PMG Secures Record-Breaking $413M Financing for Landmark Brickell Development
Miami's Skyline Transformation: PMG's Monumental Deal Signals Market Confidence
In a striking testament to South Florida's resilient luxury real estate sector, Property Markets Group (PMG) has secured a landmark $413 million construction loan for its ambitious One Twenty Brickell project. This financing arrangement—the largest in South Florida this year—demonstrates continued investor confidence in Miami's premium development space despite broader market uncertainties.
The significant financial backing comes from a strategic partnership between Ares Management and Monarch Alternative Capital, powerhouse investment firms with growing portfolios in the Miami market. This financial commitment arrives just weeks after PMG and its partners obtained a separate $215 million construction loan for their nearby 38 West Eleventh Residences Miami project, underscoring the developer's dominant position in Brickell's transformation.
"This financing represents more than just capital—it's a vote of confidence in Brickell's continued evolution as Miami's premier urban center," explained Andy Warman, PMG's director of capital markets. "The combination of luxury residential offerings with thoughtful amenities addresses the sophisticated demands of today's urban dwellers."
Architectural Ambition: The Twin Towers of One Twenty Brickell
The ambitious development at 120 Southwest Eighth Street will feature two distinctive towers rising prominently in Miami's urban core. The first tower, reaching 37 stories, will house 266 luxury condominium units, while the neighboring 41-story structure will contain 537 premium apartment residences.
These architectural statements are being brought to life by Sieger Suarez Architects, with interior designs by Cotofana Designs—both established collaborators on PMG's portfolio of luxury developments. The design philosophy emphasizes flexibility and functionality for the modern professional, with every condominium uniquely including a separate office suite—a response to evolving work patterns in the post-pandemic era.
Construction is scheduled to commence in May 2025, with completion targeted for 2028. The development's condominium component has already achieved remarkable market validation, with an impressive 91% pre-sold status, potentially generating approximately $275 million in sales revenue.
Amenity-Rich Urban Living: Redefining Luxury in Brickell
One Twenty Brickell's amenity package reflects PMG's understanding of contemporary lifestyle preferences, featuring comprehensive wellness facilities including state-of-the-art fitness centers, rejuvenating spa services, and recreational options such as pickleball courts. The development also acknowledges diverse resident needs with dedicated co-working spaces and a specialized children's club.
"Today's luxury buyer expects more than just square footage—they're investing in a comprehensive lifestyle ecosystem," noted Ryan Shear, one of PMG's principals. "One Twenty Brickell delivers a thoughtfully curated experience from the moment residents enter the property."
The development's strategic location in Brickell—Miami's financial district and increasingly its residential epicenter—places residents within walking distance of premium dining, shopping, entertainment, and professional opportunities, reinforcing the project's appeal to discerning urban professionals and families.
Financial Partnerships Powering Miami's Development Momentum
This record-setting loan surpasses the previous largest construction financing of 2025—a $390 million package for Mast Capital and Starwood Capital Group's Perigon oceanfront condominiums in Miami Beach—highlighting the substantial capital still flowing into South Florida's premium developments.
The lending partnership brings together two financial powerhouses with established Miami footprints. New York-based Monarch Alternative Capital, led by co-founders Michael A. Weinstock, Andrew Herenstein, and Chris Santana, recently partnered with Tourmaline Capital Partners in acquiring the 801 Brickell office tower for $250 million—2024's most substantial office transaction in South Florida.
Los Angeles-headquartered Ares Management, under CEO Michael Arougheti's leadership, continues its aggressive investment strategy in the region. The firm previously collaborated with Monarch in August to provide PMG with a $178 million loan for a mixed-use development in Miami's trendy Wynwood district.
Warman emphasized that existing relationships proved critical in securing financing during challenging market conditions. "It's cliche, but real estate is such a relationship business still," he remarked, "especially on the development side." He also noted that the project's condominium component provided additional security for lenders amid increasing headwinds in the multifamily sector.
The Broader Significance: Miami's Resilient Luxury Market
One Twenty Brickell's successful financing represents more than just another development milestone—it signals continued institutional confidence in Miami's premium real estate sector even as other markets face increased scrutiny. The project's strong pre-sales performance indicates robust demand for luxury residences in Miami's urban core, contradicting concerns about potential market saturation.
Industry analysts suggest this financing success demonstrates selective capital deployment rather than broad market enthusiasm, with premier developers and prime locations still attracting significant investment while secondary projects face intensified financing challenges.
Insights: Understanding Miami's Development Landscape
Why is the Brickell neighborhood attracting such significant investment?
Brickell represents Miami's financial heart and has evolved into the city's most walkable, amenity-rich urban neighborhood. Its proximity to international business, cultural attractions, and premium retail creates exceptional value for residential properties, making it a priority target for sophisticated developers and investors.
How does the mixed condo-apartment approach benefit developers in the current market?
This hybrid model allows developers to secure pre-construction sales revenue while building long-term income streams through rental units. The condominium component provides immediate capital recovery, while apartments offer sustained returns and flexibility to convert to condominiums should market conditions favor such a transition.
What makes PMG's developments particularly attractive to lenders in a tightening credit environment?
PMG has established a track record of successful project execution and maintains strong institutional relationships. Their developments typically feature premium design, strategic locations, and comprehensive amenities that maintain value even during market fluctuations. Additionally, the strong pre-sales performance significantly reduces risk for lenders.
Will the luxury condominium market in Miami sustain its momentum through 2028?
While some market segments may experience moderation, Miami's position as a global destination for wealth preservation and lifestyle enhancement continues to drive demand for premium residential products. Limited waterfront and urban core inventory, combined with ongoing migration from high-tax regions, suggests continued strength in the luxury sector through the development cycle.
How are rising construction costs impacting development financing?
Increased material and labor costs have necessitated larger construction loans and more complex capital stacks. Developers with established lender relationships and proven track records, like PMG, can still secure favorable terms, while emerging developers face significantly higher hurdles to project financing.
