Lerner Acquires Miami Tower for $114M

Motion at Dadeland. Image courtesy of the Adler Group, 13th Floor Investments and Barings LLC

Looking to build up a portfolio of South Florida communities, Lerner Enterprises has acquired a 294-unit high-rise community in Miami. The company purchased Motion at Dadeland from a joint venture led by Adler Group and 13th Floor Investments, in partnership with Barings LLC, for $114 million. Lerner also received an undisclosed amount of financing from capital managed by KKR for the acquisition.

The Class A market-rate community opened in April 2019 after breaking ground in October 2016. The joint venture built Motion at Dadeland with studio, one-, two- and three-bedroom units that range in size from 429 to 1,434 square feet.

Units were built with Bluetooth door locks, soundproof windows, and washer and dryer units while some units have balconies, modular closets and light dimmers. The 25-story community’s amenities include a business center, fitness center, pool, social club, media room, dog wash, electric car charging stations and bike storage. According to the joint venture, the community is 99 percent leased.

Motion at Dadeland was also built with 8,246 square feet of retail space, which will include a preschool that is slated to open in the fourth quarter. Located at 8400 S. Dixie Highway, the transit-oriented community is also adjacent to the Dadeland North Metrorail Station in Miami that connects residents to the University of Miami and downtown.

Newmark’s Avery Klann from the South Florida office led the team that exclusively represented the joint venture. JLL’s Rob Carey and Ted Taylor alongside Newmark’s Kassi Saridakis and Matt Williams advised Lerner on the deal.

BREAKING INTO FLORIDA’S MULTIFAMILY MARKET

Motion at Dadeland interior. Image courtesy of the Adler Group, 13th Floor Investments and Barings LLC

Michael Cohen, vice president of investments at Lerner, said in prepared remarks that the company is aggressively pursuing more multifamily assets across Florida, primarily in Palm Beach, Broward and Miami-Dade counties. Cohen added in his prepared statement that the Motion at Dadeland acquisition was also the first time Lerner worked with KKR as a lender.

Lerner’s multifamily portfolio includes luxury communities in Maryland and Virginia but the company is also working on several mixed-use projects in the Washington, D.C., metro area. Lerner also recently secured a $26 million refinancing for its 66-unit townhome community in Dulles, Va.