Redwood National Properties and Winston Capital Partners scored a $46.6 million bridge loan for their newly built The Mirage at Sailboat Cove townhouse rental complex in Opa-locka.
Redwood National, a wholly owned subsidiary of Miami-based BAS Holdings Investments, and Aventura-based Winston Capital developed the majority of the complex at 14301 Northwest 17 Path.
City National Bank of Florida and Pensam Capital issued the five-year bridge loan that was used to pay off an $18 million construction loan, according to a Redwood and Winston news release.
The Mirage at Sailboat Cove, surrounding Mitchell Lake, totals 171 units, although 59 were built by previous developers, according to David Burstyn, CEO of Winston Capital.
Redwood and Winston built the other 112 units in 23 buildings, completing construction last year. They also purchased 20 of the previously developed units, Brian Sidman, founder and principal of BAS Holdings, told The Real Deal. The property is fully leased.
The bridge loan is for Redwood and Winston’s portion of the property and allows the developers to purchase another 10 of the previously built units, Burstyn said.
Although Mirage was not developed with government subsidies, nor deed-restricted to provide low-income or affordable housing, it accepts households that use rent vouchers, Burstyn said. It also offers units at market-rate rents.
Apartments.com lists townhouse rents at $2,925 a month.
Each two-story, four-bedroom Mirage townhouse spans about 1,550 square feet, according to the release. The units each have four and a half baths.
“The working single parent that has children, maybe grandma is in the house — it’s families with young children that we are catering to,” Burstyn said.
The city has long been “underserved” in terms of new residential construction, Sidman said in the release.
Many developers have focused on market-rate and high-end multifamily projects, leaving South Florida struggling with an affordability crisis. The issue is now being exacerbated by an influx of out-of-state residents, fueling apartment demand and leading to skyrocketing rents.
Miami saw the highest rent hikes, nationwide, of 38 percent in 2021, according to a Zumper annual report.