Terra secured a $183.8 million loan from Monroe Capital to refinance the office portion of the Well, a newly completed development in Bay Harbor Islands, Florida, Commercial Observer reported. The four-story Class A office building at 1177 Kane Concourse spans 96,000 square feet and was completed this summer.
The financing replaces a $238 million loan issued last year by Eldridge Capital Management and Hudson Bay. A Walker and Dunlop team consisting of Keith Kurland, Aaron Appel, Jonathan Schwartz, Adam Schwartz, Dustin Stolly, Sean Reimer, and Jordan Casella represented the borrower in arranging the refinancing.
What happened
The newly refinanced office building is 90 percent leased. Tenants include Dwight Capital, NewCo Capital Group, Legacy Wealth Advisors, and TEB Capital Management, the family office of Tom Brady, which signed an 8,145-square-foot lease. Property amenities include a gym, a spa, health coaching, and concierge services.
Terra, led by David Martin, acquired the 1.8-acre site in 2021 for $31.6 million and secured a $141 million construction loan from Mack Real Estate Credit Strategies a year later. In addition to the office building, the Well features an eight-story building with 65 condominium units. Nearby competition includes a 126,000-square-foot office project by Landau Properties and Taubco, which secured a $74 million construction loan in 2024, Commercial Observer noted.
What it changes for a closing
Refinancing the commercial portion of a mixed-use development requires careful parcel separation during closing. Title officers and legal counsel must confirm that Monroe Capital's $183.8 million mortgage attaches to the 96,000-square-foot office asset without encumbering the separate eight-story building containing 65 condominium units.
Closing mechanics also center on debt takeout operations. Counsel must coordinate with Eldridge Capital Management and Hudson Bay to obtain payoff letters and secure mortgage releases for the prior $238 million loan. With the building 90 percent leased, settlement teams must also process tenant documentation. Incoming lenders require executed estoppel certificates and subordination agreements from commercial occupants, including TEB Capital Management, before loan funds can be released.