SLS Residence

Hallandale Beach, FL


Loan Amount


Loan Per Unit



Ground-Up: Construction Financing

Lotus arranged $100 million of ground-up construction financing for the first phase of a 122-acre master-planned resort and residences in Hallandale Beach, FL. Upon closing, Lotus had successfully secured leverage of $400,000 per unit, the 2nd highest leveraged loan for South Florida multifamily.


Our Client acquired the historic Diplomat Golf and Tennis Club in late 2017 with plans to redevelop the site into a multi-phased 5-star resort and luxury residences featuring a Greg Norman Signature Golf Course and Club, 10 tennis courts, and a 38-slip marina. The first phase consisted of a 250-unit luxury, multifamily tower, followed by a 290-key hotel inclusive of 50 condo-hotel units in Phase II - all uniquely branded by SLS. Many lenders possessed preconceived notions of Hallandale Beach as an underdeveloped tertiary market to the likes of Miami and Fort Lauderdale, where a 5-star resort and residences would not make sense. Many more lenders were unfamiliar with the market and required education on the area. The land basis was also marked-up to a very high number, inconsistent to lender underwriting due to a lack of comparables in the area.


Lotus impactfully ‘sold the story’ of Hallandale Beach to the capital markets, making a convincing argument as the next up-and-coming South Florida metro, and providing lenders with the comparable market data they needed to underwrite the financing. In doing so, Lotus was able to establish a competitive bidding environment where several lenders were willing to provide construction financing, became comfortable with a high mark-up for the land, and provided credit for the implied value. Lotus was also able to negotiate no GMP at closing by facilitating a 3rd party guarantor, all while achieving other favorable terms for the borrower.