Developer of Gale Residences Fort Lauderdale Beach Secures $35.6 Million Construction Loan
August 1, 2016
Newgard Development Group to hold formal groundbreaking event for luxury project on Aug. 17
FORT LAUDERDALE BEACH, Fla. – (Aug. 3, 2016) –South Florida developer Newgard Development Group has obtained a $35.6 million construction loan from Dallas-based HALL Structured Finance for the Gale Residences Fort Lauderdale Beach, a luxury residential condominium project that offers a convergence of quality, value and location.
Newgard closed on the construction financing on Tuesday, Aug. 2. The lender, HALL Structured Finance, is an entrepreneurial, value-add direct private lender to the real estate industry, specializing in providing capital for ground up construction, adaptive reuse and major asset repositioning and renovations for commercial real estate projects throughout the U.S.
“It has been a pleasure to work with HALL Structured Finance to make this loan closure possible,” said Newgard chairman and CEO Harvey Hernandez. “We’re grateful to have partners that recognize the Gale Residences is a one-of-a-kind project in a Fort Lauderdale Beach area that is becoming a premier residential and hospitality destination along Florida’s coast. The Gale is uniquely positioned in the heart of the city’s emerging North Beach Village neighborhood.”
“We were immediately attracted to The Gale Residences opportunity based on the high quality of the project and its excellent location one block from the beach overlooking the Intracoastal Waterway in Fort Lauderdale,” said Mike Jaynes, president of HALL Structured Finance. “This property will offer all of the advantages of a luxury condominium tower at a favorable price point, and we believe it will be very successful in the South Florida market.”
Miami-based Aztec Group sourced the financing. Specific loan terms were not disclosed.
Demolition and site work for the 129-residence project began in April. G.T. McDonald is the project’s general contractor.
Newgard has also finalized plans for a formal groundbreaking ceremony at the 401 Bayshore Drive project site. The event is scheduled for Wednesday, Aug. 17. Fort Lauderdale Mayor Jack Seiler and Vice Mayor Dean Trantalis are among the distinguished guests slated to attend the ceremony.
The 12-story building’s one, two and three-bedroom residences range from 800 to 2,100 square feet. Prices start in the $500,000s. The Gale Residences offers flexible living – an opportunity for owners to live in their residences full time or rent them, either through a special rental program provided by the adjacent Gale Hotel or directly.
Sales have been brisk since the launch of the Gale Residences in March 2015, when the sales center opened on Las Olas Boulevard. Through the end of July 2016, the project is 70 percent sold. It is attracting a mix of domestic and international buyers.
ONE Sotheby’s International Realty is handling sales at the Gale Residences. Architectural firm Garcia Stromberg designed the residential building, while Miami Beach design firm Urban Robot Associates is the project’s interior designer.