After Surfside settlement, Terra begins mixed-use project near Miami airport

Dive Brief:

• South Florida-based real estate development company Terra secured a $230 million loan to construct the first phase of CentroCity — a mixed-use development near Miami International Airport, according to Commercial Observer.
• Terra landed the loan four months after it settled with the relatives of victims and survivors of the June 2021 Surfside, Florida, condo collapse, according to The Tampa Bay Times. The Champlain Towers condominium collapse killed 98 people. Terra and general contractor John Moriarty and Associates were among the last defendants to settle with plaintiffs, who received nearly $1 billion. 
• Terra developed the 18-story Eighty Seven Park condominium, which sat next to Champlain Towers South. A class-action complaint updated last November alleged that the towers were “badly damaged and destabilized” because of excavation and construction at the Eighty Seven Park condominium, according to court documents.

Dive Insight:

Apollo Global Management, along with Mack Real Estate Credit Strategies, funded the first phase of the development at CentroCity, which is already under construction. Expected to be completed in 2024, it will include approximately 350,000 square feet for retail, a charter school and three eight-story multifamily buildings, totaling 470 rental units

“Centro City is a mixed-use development that will revitalize under-utilized space in West Little Havana with much-needed residential, retail and a charter school,” Terra said on its website.

Commercial Observer reported that Terra paid about $29 million for a stake in the 38-acre site between Miami’s main airport and Little Havana. When complete, the entire CentroCity development will have 1,200 market-rate apartments, the school, an office building and a revitalized shopping center with 300,000 square feet of retail and restaurant space anchored by a 77,000-square-foot Target store, according to the company’s website.

Since its founding by David Martin and his father, Pedro Martin, in 2001, Terra has amassed a portfolio of more than 5 million square feet of residential and commercial real estate valued in excess of $8 billion. It has holdings in multifamily apartments, luxury condominiums, single-family residences, retail and office space, hospitality and industrial, according to the company’s website.

In addition to the airport project and Eighty Seven Park, Terra, along with partner Apollo Global Management, has proposed to redevelop downtown Miami’s College Station Garage with two 52-story towers. The project is slated to include 856 residential units, 1,533 parking spaces, 181,546 square feet of office and 16,249 square feet of retail.

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