Brian Pascus | Commercial Observer
Hines, the global real estate investment manager, and Florida-based Urban Street Development have secured $220 million in construction financing for the first phase of FAT Village, an 835,000-square-foot, master-planned, mixed-use development in Fort Lauderdale, Fla., Commercial Observer has learned.
Bank OZK (OZK) provided the loan. Hines and Urban Street Development, a local real estate firm, are joined by investment partners Cresset Partners Real Estate, Hudson Capital and Halmos Holdings on the FAT (food, art and technology) Village project.
Alan Kennedy, managing director at Hines, thanked Bank OZK for making yet another construction loan, and noted the difficult financing climate that’s plagued so many developers and originators in 2023.
“At a time when financing and construction starts have materially slowed, it’s gratifying to be in a position to move forward on FAT Village, which we believe will be a transformational development for Flagler Village and Fort Lauderdale,” said Kennedy in a statement. “This milestone is a reflection of the strength of our business plan, as well as confidence from Bank OZK in our ability to execute.”
Construction financing will go toward completing Phase 1 of the development, which is to consist of 601 multifamily units, 180,000 square feet of office space, and 70,000 square feet of multipurpose retail. The office space architecture and construction makeup is proprietary to Hines and will mirror the firm’s heavy timber T3 (timber, transit and technology) office buildings in Austin, Texas, and Minneapolis, Minn.
The retail space is expected to include shopping, restaurants, entertainment venues and art studios.
