Miami — Holliday Fenoglio Fowler, L.P. (HFF) has arranged $550 million in financing for the expansion of the iconic Bal Harbour Shops, a 463,114-square-foot, open-air, luxury shopping destination anchored by Saks Fifth Avenue and Neiman Marcus along Miami Beach in Bal Harbour, Fla. The loan, borrowed by Whitman Family Development, is one of the largest construction loans ever to close in Miami.
Loan proceeds will be used to retire an existing loan and expand Bal Harbour Shops by an additional 300,000 square feet, including a 57,414-square-foot space to be occupied by Barneys New York, which will be Barneys’ only flagship store in the southeastern United States. A three-story promenade will be added to connect Barneys to the existing palm tree-lined promenade. A new grand entrance at the northeast quadrant of the property will be added along with an expansion of the Neiman Marcus space by 20,000 square feet.
“The loan marks the official launch of the Bal Harbour Shops expansion and represents the growth and strength of Miami’s retail real estate market,” says Chris Drew, senior managing director of HFF. “As the climate shifts for many traditional retail centers across the U.S., Bal Harbour Shops maintains its position as the most successful, high-end shopping destination in Florida and one of the most productive in the world. The Shops continues to experience intense demand from both existing tenants and retailers that have been waiting years to join its roster, and we are excited that this loan will allow [the] expansion plan to come to fruition.”
Bal Harbour Shops has operated at 100% occupancy for several decades with a waiting list. In addition to the anchor tenants, the Shops is home to more than 100 of the most sought-after global, high-fashion boutiques and brands, including Chanel, Gucci, Van Cleef & Arpels, Tiffany & Co., Salvatore Ferragamo and Valentino. The destination also boasts the highest concentration of restaurants in Bal Harbour.
Situated at 9700 Collins Avenue on 17.42 acres in an exclusive oceanfront community located between the Atlantic Ocean and the Intracoastal Waterway, Bal Harbour Shops was completed in 1965 as the first all-luxury fashion shopping center and has been meticulously maintained throughout the years. The Shops is within 1 mile of numerous five-star hotels, including The St. Regis Bal Harbour, the Ritz Carlton Bal Harbour and The Four Seasons Hotel at the Surf Club.
Whitman Family Development is a family-owned, diversified real estate development, management and leasing company specializing in retail and headquartered in Miami Beach. Among other interests, Whitman Family Development is the developer, owner and operator of Bal Harbour Shops, ranked the world’s No. 1 shopping center by the International Council of Shopping Centers. For more information, visit www.whitmanfamilydevelopment.com.
SOURCE: Holliday Fenoglio Fowler, L.P. (HFF)