, LLC became the de facto winning bidders to redevelop the Byron Carlyle after Pacific Star Capital withdrew its proposal to transform the circa-1968 movie theater into a 11-story mixed-use hotel building.

Menin Hospitality is run by nightlife entrepreneurs Keith Menin and Jared Galbut, nephews of Crescent Heights co-founder Russell Galbut. KGTC LLC is owned by developer Matis Cohen and Galbut’s daughter, Marisa Galbut.

According to the latest term sheet, Menin Hospitality and KGTC are proposing to construct a new Byron Carlyle Cultural Center with a 10,500-square-foot theater, 9,000 square feet of ground-floor retail, 129 one-bedroom units, and 22 two-bedroom units at its own expense, in exchange for a 99-year lease, and a $350,000 contribution from the city for environmental remediation. And although city regulations require 200 parking spaces for a theater, the developers want all parking requirements waived.

The proposed development agreement would also require that apartments be reserved for workforce housing for just 30 years of the 99-year lease, with 80 percent of the units reserved for households making 140 percent of the county’s area median income, or about $89,600 a year.

In addition, the developers want to collect all the rent from the cultural center’s retail and apartments, and pay the city a ground rent of $1 a year.

However, Jared Galbut said the developers will pay property taxes on the property, which he estimated to be $44 million a year. Galbut emphasized that he and his partners will be taking the risk since they intend to finance the project with private equity.

“We will build the city an amazing cultural center that will easily be a hub for the community,” Galbut said.

The new Byron Carlyle will be constructed within the North Beach Town Center, a 10-block area that’s slated to be redeveloped into a densely packed region of hotels, apartments, and retail. Across the street from the theater, KGTC LLC is building a 22-story apartment complex with microunits and retail called 72nd and Park. Also within Town Center, Pacific Star Capital is proposing to build a Target-anchored shopping center.

Cohen told commissioners that parking isn’t needed at the Byron Carlyle Cultural Center because a 700-space garage will be constructed within the Town Center. Plus, Cohen said, “Town Center was created as a compact urban area that would prioritize the pedestrian instead of the car.”

Miami Beach Mayor Dan Gelber questioned the terms of the deal. Gelber was sure the city could probably outright sell the Byron Carlyle for $5 million to a private developer if it wanted to. And, after consulting with the operators of O Cinema and the Miami Light Project, Gelber felt that the theater portion needed to be larger than 10,500 square feet. “The primary goal for this, without question, was to lever North Beach as a world-class cultural institution,” Gelber said.

The city administration, meanwhile, felt that more apartment units should be affordable for people making less than $89,600 a year. In a memo to the mayor and commissioners, Miami Beach City Manager Jimmy Morales stated that the annual median area income in Miami-Dade County is $59,100. But, as of 2019, North Beach’s median household income was $43,439, and 70.8 percent of North Beach households make below $75,000 a year.

“The administration recognizes that the developer deserves credit for proposing to introduce workforce housing in North Beach, but the proposed tenant income mix reflects above-market rates for North Beach, an area where 20.1 percent of individuals are categorized by the U.S. Census Bureau as below the poverty level,” Morales wrote.

Miami Beach residents calling into the virtual meeting had mixed opinions on the project. Some supported the Menin Hospitality-led proposal, but others insisted that the city should use bond money, grants and donations to renovate the theater and operate it itself, rather than allow developers to replace it with apartments. Kristen Rosen Gonzalez, a former Miami Beach commissioner, denounced Gelber and commissioners David Richardson and Ricky Arriola as cheerleaders for the developers with “matching pom poms.”

“We can raise the money and renovate it…. Look at the Colony Theater,” Rosen Gonzalez said. “The entire deal does not pass the smell test.”

Gelber, though, feared that the Byron Carlyle could end up like the Coconut Grove Theater in Miami and the Roosevelt Theater in Mid-Beach’s 41st Street — empty and derelict for decades — if the city tries to redevelop the property itself. “I don’t want to spend five or six years on a project, have it fall apart, and end up starting all over again,” Gelber said.

Commissioner Arriola suggested that the city pass the resolution now and negotiate a better deal later, stressing that it would cost the city more than $3 million to get the current Byron Carlyle up to code. “If we don’t do this project, what is our alternative?” he asked.

But Gelber said he agreed with Carpenter and the rest of the administration that the deal still needs to be hammered out. “I am not going to support it today because it’s not fully baked,” Gelber said.

City Attorney Raul Aguila, who is slated to become Miami Beach’s interim city manager after Morales resigns on Friday, said he will try to bring a new deal to the commission by Feb. 24. The city will also retain the services of an independent appraiser to determine the true value of the Byron Carlyle.

Furniture exec moves into condo at Eighty Seven Park for $7M

Franco Bianchi and Eighty Seven Park  

Franco Bianchi and Eighty Seven Park

One thing is certain: This buyer shouldn’t have any trouble furnishing his condo at Eighty Seven Park.

Franco Bianchi, CEO of the Holland, Michigan-based furniture manufacturer Haworth, and his wife, Alessandra, purchased unit 504 at the condo tower in North Beach for $6.8 million, records show.

Haworth primarily focuses on commercial office interiors and has over $1.8 billion in global sales, according to its website.

Eighty Seven Park, a 66-unit, 18-story oceanfront tower at 8701 Collins Avenue in Miami Beach, was completed in November. The luxury condo building was designed by architect Renzo Piano and developed by Terra, Bizzi & Partners, New Valley and Pacific Eagle.

Last week, Robin van Meeuwen, the CEO of Technological Innovations Group, a Belgian-based IT company, also bought a unit for $6.12 million.

The first buyers at the condo development include Jonathan Newhouse, chairman of the Condé Nast board and former CEO of Condé Nast International; as well as Pierre Pomerleau, president and CEO of Pomerleau, one of Canada’s largest construction companies. In December, tennis star Novak Djokovic closed on a unit at Eighty Seven Park for $5.77 million.

Douglas Elliman is handling sales and marketing of Eighty Seven Park.

The building features an underground parking garage, a gym and spa, wine bar, and two pools. Rena Dumas Architecture Intérieure and WEST 8 Urban Design & Landscape Architecture also worked on the project’s design.

It was developed on the site of the former Howard Johnson Dezerland Hotel, originally known as the Biltmore Terrace.

SoftBank brings on Marcelo Claure to help turn around WeWork, Hallandale Beach project scores $100M loan: Daily digest

Every day, The Real Deal rounds up South Florida’s biggest real estate news, from breaking news and scoops to announcements and deals. We update this page throughout the day. Please send any tips or deals to [email protected]

This page was last updated at 5:30 p.m.

SoftBank is bringing on Sprint’s former CEO to help turn around WeWork. SoftBank head Masayoshi Son has asked Marcelo Claure of Miami to take a more hands-on role at the company after the recent ouster of co-founder and CEO Adam Neumann. His exact role has not been specified, but he would focus on opportunities to cut costs and increase revenues. Senior WeWork executives Sebastian Gunningham and Artie Minson have been appointed co-CEOs of the company.  [Bloomberg]

Developer Ari Pearl closed on a $100 million loan to develop the first phase of a major mixed-use project in Hallandale Beach. Pearl’s PPG Development and Michael Herman’s Premium Capital secured the financing from the Related Cos.’ Related Fund Management. The financing will be used to build the 250-unit branded luxury apartment component of SLS Resort Residence & Marina Hallandale Beach. [TRD]

The Naples-based Collier family is replacing the former ABC Carpet & Home store in Delray Beach with an upscale storage and maintenance club for car collectors. Family-owned Collier Land Holdings Limited has started building a facility called Collier Car Club inside the former ABC Carpet & Home store on Congress Avenue – well known for its exterior mural, a faux architectural finish visible from I-95. The store closed last year. [TRD]

Forever 21 has filed for bankruptcy. It has landed $75 million in new capital from TPG Sixth Street Partners and $275 million in financing from lenders with JPMorgan Chase as the agent. The store had been one of the largest mall tenants still standing, so the filing could spell trouble for major mall owners like Simon Property Group and Brookfield Property Partners. It plans to close up to 350 stores overall but will keep operating its website and hundreds of stores in the United States. [Bloomberg, NYT]

A total of 125 condos sold for $49 million in Miami-Dade County last week. That’s on par with the 126 units that sold for a combined $45 million the previous week. Condos last week sold for an average price of about $395,000 or $283 per square foot. [TRD

Blackstone is doubling down on its e-commerce bet with another multibillion dollar industrial portfolio deal. The company is buying Colony Capital’s national warehouse portfolio for $5.9 billion, according to the Wall Street Journal. The portfolio Colony sold to Blackstone spans 60 million square feet across 465 warehouses in 26 markets. Areas of strong concentration include northern New Jersey, California, Florida, Dallas and Atlanta. [TRD

The Galbut family and developer Matis Cohen are proposing a 22-story tower in North Beach. The project, called 72nd and Park, will be reviewed by the Miami Beach Design Review Board on Wednesday. Arquitectonica is designing the project, with 283 multifamily units, about 12,500 square feet of retail and restaurant space, amenities and parking. It would have 125 micro units, smaller than 550 square feet. [SFBJ]

Broward’s “taxi king” and real estate investor Jesse Gaddis died at 87. Gaddis created the Yellow Cab company in Broward in the early 1960s, and later invested in real estate development and lending, among other industries, according to the Sun Sentinel. He was among the first investors in the Flagler Village neighborhood of downtown Fort Lauderdale. Gaddis died on Friday of cancer. [Sun Sentinel]

(Illustration by Andrew Colin Beck)

(Illustration by Andrew Colin Beck)

How mobile homes became a billion-dollar, recession-proof industry. The immobility of most mobile and manufactured homes has caught the attention of private equity firms in a big way. With most low-income renters unable to quickly up and move their properties, institutional real estate investors increasingly see that as a surefire bet — especially in a major downturn. [TRD]

Compiled by Katherine Kallergis

Tzadik sells North Beach apartments, will be renovated

North Beach apartments and Tzadik founder Adam Hendry
A portfolio of seven apartment buildings in North Beach traded for $5.5 million, and the new owner has plans to renovate the properties.
Listing agent Michael Davalos
County records show an affiliate of Tzadik Management sold the 28-unit assemblage, which is between 84th and 85th Streets west of Crespi Boulevard in Miami Beach. A partnership of two New York companies controlled by Jay Deutchman, a Bronx-based property owner, bought the two-story buildings. The deal closed on Thursday.
Fortune International Realty’s Michael Davalos marketed the properties. The buyer, a 1031 exchange, will gut-renovate the units, which are all three bedrooms, upgrading the bathrooms, kitchens, floors and converting them to central air conditioning, Davalos told The Real Deal. The deal breaks down to about $196,000 per unit, or $202 per square foot.
“This is a property that has a lot of potential for future growth. It’s rare to find this kind of assemblage in Miami Beach – add to that its close proximity to the ocean and you have a nice set-up,” Davalos said in a press release.
Property records show the buildings, constructed in 1948, last sold for a combined $2.1 million in 2011. Their addresses are: 640-650 85th Street, and 725, 735, 755, 775, 785 84th Street in Miami Beach. “We were able to take advantage of this opportunity to revitalize what at the time was a distressed and rundown property,” Alex Arguelles, chief acquisitions officer for Tzadik, said in the release.
The neighborhood of North Beach stretches from 63rd Street to 87th Street and westward to Biscayne Bay. The area is largely underdeveloped when compared with South Beach and the Mid-Beach area, but commercial activity has been heating up over the past year. Just last week, the ground floor retail at the Burleigh House condominium, which fronts Collins Avenue, sold for $6.8 million.
Tzadik sold a development site nearby in January. The Miami-based firm, which specializes in property management, development and capital markets, sold that construction site on 85th Street and Harding Avenue for $5 million. Tzadik has managed more than $300 million of apartment complexes and luxury condo developments, according to the release.

Source: The Real Deal Miami

PHOTOS: On the scene at Iris on the Bay’s grand opening

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The Spear Group and Braddock Financial held a ribbon cutting for Iris on the Bay, a new gated townhome community in North Beach.
The developers bought the 2-acre property in 2012 and recently opened the first phase of the 43 four-story townhome waterfront project. A majority of new owners are domestic buyers who were looking to upgrade to bigger homes, according to a press release. Sales for the second phase are underway and will break ground this spring.
Amenities at Iris on the Bay include terraces, private elevators an two-car garages. Beilinson & Gomez designed the development with interiors by Michael Wolk Design Associates and TUI Lifestyle, according to the release. Units range from 2,150 square feet to more than 2,500 square feet.
In March, the Miami Beach Design Review Board approved a waterfront condominium project that will fill in the last vacant parcel of land along Miami Beach’s Indian Creek Drive in North Beach. The developers are planning a 30-unit luxury condominium with views into Biscayne Bay, private boat docks and a baywalk with public access along a pristine stretch of Biscayne Bay.  – Katherine Kallergis
 

Source: The Real Deal Miami