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Development Financing / ANALYSIS

$817 Million for Two Towers on the Miami River: Faena Residences Sets Florida's Construction Loan Record

Tyko Capital's $817M loan for Faena Residences Miami is the largest construction loan ever recorded in Florida. What it says about Miami condo lending.

Maya BennettCapital MarketsNovember 4, 2026 · 3 min read
Miami River waterfront. Illustrative photograph; not a rendering of the planned Faena towers.
Miami River waterfront. Illustrative photograph; not a rendering of the planned Faena towers. Photo: P. Hughes / Wikimedia Commons · CC BY-SA 4.0. Cropped in the supplied PDF; converted to WebP. Adapted photo remains under CC BY-SA 4.0.

For the third year in a row, someone has set a new high-water mark for construction lending in Florida. This time it is an $817 million loan from Tyko Capital to build Faena Residences Miami, a two-tower luxury condo project on the Miami River. The fact that the record-setter is a private credit firm, not a bank, tells us a great deal about where big development financing has moved.

The deal

Developers Fortune International Group and Kar Properties secured the loan from New York-based Tyko Capital, according to a press release reported by Bisnow on Oct. 29. A Walker & Dunlop Capital Markets team arranged the financing.

The project is planned at 24 SW Fourth Street, on 300 feet of Miami River frontage across from Brickell City Centre. The plan calls for two 68-story towers with 434 condo units, linked high above the river by a three-story, 45,000-square-foot sky bridge that will house the Faena Rose cultural center with space for events, dining, wellness, fitness and entertainment. Completion is targeted for early 2030, and unit sales have passed $500 million to date.

How it compares

The loan tops the $772 million construction loan Related Ross landed last year for two office towers in West Palm Beach, and the $668 million loan Property Markets Group secured in 2024 for the Waldorf Astoria Hotel & Residences Miami. Three records in three years, all in South Florida, says something about how much capital wants exposure to the region's high end.

The project itself has been a long time coming. Kar Properties first proposed it in 2014 as One River Point. Fortune joined as a partner in 2022, and in 2023 the pair secured a $34 million loan from Bank OZK to start the first phase of construction. When the joint venture brought in the Faena brand in 2024, the plan was two 60-story towers, a two-story sky bridge and 440 units. The design has since grown taller and slightly smaller in unit count.

The lender behind it

Tyko Capital is a private equity and private credit manager founded by former debt broker Adi Chugh with Elliott Investment Management, the firm of billionaire hedge fund manager Paul Singer. It has become one of the most active lenders in South Florida. According to Bisnow, its recent large loans include a $565 million long-term loan for the 57-story 830 Brickell office tower in 2024 and a $570 million construction loan for a planned Miami Beach condo project in October.

Chugh said the financing reflects the firm's conviction in the Miami condo market for special projects and in the sponsors' ability to deliver. Fortune CEO Edgardo Defortuna called the loan a milestone for Miami's luxury residential market and evidence of continued global demand for top-tier real estate in the city.

Why private credit is winning these deals

Tyko was built for exactly this kind of deal. Chugh started the platform after the pandemic, when many lenders became less active, Bisnow reported. His pitch to The Real Deal in 2024 was that top sponsors would need new lenders while their usual banks were busy cleaning up their own balance sheets. A string of half-billion-dollar-plus loans in South Florida shows that thesis playing out at scale.

Demand on the buyer side matters just as much. More than $500 million in unit sales before the towers rise gives a lender real evidence that the end product has a market, which is a big part of why a loan of this size can get done.

What it means for CRE investors and owners

For developers, the capital is there for the right project, but it is concentrated. Private lenders are writing very large checks to sponsors with a track record, strong presales and a distinctive product. Smaller or less proven projects should expect tougher terms or smaller loans.

For investors, the steady climb in Florida construction loan records is a sign of confidence in South Florida's luxury pipeline through the end of the decade. It is also a reminder to watch delivery risk: a project scheduled for 2030 will be completed into a market none of us can see clearly yet.

For owners of existing Brickell and downtown Miami assets, a major new branded project on the river adds to the neighborhood's profile and may support values nearby, while also adding high-end supply later in the decade.

And for anyone seeking financing, the broader lesson is to look beyond banks. Private credit is no longer a last resort for construction debt. In South Florida, it is increasingly the first call for the largest deals.

Sources

Bisnow, "Tyko Capital Sets New Record For Florida's Largest Construction Loan" (Oct. 29, 2026)

DevelopmentPrivate creditCondominiums

Published by The Basis. Research dates, source references and illustrative assumptions are retained from the original article.

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