Dealmaker: MetLife Investment Management Loans $90M for Retail, Multifamily

MetLife Investment Management, New York, originated $46.9 million for Downtown Dadeland, a seven-acre urban retail development in Miami.

Berkadia Senior Director Brad Williamson and Senior Managing Director Mitch Sinberg arranged the loan for Midtown Capital Partners, Miami. MetLife Vice President of Global Strategic Sourcing Brian Kelly represented MetLife Investment Management.

The Real Deal Miami reported Midtown Capital Partners paid $78.2 million to Pebb Capital and Duncan Hillsley Capital for the asset. Midtown has deployed more than $230 million in south Florida over the past 18 months, acquiring both office and retail institutional-quality assets.

Located at the intersection of East Kendall, Pinecrest and South Miami, the subject property includes 126,000 square feet of ground-floor retail space and 416 condominium units. The retail portion of the property was 97 percent leased at closing.

MetLife Investment Management originated an initial $44.57 million loan with a $2.4 million earnout. The 10-year loan included five years of interest-only payments and no prepayment premium after seven years.

“Downtown Dadeland is the urban/suburban hub for southern Miami Dade County, with a large, affluent population located within a five-mile radius,” said Midtown Capital Partners Managing Member Alejandro Velez. He noted the submarket’s retail market vacancy rate of 2.6 percent compared to Miami’s 3.8 percent rate.

Built in 2008 and renovated in 2015, Downtown Dadeland is in a special zoning district established in 1999 to promote density at the convergence of road and transit infrastructure. Its location is across the street from Dadeland Mall, one of top-performing malls in the U.S. with more than 18 million shoppers annually.

MetLife Investment Management also lent $43 million secured by Avalon Kirkland apartments, a garden-style property in the Carillon Point area of Kirkland, Wash. MetLife Investment Management Commercial Mortgage Production Associate Chris Rothering originated the five-year loan.

Security Properties and Rockwood Capital purchased the 131-unit property for $85 million.

Avalon Kirkland apartments was built in two phases in 1968 and 1989-90 and includes some of the largest units in the area, averaging 1,345 square feet.