We specialize in recognizing the potential in underperforming assets and applying the necessary resources to unlock their value. We trust the skills and experience of our team and strategic partners, and know our financial strength will allow us to carry an asset through development, redevelopment or repositioning.
New River Yacht Club, Fort Lauderdale, FL
Located directly on the New River in downtown Fort Lauderdale, the New River Yacht Club presented an ideal redevelopment opportunity. With our best-in-class partner, the Related Group of Florida, we purchased the parcel and the adjacent marina in 2004. We saw that zoning would allow a significantly higher-density use for the site and we noticed that the character of the neighborhood was improving. The combination of the changing neighborhood and the favorable zoning made the development parcel a perfect acquisition for a patient investor.
Since the property was income producing, we chose to carry the property in its existing condition until the time was right for development. During the market downturn in 2009, we anticipated that once the recession ended, demand would shift from condominiums to high-quality rental apartments. As the economy climbed out of recession, we initiated redevelopment as a luxury apartment building.
When construction started in late 2012, it was the first residential project to break ground in Fort Lauderdale in five years. The leasing phase of the 249-unit New River Yacht Club exceeded projections, both in price per square foot and absorption. After opening the leasing office in March 2014, we reached 95% occupancy by December of the same year – six months ahead of schedule. The following summer, we were able to refinance the stabilized property with Fannie Mae.