Home New loan Shahab Karmely gets condo inventory loan for 2000 Ocean

Shahab Karmely gets condo inventory loan for 2000 Ocean

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2000 Ocean with Shahab Karmely (Golden Dusk Photography)

Developer Shahab Karmely has entered into a $ 128 million condo inventory loan for an oceanfront development in Hallandale Beach, replacing the project’s $ 103 million construction loan, The Real Deal has learned.

Karmely’s KAR Properties obtained the loan from Madison Realty Capital. It repays the debt issued by Apollo Commercial Real Estate in 2018.

The 38-story, 64-unit building, called 2000 Ocean, was completed in December. Developers typically use condo inventory loans to help cover the costs of owning unsold units, as well as to pay off construction loans.

A development spokesperson declined to release sales figures for 2000 Ocean. The closures are expected to begin Jan. 14, the spokesperson said.

In 2018, when the developer secured construction funding, prices ranged from around $ 2.6 million to $ 4.4 million for typical units, and between $ 8 million and $ 12 million for penthouses. The remaining units start at $ 3.1 million up to over $ 10 million for the penthouses, according to the spokesperson.

Fortune Development Group manages sales.

The building, located at 2000 South Ocean Drive, was designed by Enrique Norten of TEN Arquitectos and the Italian company Minotti, who took care of the common areas and furnishings. Facilities include two swimming pools with cabanas, a spa, cafe, library, theater and entertainment room, according to a statement.

Ownership records show the developer paid around $ 34 million for the site in 2014.

In Miami, Karmely has a huge development site along the Miami River, as well as land in Wynwood. Daniel Loeb, the billionaire investor who runs Third Point LLC, an activist hedge fund, is a silent partner of Karmely, TRD reported in 2017.

Last year, Karmely’s KAR Properties and Edgardo Defortuna’s Fortune International Group teamed up to purchase the remaining unsold condos at Brickell City Center in Miami from Swire Properties.

At its Miami River site, Karmely suspended plans for One River Point, a three-phase luxury condo development designed by architect Rafael Viñoly.