A $104 million loan for phase one of Centro City’s 350,000-square-foot retail component was issued by Hudson Bay Capital. It is part of Miami-based developer Terra’s overall $291 million in permanent financing secured for the 38-acre mixed-use development.
The new financing will be applied to paying off the development’s existing construction loan, provided by Apollo Global Management and Mack Real Estate Credit Strategies in 2022.
Centro City includes 1,200 market-rate residential apartments, green space for residents, a newly reimagined shopping center with lifestyle-oriented retail and restaurants, a Class A office building, and a Mater Academy K-8 Charter School.
Connected to the community
“At Terra, we prioritize creating spaces that offer not just accessibility but real connectivity to the vibrant heart of their communities,” David Martin, CEO of Terra, told Commercial Property Executive.
“Centro City exemplifies this vision, strategically located in the heart of West Little Havana, where residents and businesses can tap into Miami’s key employment centers, cultural landmarks and transportation corridors.
“This is part of a broader strategy we’ve applied across South Florida, from Coconut Grove’s Grove Central to our upcoming Upland Park development, which will redefine mobility and living in West Miami-Dade. Our commitment is to build more than just developments; we create dynamic, sustainable ecosystems that enhance communities and drive economic growth.”
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Target, Ross Dress for Less, DD’s, Fresco y Mas, Walgreens, and Bank of America are among the tenants for the 95 percent leased property in the center of Miami-Dade County, just west of Little Havana.
Walker & Dunlop’s Keith Kurland and Gangemi Law Group represented Terra in the transactions. Holland & Knight partners Joe Dewey, Brett Holland, Shawn Amuial, and Shaina Kamen, and associate Brian Piper represented Hudson Bay Capital.
“Mixed-use multifamily developments featuring retail in Miami continue to garner interest from residents, investors, and lenders,” Michael J. Romer, co-founder & managing partner of Romer Debbas LLP. “This most recent financing is a positive sign as lenders begin to awake from a relatively dormant market cautiously. The combination of multifamily, retail and warm weather is the magic formula entering 2025.”