Deal volume has slowed across South Florida, but developers and lenders are busy fielding and filing lawsuits.
In our top story of the week, a pair of buyers sued an affiliate of the Trump Group over alleged construction issues at the Estates at Acqualina, a two-tower luxury condominium in Sunny Isles Beach. One buyer, Ruben Salama, alleged he and his family were unable to enjoy their four-bedroom condo and the amenities within the oceanfront development between 2023 and 2025. Salama claims he lost $1 million on his sale of the 18th floor unit because nonstop repairs by the Trump Group scared away more than two dozen potential buyers, the lawsuit alleges.
Another buyer, a company led by Gerardo Gonzalez Ziron, alleges that his 5,000-square-foot condo was incomplete and inadequate when he closed on the unit in 2024.
Trump Group, which is led by brothers Jules and Eddie Trump, has been locked in litigation with the former general contractor, Suffolk Construction, for years over delays, payment, quality of the work and labor.
In other news, two lenders took action against their borrowers. Monroe Capital sued the developer of the Mondrian Hallandale Beach Residences to recover a $70 million mezzanine loan that was part of a $225 million refinancing that the developer, a partnership between PPG Development and BH3, secured last year.
Monroe alleges the developer failed to make its payment in February, triggering a default on the loan. Monroe is seeking full repayment, which now totals about $72.7 million, plus costs and attorneys’ fees.
In a separate complaint, CIM Group escalated its legal war with Goodtime Hotel’s owners, filing a $149.3 million foreclosure complaint to seize the Miami Beach property. Earlier this year, CIM sued an entity managed by Eric Birnbaum and Michael Fascitelli, who lead Imperial Companies, for allegedly failing, since 2024, to meet forbearance agreements on a $152 million loan. The developers also allegedly did not pay off the debt when it matured.
Back in residential real estate, a unit owner at the Amethyst, an aging condo building along Collins Avenue in Miami Beach filed a lawsuit against Mast Capital and the condo association over the amended condo termination clause in the property’s condo docs. The suit, citing the Biscayne 21 condo buyout ruling, challenges the 2022 amendment that lowered the condo termination threshold from 100 percent to 80 percent. The plaintiff is Robert Pelier, an attorney who has represented owners against Mast Capital in the past. Pelier’s alleging the amendment is invalid because he claims it should have required unanimous approval from all unit owners instead of a two-thirds majority.
The lawsuit serves as a reminder that Mast’s controversial buyout of the property, which began in 2021, is still not completed even as construction of Mast’s project next door continues.
What we’re thinking about: Have you been affected by a slowdown in commercial real estate deals in South Florida? Send me a note at [email protected].
CLOSING TIME
Residential: A waterfront mansion at 870 South Ocean Boulevard in Palm Beach for $37.1 million. The seller was telecommunications mogul Kevin Douglas and his wife, Michelle, and the buyer was an LLC.
Commercial: Reuben Brothers and Crown Onyx purchased The Esplanade, a luxury shopping center at 150 Worth Avenue in Palm Beach, for $200 million. The seller was an affiliate of O’Connor Capital Partners, which acquired the property in 2014 for $106 million.
— Research by Mary Diduch
NEW TO THE MARKET
Blink Charging founder Michael Farkas listed his waterfront lot at 5005 Lakeview Drive in Miami Beach for $28.8 million. The 1-acre lot includes a 5,800-square-foot home that was built in 1932, a tennis court, pool and dock. It’s being marketed as a teardown. The property is listed with the Corcoran Group’s Julian Johnston and Jonathan Lifschutz.
A thing we’ve learned
Douglas Elliman is heading to sea. The brokerage launched its yachting division, timed around the Palm Beach International Boat Show. Elliman Yachts is working with Royal Yacht International, a third-party brokerage, on the new venture.
Elsewhere in Florida
- Tiger Woods was in a rollover crash on Jupiter Island, where the professional golfer lives, on Friday afternoon, according to the Palm Beach Post. He was arrested on suspicion of driving under the influence in a crash that occurred in the 200 block of Beach Road.
- A group of astronauts arrived at Kennedy Space Center to prepare for NASA’s Artemis II moon mission, with a liftoff targeted as soon as Wednesday. If successful, it will mark the first crewed lunar mission since 1972, AP reports.
- Emily Gregory won a special election for a Florida House seat that includes Mar-a-Lago, defeating Trump-endorsed Jon Maples and flipping the district after Mike Caruso resigned to become Palm Beach County clerk.
