CGI Merchant Group LLC recently acquired 55 Miracle Mile, a mixed-used project for $26.75 million. The 65,000-square-foot property located in Coral Gables was previously owned by CF Miracle Mile LLC. The transaction was partially backed by a loan.
CGI is a Miami-based private equity alternative investment manager that has deployed more $40 million capital in acquiring 265,000 square feet of commercial real estate in Florida in the last six months. The group applied to Karlin Real Estate Lending for a $22 million loan to fund the acquisition and lease up of the complex. The latter is the real estate lending branch of Los Angeles-based Karlin Asset Management. Earlier this year the lender already provided CGI and its partner AFIN Developer Group with $11.58 million for the acquisition of a 192,000-square-foot office portfolio in Southeast Florida.
55 Miracle Mile was built by Starwood in 2004 as part of a larger mixed use development that also included 184 apartment units. These were soon converted and sold as condominiums. The property is located in the heart of Coral Gables business district, directly on Miracle Mile, in an area giving home to several international and local corporations. It holds both retail and office space, and according to Marcus & Millichap, some of its tenants are involved in banking, medical and food service industries. It also includes a parking structure that can accommodate 400 cars. The retail component is currently 100 percent leased.
With Karlin Real Estate’s support “CGI was able to build upon its impressive portfolio on Southeast Florida and by acquiring a desirable asset with the potential for significant revenue growth,” according to a statement in a press release from lending managing director Larry Grantham.
He added that “a portion of the loan proceeds will be used for tenant improvements and other capital expenditures in order to improve the existing rent rolls and take advantage of the revenue opportunities that exist with the parking structure.”
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