Related Group and BH Group have obtained $200 million in construction financing for the Ritz-Carlton Residences, West Palm Beach. The loan was provided by Madison Realty Capital and will support the development of a 27-story tower at 1717 North Flagler Drive, according to a company statement.
The planned condominium building will offer 138 units with two-, three-, and four-bedroom layouts ranging from 1,500 to 3,000 square feet. Amenities will include a pool, spa facilities, fitness center, coworking spaces, children’s playroom, gaming studio, and two guest suites. Residents are also set to receive complimentary membership to the Cove Club at Icon Marina Village.
According to the developers’ release, “The project is 70 percent pre-sold with $150 million in sales in the last six months.” Sales for the residences began in 2024 after Related and BH received approval for a height bonus in October of that year. The design team includes Arquitectonica as architect, Rockwell Group handling interiors, and Naturalficial managing landscaping.
Douglas Elliman is responsible for sales and marketing of the property. Remaining units start at $3 million. Construction completion is expected in 2028.
Madison Realty Capital has previously financed projects by Related and BH Group. In 2024, it provided a $400 million construction loan for their planned Residences at Six Fisher Island.
The developers continue to expand their presence in West Palm Beach; they purchased another waterfront lot near the Ritz-Carlton site for $34 million in 2024.
Recent activity indicates strong demand for branded residential projects in West Palm Beach. In August of last year, Tyko Capital issued a $285 million construction loan for Terra and Sympatico Real Estate’s Mr. C Hotel & Residences West Palm Beach project—also reported as being about 70 percent presold at that time (https://therealdeal.com/miami/2023/08/23/mr-c-west-palm-beach-lands-285m-construction-loan/). Additionally, Canadian developer Great Gulf recently launched sales for a Mandarin Oriental-branded waterfront condominium project with starting prices of $3.5 million (https://therealdeal.com/miami/2024/02/22/great-gulf-launches-mandarin-oriental-condos-in-west-palm-beach-prices-start-at-3-5m/).
