172-unit Domus FLATS at Brickell Park represents debut of new condo-hotel brand

MIAMI and PALM BEACH, FL – (April 8, 2024) – Forman Capital, a private direct real estate lender based in Palm Beach County, Florida, provided a $54.56 million construction loan to the developer of a condominium-hotel project in Miami’s Brickell Financial District. The 12-story, 172-unit Domus FLATS (Flexible Apartments for Temporary Stays) at Brickell Park will bring a new condo-hotel brand to the market and fill a void for flexible ownership product.

Located at 1611 SW Second Ave., Domus FLATS is being developed by North Development, a joint venture that includes Ricardo Dunin’s Oak Capital and Edifica, one of the largest developers and builders in Peru. More than 50% of the project’s residential units were presold in advance of its groundbreaking. Domus FLATS also includes a commercial suite on the ground floor and 22 for-sale storage units.

The financing closed on March 22. Ben Jacobson, Scott Mehlman and Ty Regnier originated the loan on behalf of Forman Capital.

This is the first transaction between the sponsors and Forman Capital.

“We are thrilled to commence what we hope will be a long-term relationship with these strong sponsors,” said Forman Capital Partner Ben Jacobson. “Domus FLATS at Brickell Park is introducing a new and exciting brand to the Miami market. Forman Capital is uniquely suited to execute quickly on construction financing transactions for such developments.”

“Working side-by-side with Forman Capital’s team of professionals was seamless,” said Ricardo Dunin, Founding Partner of North Development.  “Through every step of the process, they were thorough and fully engaged, supporting our specified needs.  This latest feat, coinciding with our groundbreaking, is a testament to the confidence the market has in our Domus Brickell Park project and, by extension, the Domus FLATS brand.”

Domus FLATS will be the first project to carry the Domus flag. Units can function as primary residences or short-term rentals, giving buyers coveted flexibility. All units will be delivered fully furnished, and buyers who elect to rent their units can utilize the Domus property management services and reservation system – with access to more than 85 sales channels.

Unit prices range from the $500,000s to $1.2 million.

“This transaction highlights the breadth of our capabilities due to its complexity and the international nature of the sponsorship and capital stack,” said Scott Mehlman, Forman Capital Chief Investment Officer. “We are excited to be a part of this new brand in South Florida and look forward to helping it grow in the future.”

About Forman Capital:

Palm Beach-based Forman Capital is a provider of private commercial real estate debt and equity financing for transactions ranging from $5 million to $100 million.  The firm focuses on short-term construction financing, mezzanine debt, and preferred equity across various real estate asset classes and geographies. Company principals Brett Forman and Ben Jacobson have closed more than $2.8 billion in commercial real estate transactions since 2004. For more information, visit www.formancap.com.

97-unit project to be developed within 330-acre Seascape Resort in popular beach town

MIRAMAR BEACH, FL/PALM BEACH, FL/ATLANTA, GA – (Nov. 14, 2023) – Forman Capital, a private direct real estate lender based in Palm Beach County, Florida, is financing the construction of a new luxury condominium project in Miramar Beach, Florida – near Destin in the state’s panhandle region. The company provided a $38.5 million construction loan to the developer of the 97-unit Grove at Seascape Resort in the popular beach town.

Osborn Investments plans to develop the Grove on a vacant 11-acre site within the 330-acre Seascape Resort community. The project will include one, two, three and four-bedroom condominium residences ranging from 955 to 2,394 square feet. Amenities include a family pool with a lazy river feature, seven private cabanas and multiple pool pavilions; walking path; terrace seating; fire pit; outdoor workout area; playground; green space and surrounding gate with digital access.

Nearly 90% of the condos are already presold. The Grove at Seascape Resort is the first of a multi-phase high-end condo community and comprises three buildings.

The financing transaction closed on Nov. 3. Forman Capital Principal Ben Jacobson and Chief Investment Officer Scott Mehlman originated the deal, which is the first with this borrower.

“We are thrilled to complete this transaction and look forward to many more with the sponsor,” Jacobson said. “The luxurious nature of the condo project and its location within a vibrant, bustling resort destination appealed to us. We are targeting similar opportunities in secondary and tertiary markets across the Sun Belt.”

The borrower has owned the broader Seascape Resort area since 1983 and steadily developed it into a full-scale resort where residential owners and guests have everything they need on the barrier island. The resort community has 1,402 existing units and a water park, private beach, a full-service and two quick-service restaurants, concert venue, eight swimming pools, boatyard, tennis courts, basketball court and much more.

Miramar Beach is just nine miles east of Destin.

“The Grove at Seascape Resort is a highly anticipated luxury condo project, as evidenced by the significant presale activity,” Mehlman said. “Tourists from other parts of the country and world who spend time in Miramar Beach often end up becoming seasonal residents. This development accommodates the pent-up demand from those individuals and families.”

Forman Capital has completed nearly $120 million in transactions in the past six months, with a robust pipeline of pending deals.

“As traditional lenders remain on the sidelines, Forman Capital is stepping in to fund strong developments in the right markets,” Forman Capital Principal Brett Forman said. “We continue to provide customized debt and preferred equity solutions to strong developers and expect to have an extremely busy 2024 based on the demand we are already seeing from borrowers.”  

About Forman Capital:

Forman Capital is a provider of private commercial real estate debt and equity financing for transactions ranging from $5 million to $100 million.  The firm focuses on short-term construction financing, mezzanine debt, and preferred equity across a variety of real estate asset classes and geographies. The principals, Brett Forman and Ben Jacobson, have closed more than $2.6 billion in commercial real estate transactions since 2004. 

For more information, visit www.formancap.com.

Lissette Calderon’s Neology Life Development Group is planning a transformative phased mixed-use project near Miami International Airport

Forman Capital, a creative and entrepreneurial direct lender based in South Florida owned by veteran real estate financing professionals Brett Forman and Ben Jacobson, has acquired a $24.1 million fully performing loan secured by a 7.3-acre development site at 2301 NW 33rd Ave. in Miami, Florida.

The transaction closed on April 25 and Forman is actively pursuing similar opportunities to purchase and finance existing notes – in addition to providing short and medium-term construction financing - and has a robust pipeline of pending deals. 

In September 2022, TCG PL33 LLC, an affiliate of Miami-based Neology Life Development Group, led by Lissette Calderon, acquired the property for $32.1 million with the loan supplied by Hermitage Palmer Land LLC. Neology plans a significant mixed-use development with much-needed attainable housing and commercial space over three phases. The site is zoned for up to 1,800 residential units. 

“This was a great opportunity to acquire a fully performing loan with a high-quality relationship borrower,” said Jacobson. “It also puts us in the best possible position to hopefully finance the project’s future construction. We are thrilled to expand our long-term relationship with a best-in-class developer, Lissette Calderon, and support another one of her world-class projects in an emerging area of Miami.”

Charles Foschini, a senior managing director at Berkadia arranged the transaction.  Forman Capital financed the loan with all equity and closed in just 30 days.

Forman Capital provides short and medium-term construction financing, mezzanine debt, preferred equity, and joint venture equity across a variety of real estate asset classes and geographies. From 2016 to the end of 2022, Forman was a 50/50 partner in a joint venture with a Canadian asset manager where his team originated and managed $2.2 billion in commercial real estate transactions.  The company currently has $75 million in pending deals set to close over the next 60 days.

“While short-term construction financing has been our primary focus over the past several years, we also see an opportunity to beef up our balance sheet by buying existing loans,” said Forman. “We are well funded and have the ability to be flexible and close quickly.”

In 2021, Jacobson and Forman originated a $78.2 million construction loan for Neology to finance construction of a 14-story rental tower in the Miami neighborhood of Allapattah.    

“We appreciate our continued partnership with Ben, Brett and the Forman Capital team,” Calderon said. “We have a shared passion for enhancing once-overlooked areas of Miami-Dade County through thoughtful and impactful developments.”

About Forman Capital:

Forman Capital is a provider of private commercial real estate debt and equity financing for transactions ranging from $10 million to $100 million.  The firm focuses on short-term construction financing, mezzanine debt, and preferred equity across a variety of real estate asset classes and geographies. The principals, Brett Forman and Ben Jacobson, have closed more than $2.6 billion in commercial real estate transactions since 2004. 

For more information, visit www.formancap.com.