HFF secures £440m loan for expansion of Bal Harbour Shops retail destination in US
July 11, 2019 – Holliday Fenoglio Fowler (HFF) has secured $550m (£439.2m) in financing for the expansion of the luxury retail destination Bal Harbour Shops in Florida, US.
The 463,114ft², open-air, fully leased, global, luxury shopping destination, the Bal Harbour Shops, is anchored by Saks Fifth Avenue and Neiman Marcus along Miami Beach in Bal Harbour, Florida.
The loan, which HFF worked on behalf of the borrower Whitman Family Development, is said to be one of the largest construction loans ever to close in Miami.
It will be used to retire an existing loan and expand Bal Harbour Shops by an additional 300,000ft², of which 57,414ft² space will be occupied by Barneys New York.
Additionally, a three-storey promenade will be added to connect Barneys to the existing palm tree-lined promenade.
The loan will also be used to add a new grand entrance at the northeast quadrant of the property and for 20,000ft² space expansion of the Neiman Marcus.
HFF senior managing director Chris Drew said: “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.
“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 Whitman Family Development’s expansion plan to come to fruition.”
The loan has been provided by MetLife Investment Management, the institutional asset management business for New York-based MetLife.
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 is home to more than 100 of global, high-fashion boutiques and brands.
The Bal Harbour Shops was completed in 1965 as the first all-luxury fashion shopping centre.