Aug 30, 2017 - 0 Comments - Top Stories -

Miami Commercial Real Estate News August 30, 2017: Midtown 6 Gets Financing; NREI Evaluates Miami Industrial Market; More…

HFF Announces $110.3 Million Financing of J.P. Morgan and Magellan Development Group’s Midtown Miami Mixed-Use Tower

Holliday Fenoglio Fowler, L.P. (HFF) announces $110.3 million in financing for the development of Midtown 6, a 31-story, mixed-use residential and retail tower in Midtown Miami. “We are excited to watch Midtown 6 continue to build out Midtown Miami, as the adjacent Midtown 5 project has done.” The HFF team worked on behalf of the borrower, a joint venture between institutional investors advised by…

Video: Conor Wagner of Green Street Says No Slowdown in Multifamily Supply Growth in 2018

In this brief video, Conor Wagner of Greenstreet Advisors sits down with Matthew Bechard at NAREIT to discuss the multifamily (apartments) property sector. Highlights include: Green Street does is not expecting a material slowdown in multifamily supply growth in 2018 for the apartment sector. According to Green Street Advisors Analyst Conor Wagner, housing starts have not shown any real…

NREI: How Miami’s Industrial Market Stacks Up Against its Peers

Much the same way Miami has gained prominence from a cultural, culinary and tourism standpoint, the city has become a hotbed for industrial investment activity. The industrial real estate sector is now considered a top-tier U.S. market, alongside markets such as Los Angeles, New York/New Jersey, Chicago, Atlanta and Northern California. The occupancy rate reached 96 percent in Miami-Dade in 2016…

Omni neighborhood changing in a big way with Melo

The north end of the Metromover’s elevated track ends at the School Board Station in the Omni neighborhood, at 50 NE 15th Street. Much of the surrounding land has remained vacant, dormant or underdeveloped for decades. That’s all changing in a big way as The Melo Group works to transform the area, encouraging other development in the growing Arts and Entertainment District and bringing…

Miami marina vote tied to affordable housing ‘gift’

If enough Miami commissioners attend a special meeting Friday to make quorum and review a multi-million-dollar marina redevelopment, Chairman Keon Hardemon says money from the winning bidders for affordable housing would go a long way to secure his vote. He said so to the players in a new company, Virginia Key LLC, on Monday when the mayor tried to convene a special meeting…

South Florida’s office markets report higher rents, drop in vacancy rates: Q2 reports

Office vacancy rates fell in Miami-Dade, Broward and Palm Beach counties and asking rents rose, as the region’s office markets continue to stabilize, according to Colliers International’s second quarter reports. Miami-Dade: In Miami-Dade, the vacancy rate fell 0.3 percent from the previous quarter to 9.4 percent, the lowest of all three counties. The tightest vacancy rates in major submarkets were in Miami…

New York fashion designer Naeem Khan works with schools on river studio

New York fashion designer Naeem Khan, who proposed five months ago to incorporate a vocational school of fashion into his original concept of constructing a design studio on the Miami River at 1175 NW South River Drive, is still on track to open by mid-2019 and is currently in the process of working with the Miami River Commission and Miami-Dade County Public Schools to make sure that the…

Trackless train may be a Miami-Dade alternative

A new trackless train that floats above movable rubberized strips may be one alternative to solving Miami-Dade’s transit problems, said Frank Guyamier, Miami-Dade County deputy engineering director. “We want to show you next-generation technology, just to show you where we started and what’s in the future,” he told members of the Transportation Planning Organization (TPO)’s Transportation…

AEI Founder Sees Trends In Miami Office Design

Approximately six months ago, Latin American design firm AEI decided to open a Miami office, AEI U.S. Studio. Founder and principal Juliana Fernandez, who has done design work for Microsoft and Coca-Cola, felt there was a need in the city for the type of cutting-edge commercial design that global brands seek, and she hoped to offer it at a competitive price. Locally, AEI has designed the interiors of…

Newly Released Report: Florida’s Industrial Markets See Increase In Spec Construction

Much the same way Miami has gained prominence from a cultural, culinary and tourism standpoint, the city has become a hotbed for industrial investment activity. The industrial real estate sector is now considered a top-tier U.S. market, alongside markets such as Los Angeles, New York/New Jersey, Chicago, Atlanta and Northern California. The occupancy rate reached 96 percent in Miami-Dade in 2016…

How to handle open permits is often a common question associated with real estate transactions

How to handle open permits is often a common question associated with real estate transactions. When a property owner wants to perform certain work to their property they typically have to secure a permit from the governing municipality.  The governing municipality then performs an inspection of the work once the work is completed.  If the work passes inspection the permit is then closed.

Miami Beach launches Ocean Drive pilot program

Designed to create a more friendly pedestrian experience Beginning this Friday will be a four-week pilot program in South Beach by the City of Miami Beach and Ocean Drive stakeholders in an attempt to “create a more friendly pedestrian experience along Ocean Drive,” per a press release unveiled by the city on Monday. From 5th Street to 11th Street, Ocean Drive will become a one-way road — heading…

The Optimum office tower breaks ground in Coconut Grove

Featuring a 6,500-square-foot restauarant Optimum Group recently broke ground on a Class A office building at 3480 Main Highway in Coconut Grove. Named “The Optimum,” it’s among a slew of new office projects to be announced for the surging neighborhood and is located next to Greenstreet Cafe. The developer closed on a $21.5 million construction loan in June. The project will feature four stories…

Miami’s real estate market is rotten, per study

Miami ranks 60th of 62 major cities The real estate markets in Miami and Miami Beach fared very poorly in a recently WalletHub study looking at the “Best Real-Estate Markets” of 2017, with both cities ranking in the bottom 5 percent of the 300 cities analyzed. Miami ranked 60th among 62 “large cities” while Miami Beach ranked 138th among 140 “small cities.” The study compared the 300 cities across…

Miami Beach building director under investigation

Miami Beach’s building director may be in hot water. Mariano Fernandez is on administrative leave without pay as the Miami-Dade state attorney’s office looks into whether he accepted a gift from a hotel that received approvals from the city’s building department, according to the Miami Herald. Earlier this year, City Manager Jimmy Morales received an anonymous complaint with the allegations. Miami Beach…

A serious “one-two punch” is beating back hotel development

New hotel development across the country is slowing as operators feel the pinch from years of rapid growth and a flood of new supply.
Hotel construction spending fell 2 percent between December and June to $2.75 billion, according to Census Bureau data cited by the Wall Street Journal. Construction spending had more than tripled since hitting rock bottom in 2011. As of late, construction labor…

Rehab center sells Edgewater properties to two developers for $11M

A rehabilitation center along Biscayne Boulevard in Miami sold its real estate to two prominent developers. Property records show the Village Foundation Inc. sold the building at 3180 Biscayne Boulevard to Crescent Heights for $3.64 million, and the nearby properties (birdseye view) at 3031 Northeast Fourth Avenue and 3055 Northeast Fourth Avenue to Prodesa International for $7 million.

Tricera Capital Buys First Floor Of Vice Condo For Retail

Tricera Capital, a real estate investment firm with a focus in Central and South Florida, announced last week that it is under contract to purchase the ground-floor retail space at Vice, a new mixed-use project in downtown Miami at 243 NE Third Street. Two of the retail bays have already been leased to tenants GOGO Fresh and OXXO Dry Cleaners. They are expected to open next summer. Vice is a 31-story…

Sunrise homebuilder pays $21M for Homestead land

An affiliate of Sunrise-based Centerline Capital Advisors, led by Craig Perry, just paid $21.3 million for an assemblage of lots for single-family homes in Homestead, property records show. Centerline also secured a $7 million loan from Weston-based Florida Community Bank and a nearly $4.4 million loan from NVR Inc., and arm of the Virginia-based homebuilder Ryan Homes. SW 112 Investments, led…

Miami home prices increase 5% in June, year-over-year, lagging national average: S&P CoreLogic Case-Shiller

Miami home prices rose 5 percent in June, year-over-year, marking the fifth lowest increase nationwide, according to the latest S&P CoreLogic Case-Shiller Index. The newly released report, which tracks 20 major metropolitan areas in the country, shows home prices in Miami increased by just 0.4 percent from May to June. From April to May, Miami home prices increased by 0.8 percent, ranking as the…

CoStar Market Insights: Miami Suburbs Outpace Downtown Rent Growth

The Miami office market has continued to outpace the national average well into the third quarter of 2017. Miami has displayed impressive job growth in office-using sectors over the past year, and it is well on its way to outgrowing its reputation for having a scarcity of high-paying jobs. As job growth creates more demand for office space, though, many developers have found that downtown real…

Feds Expand FinCEN Order Targeting Money Laundering in High-End Real Estate

Honolulu became the seventh metropolitan area added to the list of markets targeted by the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN) aimed at cracking down on money laundering through high-end U.S. residential real estate. FinCEN first required the filings, known as Geographic Targeting Orders (GTOs), in January 2016 from U.S. title insurance companies who have to report beneficial…

Market Trend: Select Top Five South Florida Industrial Leases Signed in Q2 2017

The select top industrial lease signed during the first half of 2017 in the South Florida market was at 12610 NW 115th Avenue in the Medley submarket. Bel USA LLC renewed its 342,750-square-foot lease there, represented by CBRE. Newmark Knight Frank represented the landlord. Dependable Packaging Solutions leased 182,000 square feet at 5255 NW 159th Street in the Miami Lakes Industrial…

What is a franchise?

There are a variety of different benefits associate with franchising but if you are considering opening a franchise business, you may wonder what they are. At its most basic level, a franchise business system allows entrepreneurs purchase rights to open a run a smaller location of a larger company. A contractual franchise agreement is signed between the parties outlining the rules for running…

Businesses Die Along Flagler Street In Little Havana As Roadway Construction Drags On

Another long-delayed streetscape project is wreaking havoc on nearby businesses. As many as 50 stores and restaurants have closed along West Flagler Street in Little Havana amid major street reconstruction of the area between Southwest First Street from 27th Avenue to Second Avenue. Business owners described the construction, which includes replacing the water main, drainage system, sidewalks…

Should The Area Around The Falls Become Its Own City?

A small pocket of Miami-Dade County is having a tug of war over incorporation. Homeowners who live near The Falls shopping mall between Pinecrest and Palmetto Bay are debating whether the community should become a city with its own government. Would its creation give residents better control of development or just facilitate corruption and increase property tax bills? “It’s been the same…”