Affiliated Development has finalized construction financing for The Cove, a mixed-use, mixed-income multifamily community planned for the northwest corner of Sunrise Boulevard and Federal Highway in Fort Lauderdale. The project is backed by a $74 million construction loan from Pacific Life Insurance Company, providing the primary debt funding for the new development.
The Cove is planned to include 374 residential units. Just over half of those apartments will be reserved for households earning up to 120% of the Area Median Income, creating a sizable workforce housing component within the project. In return for these income-based rent restrictions, both the City of Fort Lauderdale and Broward County have extended tax rebate incentives to support the development.
The project will rise on the former site of a hotel property that previously operated as the Clarion Inn and The Link hotel. Those buildings have been demolished to clear the site for new construction. The redevelopment will convert what had been older hospitality improvements into a contemporary mixed-use, mixed-income residential asset.
Moss Construction has been engaged as the general contractor for The Cove, overseeing the construction program from the ground up. Rinka is serving as the project architect, responsible for the overall design of the development. Together with Affiliated Development, these firms will lead the transformation of the prominent corner at Sunrise Boulevard and Federal Highway.
In addition to the construction loan, the capital stack for The Cove includes equity from Affiliated Housing Impact Fund, LP, along with capital from family office partners. This combination of insurance company debt and private equity capital is supporting the delivery of a large-scale multifamily community with an affordability component.
Construction on The Cove is expected to begin immediately following the closing of the construction loan. With financing, design, and major project partners in place, the development is now positioned to move from planning into active construction on the former hotel site.
