The developer of the Met 1, downtown Miami condos, acquired a $3.9 million mortgage from a contractor who just withdrew a lawsuit against the developer over unpaid bills.
In September, the developer of the 447-unit project, Bovis Lend Lease filed a $6.9 million construction lien against MDM downtown Miami condos. In August, the contractor filed a lawsuit, asking to foreclose on the property based on that lien. As it sold individual units, Bovis released MDM Residences from part of the liens.
Bovis voluntarily release its foreclosure complaint and signed a $3.9 million second mortgage with MDM Residences, on November 25. That loan is secondary to the developer’s first mortgage.
A modification of MDM’s downtown Miami condos first mortgage with Bank of America, KeyBank, National City Bank, and Regions Bank also was recorded in Miami-Dade County Circuit Court in late November. In 2005 that loan was made for $110.7, but the public terms of the modification agreement did not offer many details.
Officials for the Miami real estate properties could not immediately be reached for comment.
In addition to the downtown Miami condos, the building is home to a 24 Hour Fitness in partnership with NBA star Shaquille O’Neal and the developer is constructing an office building next door.
Met 1 has sold just 171 of its 447 units since opening sales in May 2008, according to research by Bal Harbour-based Condo Vultures Realty. The $59.4 million in proceeds are equivalent to about $416 a square foot. With prices ranging from $333 to $384 a square foot, the developer has sold just five units since July 1.
Condo Vultures principal Peter Zalewski said that the Miami real estate property, Met1, hasn't brought down its prices or applied for Federal Housing Administration loan approval like some nearby buildings. He also added that the recent mortgage agreements with BofA and Bovis must mean that the lenders have confidence in the developer.
Contributed by MLR Realty