Turkish developer Okan Group has secured $200 million in Commercial Property Assessed Clean Energy (C-PACE) financing for its Hilton-branded condo-hotel tower, currently under construction in downtown Miami. The loan was provided by Bayview PACE, a lender based in Coral Gables.
C-PACE is a program that supports the use of energy-efficient and sustainable materials and design in commercial real estate projects. Bayview PACE has recently been active in this sector, including a $180 million C-PACE loan for North Development’s Domus Brickell Center.
The Okan Tower, located at 555 North Miami Avenue, is planned as a 70-story mixed-use high-rise and has reached the 40th floor of construction. Once finished, the building will stand 903 feet tall with completion expected in 2028. It will feature a 316-key Hilton hotel, 236 condo-hotel units managed by Hilton, 163 condos, more than 80,000 square feet of amenities space, and 56,000 square feet dedicated to offices.
Sales for the project are being led by Michael Sadov from Fortune Development Sales. Last fall, the developer announced eligibility to raise EB-5 funds for the project.
The tower will also include a parking garage with space for 429 vehicles. The architectural firm Behar Font & Partners designed the building. This marks Okan Group’s first development in the United States; previously their activities have included holdings across sectors such as healthcare, finance, food production, textiles, tourism, energy, education and real estate through their general contractor arm Okan Construction.
Okan Group has financed construction internally up until now. Work on the project was paused in 2020 due to pandemic-related issues but resumed sales efforts in the following year. An affiliate of Okan acquired the nearly one-acre site for $18.1 million in 2017. The location is near other recent developments like Crosby at Miami Worldcenter and Downtown 6th by Melo Group.
In recent months there has been an increase in large loans that include C-PACE financing among multifamily and condo developers in Miami. In November Naftali closed on $465 million of financing—including $235 million from Nuveen Green Capital via C-PACE—for its JEM Private Residences at Miami Worldcenter alongside traditional loans from BHI (Bank Hapoalim’s U.S. branch).
