Penn-Florida Secures $335M Financing for Mixed-Use Project
The loans mark a milestone in this major Boca Raton development.
Penn-Florida has secured $335 million in financing for separate portions of its three-phase mixed-use development in Boca Raton, Fla.
The financing came in two loans, a $195 million senior loan provided by Blackstone Mortgage Trust Inc. for the luxury community part of the Via Mizner development and a $140 million refinancing loan provided by Romspen Investment Corp. for the Mandarin Oriental Hotel and the Via Mizner Golf & City Club.
Blackstone’s loan will go towards 101 Via Mizner, the high-rise community that was the first phase of the mixed-use development. The community offers 366 units in studio, one-, two- and three-bedroom floorplans that range in size from 628 to 2,150 square feet. The units were built with private terraces, hurricane-impact windows, in-unit washers and dryers, keyless entry and smart home tech.
The community’s amenities include a clubroom, cyber cafe, pool, sundeck, lounge, fitness center, car wash, laundry services, bike storage and valet parking. According to Penn-Florida, 101 Via Mizner is now fully leased with a waitlist for future occupancy.
The Romspen loan will be used to refinance The Mandarin Oriental Hotel that started construction in 2020. The hotel also includes The Residences at Mandarin Oriental that includes 86 private condominium homes in one- to six-bedroom residences. Residents get access to exclusive amenities in the luxury tower as well as the 164-key hotel’s amenities through a sky bridge connection between the hotel and the condo sections.
The Romspen loan also refinances the Mizner Golf & City Club, a private club that offers a members-only dining and social lounge located inside the hotel and access to an off-site golf course located three miles west.
David Warne, COO of Penn-Florida, said in prepared remarks that the loans allow the company to significantly reduce the cost of capital for the project, with the first phase of the project reaching 100 percent occupancy and the hotel portion nearing completion.
FINAL PHASES FOR VIA MIZNER
The two loans for Penn-Florida mark the developer’s latest steps in completing the Via Mizner mixed-use project that spanned three phases.
Mark Gensheimer, CEO of Penn-Florida, said in prepared remarks that the project will bring more attention to the downtown Boca Raton market that offers an attractive live-work-play environment.
With 101 Via Mizner fully leased and the first phase of Via Mizner completed, Penn-Florida is currently working on the second phase, which centers around the Mandarin Oriental Hotel, and the third phase that focuses on the Residences at the Mandarin Oriental. The third and final phase of the Via Mizner project received a $225 million construction loan in July 2019. Both the second and third phases are expected to be complete in late 2022.