Four-source $75.1 million package backs Monroe Hotel redevelopment

Insider Monkey

Marcus & Millichap's Institutional Property Advisors arranged a $75.1 million mid-construction recapitalization for The Monroe Hotel, an 89-key luxury boutique hotel being redeveloped in Miami Beach's Faena District. The hotel is scheduled to open in 2027.

IPA's reported four-source stack lists $44 million in commercial property-assessed clean energy (C-PACE) funding from Nuveen Green Capital, $24.8 million in construction debt from City National Bank and $6.3 million in bridge financing from Midland States Bank, plus historic tax-credit equity from PNC Bank. The three stated amounts already total $75.1 million; the article does not quantify PNC's equity or explain how it fits that total. Redevelopment is estimated to cost $125.5 million.

The report says permitting, materials or labor could delay the 2027 schedule. It also notes that coordinating funding sources with different covenants could complicate later refinancing, and that C-PACE financing carries a senior assessment lien.

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