Apr 05, 2023 - 0 Comments - Top Stories -

Miami Commercial Real Estate News April 5, 2023: North Miami Office Property Sells for $39M; Former Herald Site May Fetch $1.5B; Micro Housing Planned Near Metrorail; More…

Attainable Housing Community Opens in Miami

Douglas Enclave, a 199-unit attainable housing community in Miami, has opened its doors to residents. The Astor Cos. received the development’s temporary certificate of occupancy from the City, expecting a final one in the next 60 days. Douglas Enclave comprises a mix of workforce and affordable units, as well as 3,265 square feet…

CP Group, PCCP Add 14 New Tenants at Downtown Miami One SE Third Avenue Tower

CP Group and PCCP LLC have added 14 new office tenants to join One Southeast Third Avenue, a 31-story office tower in downtown Miami. The new tenants span multiple industries, including real estate, legal and tech, and combined represent 47,533 square feet in new leases. Additionally, Bohler, a civil engineer firm, has expanded its footprint at the 440,000-square-foot…

Unused Miami International Airport hub for Amtrak needs upgrades

A 5,355-square-foot building the Florida Department of Transportation (FDOT) completed more than a half-decade ago to Amtrak specifications is still shy a few renovations and one more thing: Amtrak. The “beautiful building,” as it was described last week by several members of the county’s Citizens’ Independent Transportation Trust, has remained unused by Amtrak…

Wynwood-Edgewater mixed-use midrise wins backing

A developer plans to build a midrise mixed-use residential building with ground floor retail on land near where Edgewater meets Wynwood in the City of Miami. Owner-developer Wynwood 21 Apartments LP proposes property at 100 NE 21st St. for the 11-story building. The project, named Wynwood 21, is to be home to 97 dwellings, about 3,550 square feet…

Signature Bridge megaproject now delayed to fall 2027

The vast highway project downtown budgeted at $818 million is steadily progressing, says the Florida Department of Transportation, as the monumental new I-395 Signature Bridge reshapes Miami’s skyline. But completion has now been pushed back to late 2027, years behind earlier schedules. “Supply chain issues, among other factors, including weather and holidays…

Arena heads for Kaseya branding for $117 million

“Kaseya Center” is the new name Miami-Dade County commissioners chose unanimously Tuesday for the county-owned arena at 601 Biscayne Blvd. Pending approval after a public hearing, the county will assign naming and sponsorship rights to Kaseya US LLC for a 17-year term and a payment of $117.3 million. The Miami-based company is a global provider of IT management…

Salmon producer Atlantic Sapphire with ops in Homestead swims toward global primacy

A Norwegian fish-farming complex that plans to produce at full build-out about 1 billion servings of salmon a year near Homestead at what would then be the world’s largest aquaculture facility is getting a $250 million loan boost with industrial revenue bonds approved by Miami-Dade commissioners. Atlantic Sapphire USA is in expansion mode at its 22275 SW 272nd St. operation…

A World of His Own; The Saga of Nitin Motwani and the Miami Worldcenter

The pool deck on the top floor of the new Paramount building in Downtown Miami is no place for anyone with a fear of heights. Here, from the 60th floor, the views are breathtaking – and harrowing for any acrophobic – with only a clear glass railing around the deck. “I didn’t realize this was the highest elevation for a swimming pool in the City of Miami,” says Nitin Motwani…

Island Gardens May Have New Co-Developer

The Island Gardens project appears to have a new development partner. Last week, the Federal Aviation Administration issued a height approval letter for a portion of the development. The March 31 approval letter was issued to BH3 TCO Sub, which shares an address with BH3 Management. Previously, the only known developer was Flagstone. Last week’s FAA approval letter…

Related scores partial victory over development of future Baccarat site

The Pérez family’s Related Group scored a partial victory with the future of a three-tower development site along the Miami River, where artifacts and human remains dating back thousands of years were discovered. The Miami Historic & Environmental Preservation Board unanimously voted on Tuesday evening to withdraw its proposed designation of 77 Southeast Fifth Street…

HEPB Meeting Scheduled Today On 444 Brickell Archaeological Dig

A presentation to Miami’s Historic and Environmental Preservation Board is scheduled today on the 444 Brickell archaeological dig. The main architectural finding to date is postholes in the ground, and “one or possibly two circles,” the presentation shows, according to Local10. The postholes represent a foundation of homes, the report said. Hundreds of archaeologists have…

Wealth manager adds to waterfront assemblage with $49M purchase on Brickell Ave

A company led by a wealth manager paid $48.5 million for a waterfront home on Brickell Avenue in Miami’s Coconut Grove, adding to a multi-acre assemblage. Records show Paul Morelli, a managing partner at San Francisco-based Vernal Point Advisors, heads the LLC that acquired the 1.5-acre property at 3007 Brickell Avenue. Alan Richter and Mary Widel sold the 7,800-square-foot…

French Apparel Retailer Etam to Open First US Store at Dadeland Mall in South Florida

Etam, a French apparel retailer founded in 1916, plans to open its first U.S. store at Dadeland Mall, a shopping mall in the Miami suburb of Kendall. Simon, the mall’s landlord, expects to debut the new Etam store this summer. The store will carry Etam’s line of lingerie, bras, underwear, sleepwear and swimwear. The retailer currently operates more than 850 stores throughout Europe…

58-Story Villa Residences Announced In Edgewater

Developers have announced plans for a 58-story tower in Edgewater called Villa Residences. The project was officially launched on March 31, according to an Instagram post by Louis Birdman, a co-developer. There will be roughly 60 to 70 units in the tower, with a rooftop helipad and baywalk. A restaurant by Major Food Group is also planned. ODP Architects is the architect.

Dark-store theory is still an issue

The dark-store theory is increasingly becoming more about practice than theory since emerging during the Great Recession in the late-2000s. The concept is relatively simple – the value of warehouse space, big-box retail building or other commercial property should be determined by the value of the building when it is empty. The owners complained that they were over-taxed…

Brickell Gateway Tower Submitted To FAA At 761 Feet

Plans have just been filed with the Federal Aviation Administration for the 61-story Brickell Gateway tower. According to the March 28 FAA filing, the Brickell Gateway tower is planned to rise to a height of 761 feet above ground, or 772 feet above sea level, making it one of the tallest rental apartment buildings in the city. Construction is estimated to run from January 2024…

Kaseya Center: Miami Heat’s Arena Proposed To Be Renamed Through 2040

The Miami Heat’s arena is proposed to be renamed the Kaseya Center for the next 17 years, under a deal set for a vote by Miami-Dade commissioners. Kaseya would pay just $117,370,000 for the naming rights through 2040, the terms of the deal show. The deal is similar in value to one made by the county with FTX, before it filed for bankruptcy. By comparison, the naming rights…

Revealed: 930-Foot Tower Proposed At 1210 Brickell Avenue

Plans have been filed with Miami City Planners for the 76-story Ora by Casa Tua tower at 1210 Brickell Avenue. A 7-story parking garage will be demolished to make way for the new tower. A 20-story office building on the site will remain. The new tower is proposed to rise 930 feet, short of supertall status (supertalls are defined as being 300 meters, or 984 feet). The development…

Mystery 709-Foot Tower Proposed In Brickell

An application was filed yesterday with the Federal Aviation Administration for a previously unannounced tower in Brickell. According to the filing, the tower is proposed to rise 709 feet above ground, or 711 feet above sea level. Location data attached to the filing shows it will be located on riverfront land next to the under-construction Lofty Brickell tower. The Lofty tower was previously…

$39M Sale of Biscayne Centre Office Building in North Miami Brokered

CBRE has brokered the $39 million sale of Biscayne Centre, a 156,446-square-foot office building located at 11900 Biscayne Blvd. in North Miami. Totaling eight stories, the property — which was 81 percent occupied at the time of sale — features ground-floor retail space and an attached multi-level parking garage. Amenities include front desk security, an in-house café and a day spa.

North Miami Office Asset Biscayne Centre Changes Hands for $39M

11900 Biscayne Blvd. Image courtesy of CBRE Biscayne Real Estate Holdings LLC has acquired Biscayne Centre, a 156,446-square-foot office building in North Miami, Fla. According to public records, the buyer is an entity tied to Atlantic Coast Automotive Inc. CBRE Senior Vice President Benjamin Silver and Vice President Charlie Manuel brokered the $39 million transaction on behalf…

Contingencies provide a safety net in commercial real estate contracts

As with residential real estate contracts, commercial real estate contracts often need contingencies to avoid unnecessary risk. Adding a few carefully crafted contingency plans are safety measures that can be helpful or provide peace of mind to buyers and sellers and perhaps be the difference between catastrophe and triumph. While no deal is risk-free, an attorney who…

Miami Beach seeks end to spring break as we know it

Next year’s spring break in Miami Beach may not look the same, as city officials said they will work the police and the business community to end spring break as we know it. After two people were fatally shot in South Beach on March 17 and 19, the city commission on Monday passed an ordinance declaring an intent for curfews from Thursday to Monday during the most intense weeks…

Mixed-use tower planned at busy Coral Way corner

A new mixed-use residential development is coming to a high-profile corner of the Coral Way neighborhood in Miami. Owner-developers 27th Avenue and Coral Way LLC and 27th Avenue and Coral Way 2 LLC plan the 10-story building at 2200 SW 27th Ave., where it intersects Coral Way. The building will be home to 166 residential units, about 10,100 square feet of retail…

Miami unemployment lowest in history

Employers struggling to find candidates to fill jobs now know why: Miami-Dade’s unemployment in February was the lowest on record at 1.7%. The previous record low was 1.8% unemployment in the condo boom – before the condo bust – in December 2005 and February 2006, according to US Bureau of Labor Statistics records that stretch back to 1990. The new record 1.7% that…

Excel Miami plans 216 micro housing units near Metrorail

A new mixed-use residential development planned near a Metromover station will include more than 200 micro units among 424 residential units. Owner-developer Clearline Real Estate plans the 26-story Excel Miami at 1550 NE Miami Place, north of the School Board Station, near the northwestern end of Downtown Miami, and west of the Arts & Entertainment District.

Bids Are In: Former Miami Herald Site Could Sell For Nearly $1.5B

The former Herald site in downtown Miami is attracting significant interest from developers, according to Bloomberg. Bids are coming in at prices which could set a U.S. record for a development site, listing broker Michael Fay told the news service. The highest bid came in at just under $1.5 billion. A total of five of the bids exceeded $1 billion, Fay said. Based on those bids…

Genting scores 5 offers, each over $1B for downtown Miami dev site

Five bidders are willing to wager on a prime assemblage of waterfront land in downtown Miami, each offering more than $1 billion for the 15.5-acre site. Malaysian gambling operator Genting Group secured nine offers for the property at 1431 North Bayshore Drive in downtown Miami’s Arts & Entertainment District. Five exceeded $1 billion, and those could advance…

Catch restaurant, Sunset Harbour mixed-use project head for design approval

Developers of a South of Fifth seafood restaurant and a planned Sunset Harbour mixed-use project are aiming to reel in design approvals from the city of Miami Beach next week. On Tuesday, the Miami Beach Design Review Board will consider approving a renovation plan by New York-based Catch Hospitality Group. It is proposing…  at 200 South Pointe Drive, adjacent to the Continuum…

How Terra’s proposed $500M Miami Beach condo buyout could play out

The fate of one of the largest oceanfront sites in Miami Beach could play out in the coming months, as developer David Martin is offering $500 million for the Castle Beach Club condo building. The move comes months after condo giant Related Group and partner 13th Floor Investments pulled their bid for the property. Though Martin’s Terra is offering the same amount for the 4-acre…

Signature Bridge Project Completion Pushed To Late 2027; Double Deck Highway Poured

The completion date for the massive Downtown Miami Signature Bridge and highway reconstruction project has been pushed back to late 2027, according to the project website. The project budget remains listed at $840 million, as it was last year. Last year, the project website listed a completion date of Summer 2026. Before that, the completion date was listed as Fall 2023.

Atlantic Pacific proposes affordable rentals in Perrine

Atlantic Pacific Companies wants to build an affordable housing complex in south Miami-Dade County’s Perrine area. The project would consist of a six-story building and a seven-story building with a combined 270 units at 10060 West Evergreen Street in unincorporated Miami-Dade, according to a development application filed to the county last week. Atlantic Pacific would lease…

TA Builders scores $18M construction loan for Coral Gables rentals

TA Builders scored an $18 million construction loan for a 25-unit luxury apartment project in Coral Gables. The firm has started demolishing an existing eight-unit condominium and duplex on the development site at 701 and 711 Valencia Avenue to make way for the planned seven-story building, TA co-owner Luis Arevalo told The Real Deal. The project, called 701 Valencia…

TA Builders plans 126 apartments in two Coral Gables projects

TA Builders plans a pair of multifamily projects with a combined 126 units in Coral Gables, marking the developer’s continued bet on the city’s residential market. First on tap will be a nine-story building with 69 units at 211 Santillane Avenue, followed by another nine-story building with 57 units at 1008 East Ponce de Leon Boulevard, TA co-owner. Luis Arevalo told…

Auto dealer picks up North Miami office building for $39M

Auto dealer Ali Ahmed bought a North Miami office building for $39 million. An entity managed by Ahmed, owner of Miami Lakes Automall and other dealerships across Florida, acquired Biscayne Centre at 11900 Biscayne Boulevard, according to a press release. Benjamin H. Silver and Charlie Manuel with CBRE represented both sides in the sale of the eight-story…

$7.3M Sale Arranged of Doral Store Leased to CVS

Franklin Street has arranged the $7.3 million sale of a 14,900-square-foot, single-tenant retail store located at 3750 NW 87th Ave. in Doral, a suburb of Miami. The property was triple-net leased to CVS. Greg Matus, Adam Tiktin and Alex Lazo of Franklin Street, along with Norman Matus of Red Rock Realty, represented the seller, Illinois-based Curfin Property US…

L. Milton proposes 274-unit rental complex in Naranja

Family owned development firm L. Milton Construction wants to build a 274-unit apartment complex in south Miami-Dade County’s Naranja neighborhood. The proposal is for the second phase of the company’s Lanai Landings project, and marks continued development appetite for south Miami-Dade. L. Milton proposes two nine-story buildings that will include 2,700 square feet…

Crescent buys Colonnade Hotel in Coral Gables for $63M

Crescent Real Estate is planting a flag in South Florida, acquiring the Colonnade Hotel in Coral Gables for $63 million. The Dallas-based real estate development and investment firm is the buyer of the property at 180 Aragon Avenue, according to three sources familiar with the transaction, including Crescent’s partner in the deal. The hotel operates under Marriott’s Autograph…

Walgreens drop-off: Retailer sells another South Florida store

Walgreens is on a South Florida selling spree, shedding more than a half dozen stores since December for a combined $64.3 million. But don’t expect any to close. The national retailer signed five-year leaseback deals with different buyers for each. Most recently, the drugstore chain sold a Walgreens at 791 Northeast 167th Street in North Miami Beach. An entity managed…

Rivani’s Black Lion buys SLS Brickell restaurant space from Qatari royals

Robert Rivani’s Black Lion is on the prowl again, snatching the restaurant space at Brickell SLS Miami from a family of royals. A Black Lion affiliate paid $10 million for the 13,500-square-foot, indoor/outdoor commercial unit in the condo-hotel at 1300 South Miami Avenue, Rivani told The Real Deal. The seller is a Delaware entity managed by Francois Faber of Fiduciaire Fernand Faber…

Giovanni Bertolotti, Abiel Ballesteros and Rene Sanchez of SAR Apartment Capital, and Michael Mallory pay $13M for Ocean King property

A partnership of four investors scooped up an aging North Miami apartment building, with plans to fix it and raise rents. Giovanni Bertolotti, Abiel Ballesteros, Rene Sanchez and Michael Mallory bought the Ocean King Apartments at 14500 Northeast Sixth Avenue from an affiliate of Miami-based Ezkanda Group for $13 million, Bertolotti told The Real Deal. Ballesteros and Sanchez…

Florida’s $711M affordable housing bill becomes law

Florida Gov. Ron DeSantis signed affordable housing legislation that will pump $711 million into housing programs and incentivize developers with major tax breaks. DeSantis signed Senate Bill 102, known as the Live Local Act, on Wednesday, days after the legislation passed in the Florida House of Representatives. In addition to setting aside funds for affordable housing…

Florida’s affordable housing law could “change the look of coastal cities”

Developers are analyzing how to take advantage of Florida’s new legislation, which will set aside over $700 million in funding, create tax breaks, and provide zoning-related incentives for affordable and workforce housing developments. The law could contribute to a new boom in housing development, from entirely affordable buildings to mixed-income towers on commercial…

DeSantis Signs $711M Housing Bill, Rent Control Ban Into Law

Florida lawmakers on Wednesday signed into law the largest state government investment in housing in the state’s history. Gov. Ron DeSantis signed SB 102, legislation that directs $711M toward programs that would fund the development of affordable and workforce housing throughout the state. The law also forbids municipal governments from enacting rent control…

Videos: MSCI’s Jim Costello Presents Retail Sales & Investment Update, Advice for Retail Property Investors

In these videos, the big question for retail in 2023, whether post-COVID “revenge spending” will continue to fuel high sales, or will instead inflation and higher interest rates overpower demand to slow consumers down, is address. Jim Costello, Chief Economist with MSCI – Real Estate, joins Michael Bull of America’s Commercial Real Estate Show to consider retail performance and how…

Why Miami’s Retail Scene Is Hotter Than Ever

While many cities are still facing major challenges, the Miami retail scene is having a moment. After years of pandemic-fueled tourism and population increases, retailers — many new to the city — are following their wealthy customers to the South Florida hot spot in droves. In fact, recent openings like Kith in the Design District and Nike’s new Rise concept shop in Aventura mall…

Fewer Lenders Active in US Commercial Mortgages

The debt markets have come into sharp focus with the failures of Silicon Valley Bank and Signature Bank. The upheaval highlights a fluid situation as lenders come to grips with an environment of higher interest rates. Borrowers in the commercial real-estate market themselves have faced challenges, with higher mortgage costs repressing some investment activity. The increase…

How the threat of a U.S. debt default could impact multifamily real estate

As of January 2023, the Treasury Department began taking “extraordinary measures” to prevent the United States from defaulting on its debt. Although past congressional debt-ceiling talks have come to resolutions at the last hour, it’s important to understand what happens if the U.S. defaults on its debt and what’s at stake. What is the debt ceiling? The debt ceiling is the total amount…

Medical group plans four-story surgical center in Kendall

A retail/medical plaza in the Kendall area of Miami-Dade County could be redeveloped into an outpatient surgery complex plus a medical office building. Majorca Investment Properties, managed by orthopedic surgeon Dr. Jorge L. Orbay of the Miami Bone & Joint Institute, filed a pre-application with county officials concerning the 4.3-acre site at 8100 S.W. 81st Dr./Kings Creek Drive

After Amazon’s Pullback, The Future Of Multistory Warehouses Is In Question

It’s been less than five years since Prologis built the first multistory warehouse in the country, and the number of these pricey properties has taken off since. But with millions of square feet of multistory industrial under construction and seeking tenants, questions remain about how deep the demand for this space goes. There are five multistory properties under…

Slowdown in warehouse construction will keep rents on the rise

The bumpy economic conditions have pushed many transport rates to pre-pandemic lows, but warehouse rents remain stubbornly high. And what’s worse is they are predicted to continue rising – albeit at a reduced pace. The market will struggle with economic headwinds, according to the latest outlook by commercial real estate services firm…

Despite U.S. Economic Slowdown, Industrial Sector Remains Strong

According to the CommercialEdge latest U.S. industrial market report, despite elevated levels of new supply coming online over the past few years, the continued demand for industrial space is keeping market fundamentals healthy across the U.S. The national average rent for in-place leases stood at $7.12 per square foot in February, growing 6.9% over year-ago figures. While most industrial…

WSJ: Apartment-Building Sales Drop 74%, the Most in 14 Years

Sales of rental apartment buildings are falling at the fastest rate since the subprime-mortgage crisis, a sign that higher interest rates, regional banking turmoil and slowing rent growth are undercutting demand for these buildings. Investors purchased $14 billion of apartment buildings in the first quarter of 2023, according to a preliminary report by data firm CoStar Group.

Miami Developers Court New York Restaurateur to Help Sell Luxury Condos

Major Food Group, the proprietor of trendy Manhattan restaurants such as Dirty French and the Italian eatery Carbone, is extending its brand into the booming Miami residential real-estate business. The hospitality company, which opened its first restaurant in 2011, is joining two Miami-based developers to build a 58-story luxury condominium tower on the southern Florida…

Apartment Sales Plunge Nationally As Lower Values, Cost Of Financing Stop Deals In Their Tracks

Apartment sales have plummeted to their lowest point in 11 years, signaling hesitance among investors who once viewed the sector as commercial real estate’s golden child. Investors purchased $14B worth of apartment buildings in the first quarter of 2023, a 74% drop year-over-year and the largest decline since Q1 of 2009, according to a Wall Street Journal report citing…

Developer Nets $55M Madison Realty Loan for West Palm Beach Property

A rendering of Olara in West Palm Beach. Image courtesy of Madison Realty Capital and Binyan Studios Real estate investment firm and developer Savanna has obtained a $55.1 million in debt to construct Olara, a luxury waterfront condominium tower in West Palm Beach. Fla. Private equity firm Madison Realty Capital provided the loan. Situated at 1919 N Flagler Drive, Olara…

Watermark, ZOM Open 154-Unit Seniors Housing Community in West Palm Beach

Watermark Retirement Communities and ZOM Senior Living have opened The Watermark at West Palm Beach, a 154-unit seniors housing community in the South Florida city of West Palm Beach. The community is the latest addition to Watermark’s luxury Élan Collection of communities. Spanning over 245,000 square feet, The Watermark at West Palm Beach encompasses studios…

Steve Ross’ Related plans more office towers in West Palm

Stephen Ross’ Related Companies plans a pair of towers at The Square mixed-use complex in West Palm Beach. The projects would mark the firm’s seventh and eighth office buildings in downtown, as it bets on an influx of businesses to the area. Related wants to build the East Tower and West Tower, each with 430,000 square feet of office space, on the northeast corner of South…