A joint-venture is moving full-steam ahead in Fort Lauderdale's marina district to serve as a place to host commercial tenants. The scope of this project is rather large and involves three companies in a joint-venture deal. The companies are based both locally and nationally, and together they hope to bring revenue to the area with their approval for a $16.6 million construction loan. This project came about after the property was re-zoned for commercial use.
Previously, the property had not been zoned for commercial use. A local Fort Lauderdale developer got it properly zoned before selling to the now part-owner in the joint venture. They will begin breaking ground this month, as their construction loan was approved. They are targeting a completion date for the third quarter of next year. The facility plans will feature 32-foot-tall ceilings, rear-dock loading and warehouse space to accommodate tenants of 40,000 square feet and up, according to the release.
Each company involved in the joint-venture has a special role to play. One partner will handle the tenants and the leasing. The other prong will likely be responsible for raising capital and the third is a real estate investing group based in Miami. Together, they will likely bring this project to full scale. There is some concern that the rental markets are likely to near pre-recession levels, which is a good outlook for the commercial real estate venture.
Sometimes it takes not one, not two but three companies to make a commercial real estate deal happen. Each partner has a special role to play. Partnering with other businesses in a commercial real estate deal is not unheard of. However, it takes much discussion and cooperation to get a deal of this scale done. Each much consider the needs and desires of both their own businesses and the others involved in the deal.
Source: therealdeal.com, "Joint venture scores construction loan for Bridge Point Riverbend in Fort Lauderdale," September 25, 2017