In a significant development for South Florida’s commercial real estate market, Atlanta-based Ardent Companies has successfully acquired two downtown Miami office buildings through a foreclosure auction held on July 20, 2026. The lender secured the properties with a winning bid of $15 million, marking the conclusion of a two-year legal battle against Stonerock Capital.
The Foreclosure Auction Details
According to Miami-Dade County court records, an affiliate of Ardent Companies emerged victorious at the foreclosure auction with a credit bid of $15 million. This outcome came despite Stonerock’s attempts to postpone the proceedings while pursuing an appeal of the case. The acquisition follows Ardent’s successful $65.7 million foreclosure judgment obtained in June 2026 against Stonerock’s affiliates over allegedly unpaid debts.
The two properties included in the transaction are:
- A 25-story building located at 44 West Flagler Street, constructed in 1974 on a 0.2-acre site
- A 12-story building at 200 Southeast First Street, completed in 1958 on 0.3 acres
Stonerock Capital, a Palm Beach County-based firm led by Yaakov “Jake” Handelsman, had originally purchased both buildings in 2022 for $56.7 million. At that time, the company partnered with Delray Beach-based Triple Double Real Estate on the acquisition, though Triple Double subsequently exited the joint venture in 2023. To finance the purchase, Stonerock borrowed $58.3 million from Ardent.
A Complex Two-Year Legal Battle
The legal dispute began in 2024 when Ardent filed a foreclosure lawsuit against Stonerock, alleging default on the loan’s maturity. The lender claimed Stonerock owed $49.5 million in principal, along with unpaid interest for several months and late fees. The complaint also indicated that Stonerock still owed substantial amounts in 2023 property taxes: $624,957 for the Southeast First Street property and $615,268 for the West Flagler Street building.
“Ardent held a ‘stranglehold’ on Stonerock by refusing to respond, failing to provide necessary documentation or flat out denying consent to Stonerock’s efforts to either sell the buildings or refinance the loan.” – Stonerock counterclaim filing
Stonerock’s affiliates responded with a countersuit in late 2024, making serious allegations against the lender. The borrower claimed Ardent refused to disburse millions of dollars held in reserves that were intended for property taxes, insurance payments, and tenant allowances. According to court filings, this allegedly forced Stonerock to use its own funds and resulted in the loss of prospective tenants.
In June 2026, Miami-Dade Circuit Judge Joseph Perkins issued a final foreclosure judgment for $65.7 million after both parties jointly filed a motion seeking the final judgment. The total amount comprised:
- $41.1 million in principal
- $25 million in unpaid accrued interest from January 2024 to May 2026
- Additional costs and fees
Property Tenants and Market Impact
The 44 West Flagler Street building currently serves as a significant commercial hub in downtown Miami. First Horizon Bank anchors the property, and the Consulate General of Jamaica maintains offices there. The 200 Southeast First Street building houses a diverse mix of tenants, including a barbershop, a data center, and a medical office facility.
Following the foreclosure judgment, Stonerock’s entities filed appeals and sought to pause the auction pending appeal, but Judge Perkins denied this request. One of Stonerock’s affiliates also contested the lender’s requests for property information, including rent rolls, communications regarding lease renewals, financial statements, and operating reports.
This foreclosure represents another indicator of the distress affecting South Florida’s commercial real estate sector in recent years. Despite ongoing promotional efforts highlighting the region’s success in attracting out-of-state firms, the office market has experienced significant challenges. Ardent Companies, led by CEOs Matt Shulman and Dror Bezalel, now takes control of these two prominent downtown Miami properties as part of this broader market correction.
The acquisition joins other notable foreclosure proceedings in 2026, reflecting the ongoing turbulence in the commercial real estate sector as property owners continue to navigate challenging market conditions and elevated interest rate environments.
