David Martin’s Terra
is offering to purchase units at the Amethyst condo building
in Miami Beach, where Mast Capital has been working on a
buyout for years, The Real Deal has learned.
An affiliate of Terra sent offers to owners of the 11-story,
120-unit condominium at 5313 Collins Avenue in recent days,
sources told TRD. Meanwhile, Mast Capital, led by Camilo
Miguel Jr., has closed on eight units and is in contract to
acquire a majority of the building’s units.
Mast does not control units owned by a group of 28 owners,
which are needed to give the developer the minimum required
to move forward with a termination. TRD previously reported
that owners allege the developer is dragging out the planned
buyout, tying up the majority of residents and leaving the
sale in limbo.
The two development firms could work together on a condo
termination and redevelopment of the property, but it is
unclear if they will. Martin said in a statement that a
group of owners approached Terra about purchasing units, and
that Terra is open to partnering with Mast Capital “to reach
a solution that benefits all unit owners.”
A spokesperson for Mast said that Mast is in contract to
acquire a majority of units and expects “to close on the
remaining units by year’s end.”
If the sellers accept Terra’s offers, Terra could close by
the end of 2024, the contracts show. But it is also unclear
if Terra could purchase the units that Mast is in contract
to acquire, and if not, if that would spark litigation with
Mast.
Terra is offering $850,000 each to the group of 28 owners,
and $550,000 each to others. That would total more than $74
million if Terra could acquire the remaining 92 units. (It
likely can’t because Mast already owns some and is in
contract to acquire many others.)
Mast owns the former La Costa condo building next door,
which it plans to knock down and redevelop into a luxury
condo building called The Perigon with its partner on the
deal, Barry Sternlicht’s Starwood Capital Group.
Owners at Amethyst said that Mast Capital planned to close
on a majority of the units in November 2022, but that the
developer has exercised extensions and has not been clear
about when it plans to close on the rest of the units. The
developer terminated the contracts it had with the 28
owners, which were all contingent on each other closing,
leaving those deals in limbo.