Key Largo, FL
Multifamily - DevelopmentJULY 17, 2019
ACRES Capital Corp. (together with its subsidiaries, “ACRES”), a leading commercial real estate middle-market lender, announced that it originated a $74.5 million loan to finance the construction of the Residence Club at Ocean Reef, a 48-unit luxury condominium development located within the Ocean Reef Club in Key Largo, Florida. The loan carries a term of 24 months and is sponsored by locally and nationally renowned developers John Grunow III, John Grunow Jr. and Ronald Terwilliger.
“With this loan, ACRES was attracted by the opportunity to provide financing to highly experienced sponsors with local expertise who are developing a truly unique luxury condominium property,” said ACRES Chief Executive Officer and President Mark Fogel. “Residence Club will be located within the private, gated community of Ocean Reef Club, which occupies 2,500 sprawling acres. The combination of strong sponsorship, limited existing supply and high barriers to entry for further new development within Ocean Reef Club made this a compelling opportunity.”
Located at 1 Golf Village Road, the Residence Club is a luxury condominium community featuring state-of-the-art features engineered for independent, active and carefree living. The new development will comprise three buildings totaling approximately 103,700 saleable square feet, with each building offering one, two, and three-bedroom units. The property features a universal design, with no steps and open floor plans. Additional amenities will include covered parking for cars and golf carts, climate-controlled storage, and access to the Club’s 18,000-square-foot private Concierge Clubhouse. Situated within the Ocean Reef Club, an exclusive community, marina and golf club, residents will have access to premium services and amenities. The sponsors selected ACRES for the financing of this project for its national scope, certainty of execution and proven, efficient process.
Borrowers John Grunow III, John Grunow Jr. and Ronald Terwilliger collectively stated, “The Residence Club Development Team had meetings with numerous financial lenders and we chose ACRES because it not only provided the best economic terms, but demonstrated its dedication to closing the loan quickly on an extremely complex development deal. We look forward to completing more transactions with ACRES in the future.”