BHI Provides $67.5M Construction Loan for Coral Gables Boutique Condo Development

BHI has issued a $67.5 million construction loan to a partnership between Constellation Group and The Boschetti Group, enabling the developers to move forward on a boutique condominium project in one of South Florida's most sought-after suburban markets.

The project, dubbed Cora Merrick Park, will rise at 4241 Aurora Street in Coral Gables, approximately six miles southwest of Downtown Miami. The 74-unit development sits just north of the open-air Shops at Merrick Park, positioning it within walking distance of high-end retail and dining options that have helped make the surrounding neighborhood one of the most desirable residential addresses in Miami-Dade County.

According to Commercial Observer, the joint venture announced the financing closure this week, marking one of the larger construction commitments for a boutique condo project in the Coral Gables submarket this cycle.

Key Details

Developer: Constellation Group and The Boschetti Group (joint venture) Lender: BHI Loan Amount: $67.5 million Project Name: Cora Merrick Park Address: 4241 Aurora Street, Coral Gables, FL Unit Count: 74 condominium residences Location Context: Six miles southwest of Downtown Miami; adjacent to Shops at Merrick Park Property Type: Boutique condominium development

The financing arrives as construction lenders have grown increasingly selective about which residential projects receive backing, particularly in markets where elevated interest rates have tempered buyer demand. The loan size suggests strong pre-sales activity or substantial equity contributions from the development partners, both indicators that institutional capital providers view the project's fundamentals favorably.

Market Context

The Coral Gables luxury condo market has demonstrated remarkable resilience compared to other South Florida submarkets. While waterfront condominiums in Miami Beach and Sunny Isles Beach have faced pricing pressure from an oversupply of ultra-luxury units, Coral Gables has benefited from a more constrained development pipeline and a buyer base that skews toward local professionals and downsizing empty-nesters rather than international investors.

The submarket's appeal lies partly in its architectural character and strict zoning regulations, which limit the scale of new construction. Boutique projects like Cora Merrick Park — defined by unit counts below 100 — have consistently outperformed larger developments in the area, achieving higher per-square-foot prices and faster absorption rates.

For CRE professionals tracking South Florida's residential sector, the BHI financing signals that lenders remain willing to back well-located projects with experienced sponsors, even as the broader construction lending environment tightens. The deal also reinforces Coral Gables' positioning as a premium address that commands pricing power independent of Miami's condominium cycles.

The Shops at Merrick Park corridor has emerged as a particular bright spot, with several recent deliveries achieving sell-through rates exceeding 70% within 18 months of launching sales. Cora Merrick Park's proximity to this retail anchor positions it to capture demand from buyers seeking walkable, amenity-rich neighborhoods without the density and traffic congestion associated with urban core locations.

Construction timelines were not disclosed, but projects of similar scale in Coral Gables typically require 18 to 24 months to reach completion from financing close.