Financing Secured: The $463 Million Push to Complete St. Regis Residences in Sunny Isles Beach

In a significant move that underscores the enduring strength of South Florida’s ultra-luxury real estate market, development heavyweights Fortune International Group and Château Group have finalized a massive $463 million construction debt package. The financing, provided by the New York-based private equity firm Madison Realty Capital, is earmarked for the completion of the prestigious St. Regis Residences in Sunny Isles Beach.

This capital infusion represents a pivotal milestone for the dual-skyscraper oceanfront project, effectively refinancing existing obligations while providing the necessary runway to finalize the development’s South Tower. As Miami’s coastal corridor continues to attract high-net-worth individuals, the St. Regis brand—synonymous with global luxury and white-glove service—stands as a bellwether for the region’s continued evolution.

The Financial Architecture: Refinancing and Growth

The $463 million facility from Madison Realty Capital serves as a multi-purpose financial instrument. Primarily, it replaces the existing debt previously held by Bank OZK. Bank OZK had been a critical partner since early 2024, having extended $418 million in capital to kickstart the project. By transitioning the debt to Madison Realty Capital, the developers have secured the liquidity required to push the South Tower toward its projected 2028 completion date.

The complexity of the deal was navigated by a high-profile team from the brokerage firm Berkadia. The arrangement was spearheaded by Scott Wadler, Michael Basinski, Mitch Sinberg, Matt Robbins, Brad Williamson, and Matthew Monahemi. Their involvement highlights the sophistication required to close nine-figure deals in an environment where construction costs and interest rates remain top-of-mind for institutional lenders.

Chronology of a Landmark Development

The St. Regis Residences at 18801 Collins Avenue is not merely a construction project; it is the culmination of years of strategic planning and market positioning.

• 2023: The project officially breaks ground, signaling the start of a massive transformation for the Sunny Isles oceanfront.
• Early 2024: Bank OZK provides the initial $418 million in construction financing, allowing the developers to move from site preparation to vertical construction.
• Early 2026: The developers secure a separate $114 million loan from City National Bank of Florida, specifically designated for the pre-development and initial work phases of the project’s North Tower.
• Late 2026/Early 2027: The deal with Madison Realty Capital is finalized, providing the definitive capital to bring the South Tower to fruition.

The phased approach—separating the financing for the North and South Towers—demonstrates a prudent financial strategy that allows the developers to manage risk while maintaining a consistent construction schedule.

Supporting Data: Sales Velocity and Market Demand

The success of the St. Regis Residences is best measured by its pre-construction sales performance. According to representatives for the sponsors, 80 percent of the units in the South Tower have already been sold. This absorption rate has generated over $1.6 billion in gross revenue, a figure that serves as a powerful testament to the insatiable appetite for branded luxury residences in South Florida.

The South Tower is slated to house 170 individual residences, each designed to meet the rigorous standards of the St. Regis hotel brand. By the time the tower is completed in 2028, the developers expect to have fully capitalized on the market’s current trajectory. The North Tower, while currently in an earlier stage of development, is planned for 150 units, further expanding the project’s footprint in one of Florida’s most exclusive zip codes.

Official Perspectives: The Lender’s Conviction

For Madison Realty Capital, this transaction is part of a broader strategy of aggressive investment in the Miami luxury sector. Josh Zegen, co-founder and managing principal of Madison Realty Capital, provided a rare window into the lender’s rationale during the deal’s announcement.

"This transaction reflects our conviction in the Sunny Isles Beach submarket," Zegen stated. "Demand at the top of the market is increasingly concentrated in projects that pair oceanfront scarcity with the service and amenities of a five-star hotel."

Zegen’s comments align with a broader trend in luxury real estate where the "branded residence"—a property that leverages the prestige of a hotel flag (like St. Regis, Ritz-Carlton, or Four Seasons)—consistently outperforms generic luxury inventory. The value proposition is clear: buyers are not just purchasing square footage; they are purchasing a lifestyle backed by the operational expertise of a globally recognized hospitality brand.

The Broader Context: Sunny Isles as a Luxury Epicenter

The St. Regis development is not an isolated success story. It is part of a larger wave of high-end vertical growth in Sunny Isles Beach. Madison Realty Capital, for instance, is no stranger to this specific geography. Last year, the firm provided $630 million to developer Gil Dezer for the Bentley-branded condo skyscraper—the largest construction loan issued for a luxury condominium project in South Florida in 2026.

These massive injections of capital reveal a recurring theme: institutional lenders are confident in the long-term value of Miami’s oceanfront real estate. Despite the fluctuations in the national economy, the "flight to quality" remains a driving force for investors. Sunny Isles Beach has effectively transitioned from a tourist destination to a permanent enclave for the global elite, and the infrastructure supporting this transition is now robust enough to sustain projects exceeding $500 million in debt.

Economic Implications and Future Outlook

The implications of this financing deal are twofold.

First, for the local economy, the construction of the St. Regis represents a significant source of employment and economic stimulation. Beyond the immediate construction jobs, the project will require a permanent staff of hospitality professionals once the towers are fully operational, creating a sustainable ecosystem of service-oriented roles.

Second, for the real estate industry, this deal sets a benchmark for luxury financing. By successfully navigating the complexities of a multi-tower, multi-lender environment, Fortune International Group and Château Group have proven that the Miami luxury condo market is still highly investable. The reliance on presales to justify construction financing—a hallmark of the Florida model—continues to be the bedrock upon which these skyscrapers rise.

As we look toward 2028, the completion of the South Tower will likely serve as a turning point for the Sunny Isles skyline. If the current presale velocity is any indicator, the project will be fully absorbed long before the final finishes are installed. This not only mitigates risk for the developers but also provides a clear signal to other market participants that the appetite for ultra-luxury remains as strong as ever.

In summary, the $463 million deal is more than a simple loan; it is an endorsement of the St. Regis brand and a vote of confidence in the enduring appeal of the South Florida coastline. As the cranes continue to rotate above Collins Avenue, the project stands as a monument to the resilience and ambition of the Miami real estate market.

With the financial pieces now firmly in place, the path toward the 2028 completion is clear, cementing the St. Regis Residences’ place as a future icon of the Sunny Isles Beach horizon.