Palm Bay, Florida – November 2022 – The Forum Structured Finance Team at Forum Capital Advisors LLC, a Denver-based real estate investment and asset management firm, announced that they have closed on a $30.5 million whole loan financing the development of a multifamily project located in Palm Bay, FL. The sponsor on the project is a joint venture between Midtown Capital Partners and Prospect Real Estate Group (the developer and contractor), both Florida-based real estate companies.
“Forum is excited to work with Bank OZK for the construction loan on this development located in Palm Bay,” said Taylor King, Director – Investments. “We are thrilled to close another deal in what we believe to be a strong Florida market and to continue our relationship with this trusted financial partner and strong sponsor.”
Once completed, anticipated in 2024, the project should consist of a clubhouse and seven residential buildings made up of 171 multifamily units. The three-story development should include a variety of floor plan types, ranging from 1 to 3-bedroom units. The building will also feature community amenities such as a resort-style pool with an outdoor kitchen, dog park, and ocean views.
The development is located within the Palm Bay-Melbourne-Titusville MSA, known as the “Space Coast” due to the prominent aerospace and defense facilities in the area including SpaceX, NASA, Lockheed Martin, and Blue Origin. Residents will have a 15-minute drive to downtown Melbourne, grocery stores, big box retailers as well as a 17-minute commute to the Melbourne Orlando International Airport.
“The development is led by a vertically integrated sponsor with experience in key markets in Florida and throughout the United States. We believe Palm Bay’s recent population growth, supported by a high-tech and high-wage employment base, continues to create demand for multifamily. This is our second financing for this sponsor, and we believe their team and track record coupled with the strength of the local market should result in a successful project,” said Joe Chickey, Managing Director and Portfolio Manager – Structured Finance.
About Forum Investment Group
Forum Investment Group* is an innovative asset management firm that provides access and expertise to multifamily investments up and down the capital stack and throughout economic cycles. The firm specializes in multifamily acquisitions, developments, real estate debt, and structured finance solutions for owners, operators and developers across the U.S. Since 2007, Forum has built a track record that seeks to generate reliable current income with an attractive risk/return profile. For more information, visit www.forumcapadvisors.com.
About Bank OZK
Bank OZK (Nasdaq: OZK), through its Real Estate Specialties Group (RESG), provides financing on commercial real estate projects throughout the nation. RESG is considered a preeminent, market-leading construction lender focused on senior secured financing for a variety of property types including mixed use, multifamily housing, condominiums, office, hospitality, life sciences, industrial and retail. During the five years ended September 30, 2022, RESG originated approximately $39.33 billion in new loans. For more information, visit www.ozk.com
*References to “Forum Investment Group” or “Forum” refer to Forum Capital Advisors LLC (a registered investment adviser with the U.S. Securities and Exchange Commission that acts as the investment adviser to the Forum fund vehicles) and Forum Real Estate Group, LLC (Forum’s direct real estate investment arm).
Forum Investment Group is a private real estate investment firm primarily comprised of Forum Capital Advisors LLC and FCA Capital Markets LLC, with affiliate entity Forum Real Estate Group LLC. For more information, please visit our website: https://forumcapadvisors.com/
IMPORTANT INFORMATION
This material is provided for informational purposes only and is not intended as and may not be relied on in any manner as legal, tax or investment advice, a recommendation, or as an offer to sell, a solicitation of an offer to purchase or a recommendation of any interest in any fund or security offered by Forum Capital Advisors LLC or its affiliates ("Forum"). Past performance is not indicative of future results. Private market investments are complex, speculative investment vehicles and are not suitable for all investors. An investment in a private market investment entails a high degree of risk and no assurance can be given that any private market investment objectives will be achieved or that investors will receive a return of their capital. The information contained herein is subject to change without prior notice and is also incomplete. This industry information and its importance is an opinion only and should not be relied upon as the only important information available. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed, and Forum assumes no liability for the information provided.
Securities may be offered through Foreside Financial Services LLC, a registered broker-dealer member of FINRA.
Past performance is not a guarantee nor a reliable indicator of future results. As with any investment, there are risks. There is no assurance that any portfolio will achieve its investment objective.
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