Naftali Group closed on nearly half a billion in financing for its JEM Private Residences at Miami Worldcenter.
The New York-based development firm secured $235 million in C-PACE financing from Darien, Connecticut-based Nuveen Green Capital, and $230 million in traditional construction loans from BHI, the U.S. arm of Israel-based Bank Hapoalim, according to a press release.
The new financing, totaling $465 million, likely pays off a $35 million pre-development loan secured last year from BHI.
C-PACE stands for Commercial Property Assessed Clean Energy. It is a financing tool that encourages the use of energy efficient and sustainable materials and design. Alexandra Cooley, CEO and chief investment officer of Nuveen Green Capital, said in the release that C-PACE offers “low-cost, long-term financing and structuring flexibility.” The $235 million C-PACE financing marks the largest of its kind in Florida, she said in the release.
JEM is a planned 67-story tower at 1016 Northeast Second Avenue in downtown Miami. It calls for 259 condos, 530 apartments, about 3,300 square feet of ground-floor retail space and a parking garage.
Peggy Olin’s OneWorld Properties is leading condo sales, which include a recently signed $8 million contract for a sky villa, according to the release.
Construction began in April 2024, and workers have surpassed the sixth floor of construction. It’s expected to be completed by the fourth quarter of next year, the release states.
The building’s condos will start on the 43rd floor, and the tower will include an amenity suite on the 50th floor with a 60-foot pool, a sky lounge, fitness center, boxing arena, yoga patio, spa and co-working space, according to the release.
Naftali, led by Chairman and CEO Miki Naftali, and its partner, Cara Real Estate Management, paid $40.5 million for the 1-acre site in 2022.
CIM Group, Art Falcone and Nitin Motwani have led the development of Miami Worldcenter, a $6 billion, 27-acre assemblage. They have sold off development sites to other firms in recent years, including the Related Group, Abbhi Capital and Moinian Group.
A number of other developers have also tapped C-PACE financing in recent months. In September, Miami and West Palm Beach-based Two Roads Development secured $520 million in construction financing for a waterfront luxury hotel and condo tower in downtown Tampa, which included $290 million in C-PACE debt from Nuveen Green Capital.
That same month, Ricardo Dunin and Juan Carlos Tassara’s North Development nabbed $220 million in financing for Domus Brickell Center, including $180 million in C-PACE financing from Coral Gables-based Bayview PACE.
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Development
South Florida
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