A lender has moved to seize control of the Mercedes-Benz Places site in Brickell, filing a foreclosure lawsuit just days after buying the project's defaulted bridge loan. The filing puts developer Michael Stern’s JDS Development Group under pressure to close on replacement financing for the planned two-tower, roughly 800-unit complex, and it raises fresh questions in Miami about timelines, unpaid subcontractors and who will ultimately control the high-profile site.
Bridge Lender Sues After Buying The Loan
CWRE SSF Flamingo Capital, an affiliate of Los Angeles-based Cottonwood, lodged the foreclosure complaint in Miami-Dade Circuit Court shortly after acquiring the bridge loan on March 24, 2026. The debt stems from an acquisition and construction loan provided by Maxim Credit Group in July 2015 that went into default when the borrower failed to repay the loan at its January 2025 maturity, according to The Real Deal.
What The Complaint Alleges
The suit claims the borrower owes about $80.4 million in principal plus nearly $20 million in interest and fees, roughly $100 million in total, and names a number of subcontractors that have recorded liens against the property. The complaint, which targets the loan and the borrowing LLC rather than Stern personally, also cites multiple lien foreclosure actions that could complicate any refinancing or sale, as reported by Bisnow.
JDS Says It Is Lining Up Financing
JDS released a brief statement saying the team is "in active discussions" with the bridge lender and is working on a construction-loan package to replace the bridge financing. A source told The Real Deal that the package being discussed could total about $750 million, including a $450 million senior tranche, $100 million in mezzanine debt, a roughly $195 million C-PACE loan and $100 million of preferred equity, although JDS has not confirmed those terms publicly.
Project Background And What Is At Stake
Mercedes-Benz Places is being marketed as a 67-story, two-tower development with roughly 800 units, a 174-room hotel, office space and more than 130,000 square feet of amenities. Sales launched in 2024 with units starting around $500,000 and SERHANT managing sales, according to PR Newswire. Coverage of the high-profile branded tie-up when it debuted in 2024 also noted the project's scale and Brickell location.
Why Subcontractor Liens Matter
Several subcontractors have recorded liens for allegedly unpaid work, and those claims can create clouds on title that lenders typically require to be cleared before funding large construction loans, as Bisnow reports. Under Florida law, mechanic's-lien claimants must meet timing and notice rules set out in Florida Statutes Chapter 713, and those procedures can determine how and when lienholders can enforce rights against a property.
What Comes Next
Cottonwood will press its claim in Miami-Dade court while JDS tries to lock down replacement capital and clear lien claims. The parties could still reach a negotiated payoff, but a foreclosure sale remains a live outcome until the debt is satisfied or a judge rules otherwise. For buyers and brokers tracking Brickell, the next few weeks will likely decide whether construction resumes on the current timeline or whether new financing or new ownership reshapes the project.
