Current media coverage and upcoming developments hand-picked from the industry.

93 Miracle Mile_Stephen-Bittel

In $7M deal, Terranova adds another Miracle Mile building to Coral Gables portfolio

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THE REAL DEAL- January 5, 2022 BY FRANCISCO ALVARADO In a $6.8 million deal, Terranova added another Miracle Mile retail building to its Coral Gables portfolio.

The Miami Beach-based commercial real estate firm headed by Chairman Stephen Bittel bought the one-story site at 93 Miracle Mile, making it the 15th property Terranova owns on the street, according to a press release. The holdings span 120,000 square feet. Recently, Terranova obtained $55 million in refinancing for its Miracle Mile assets.

An affiliate of Wexford Capital, which is based in West Palm Beach and Greenwich, Connecticut, sold the corner property on Galiano Street for $800,000 below the previous purchase price from five years ago. The Wexford affiliate paid $7.6 million in 2016, according to records.

The 9,000-square-foot vacant building was previously occupied by Navarro Discount Pharmacy, which closed after the chain was acquired by CVS in 2014, the release states. In a statement, Terranova President Mindy McIlory said the firm plans to bring in a “strong, high-profile tenant.”

Terranova has nearly $1 billion in commercial real estate assets and purchased its first Miracle Mile property almost 20 years ago, the release states. In the past two years, the firm has acquired five properties on Miracle Mile, which underwent a $21 million streetscape makeover by the city of Coral Gables.

In October, Terranova paid $7.8 million for two storefronts at 232 Coral Way and 330 Miracle Mile, which are a few blocks west of the firm’s most recent acquisition. In another purchase last year, Terranova acquired a single-story building at 300 Miracle Mile for $6 million.

On a site at 220 Miracle Mile the company acquired for $12.2 million in 2013, Terranova had planned a two-tower, mixed use project with a 120-key hotel. The firm’s other holdings include 308, 348 and 360 Miracle Mile.

Last year, Terranova’s wheeling and dealing extended beyond Coral Gables. In February, the firm and its partner Terra sold a nearly 24-acre development site in Doral to logistics real estate investment firm GLP Capital Partners for $55 million. And last month, Terranova sold its longtime Miami Beach headquarters for $22 million to Fifteen Group in an off-market deal.

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Stephen Bittel Maneuvers Terranova Through a Post-Pandemic World with $55 Million Refinance of Coral Gables Properties

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THE AMERICAN REPORTER – December 21, 2021 BY JENNIFER ROSS
The coronavirus pandemic and subsequent lockdowns brought about unprecedented changes to practically every industry. While the economic cycle has shown that over time it is to be expected that there will be periods of growth followed by periods of recession, the abrupt and sweeping shutdowns across nearly every country and sector made an impact unlike any we’ve seen before. As we round the corner on two years since COVID-19 first came into our radar there are still many unknowns as to what shape the future will take. Will outdoor dining be a part of our future forever? Will air travel ever be as simple as it once was? Is remote work the new normal or will there be a hybrid model?

The future of commercial real estate will inevitably be affected by the answers to all of these questions, and for Stephen Bittel this has meant maintaining a delicate balancing act. As chairman of the South Florida commercial real estate company Terranova Corporation, Bittel has acknowledged that work must be done to simultaneously sure up operations and finances while still remaining flexible and open to take advantage of any opportunities that may arise. It may feel safe for many business owners during times of economic downturns to simply seek shelter and wait there to weather the storm, but Bittel has recognized throughout his four decades of work within commercial real estate that times of uncertainty can also be advantageous if one knows how to react.

Case in point, Bittel’s work refinancing loans for Terranova Corporation’s urban retail properties, taking advantage of the historically low interest rates that have been available. The Miami-based company recently secured a $55 million refinance of its Miracle Mile portfolio in downtown Coral Gables, consolidating and replacing loans from three lenders on 14 properties, including 220 Miracle Mile, 300 Miracle Mile and 253 Miracle Mile. Additionally, just one month earlier Terranova refinanced its Marshalls/Lincoln Eatery building in Miami Beach with a $23 million loan, with the financing for all properties being provided by City National Bank. Bittel has said that the money will be used to repatriate some of the company’s capital, and also accommodate tenant improvements, as well as return some of its originally invested capital. While the economic damage caused by the coronavirus pandemic certainly isn’t an ideal scenario for any business owner, by seeing the time as an opportunity rather than detriment Bittel has set himself up for success.

Who is Stephen Bittel?

As founder and chairman of Terranova Corporation, Stephen Bittel is leader of one of the top commercial real estate firms in Florida. A native of Miami, Bittel was born and raised in The Sunshine State before moving up the eastern coast to attend Bowdoin College in Brunswick, Maine. Trading palm trees and sandy beaches for fall foliage and snow, he soon adapted to the initial culture shock of transitioning from a public school education to a highly selective private liberal arts school, and was able to thrive in the academically rigorous environment. During his senior year of university he applied for and was awarded the prestigious Thomas J. Watson Fellowship, a grant that enabled him to pursue a year of independent study outside of America, and Bittel spent a year traveling abroad researching the motivations behind European investment in the United States.

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Prosperous chapter for Miracle Mile? Wave of stores, dining spots coming to Coral Gables’ strip

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MIAMI HERALD – December 12, 2021 BY REBECCA SAN JUAN More shopping and dining are coming soon to Coral Gables’ historic Miracle Mile retail strip, signaling progress after years of struggle.

Nineteen new tenants are expected to open during 2022, according to the City of Coral Gables and commercial real estate developers and property managers Terranova and Kerdyk Real Estate, which own several storefronts.

The newcomers follow a trail of 15 other businesses that have crowded onto the commercial stretch since 2019. As a result of the bustling, the city reported vacancies in December dropped from about 13% to 9% year-over-year among the 114 storefronts along the four-block stretch from LeJeune Road and Douglas Road.

The activity follows a whirlwind of challenges, including two years of construction for a new streetscape, a slowdown in customers during the start of the pandemic and a robbery in late 2019.

“The streetscape project took longer than expected, chasing many customers away, and the pandemic had businesses at a standstill,” said Manny Chamizo III, global commercial director for One Sotheby’s International Realty. He owns three storefronts and manages several leases along the Mile.

“I walked the Mile in April 2020 and counted 23 vacancies and thought, ‘Oh, this is not good.’ Now I see that the Mile is almost filled up,” Chamizo said.

Lights will go on in even more vacant spaces, including for the former Ortanique on the Mile. Three eateries are exploring the restaurant space adjacent to the Actors’ Playhouse at the Miracle Theatre, Coral Gables Business Improvement District Executive Director Aura Reinhardt.

Foot traffic increased in mid-2021 as more people were vaccinated against the coronavirus and many people returned to work in nearby offices in the Miami suburb. A strong indicator its slump is over, there have been 3.4 million visitors along Miracle Mile so far this year, compared with 638,000 visitors in 2020.

Erica des Roches, owner of Veranda Plants and Gifts, opened three weeks ago.

“I live in Miami Beach. I’ve always loved Coral Gables, because it is so beautiful. I came across this little space and it is perfect,” des Roches said. “It is a good demographic. It is a wealthy demographic. They have a disposable income that they can spend on plants. There is a need here for this type of store and affordable gifts.”

Miracle Mile still has room for improvement, landlords told the Miami Herald. A slow permitting process continues to plague the city, said Stephen Bittel, Terranova’s founder and chairman. It may take six months, instead of the usual three, he said, for a business to get permits approved in order to open.

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