Month: January 2020

Just watching the first couple of minutes of this video, then skipping through a bit, one quickly realizes just how much things have changed in the past couple of decades. At that time, indoor malls had become dominant on the retail landscape, but this dominance had only taken hold in the prior decade or two. Now, retail is on the ropes, with numbers of retail malls undergoing significant changes. E-commerce is taking its toll, and that toll seems likely to increase. Some malls have just died completely, as chronicled by the (some might say morbid) DeadMalls.com. New shopping destinations are different, offering more entertainment and dining options, with a great example being the planned American Dream Miami, a mega mall to become the largest mall in the United States, in the northwest corner of Miami-Dade county.

South Florida office rents rise in Q4

South Florida businesses looking to catch a break on their rent may have to wait another year. Office rental leasing rates rose in the tri-county area in the fourth quarter, year-over-year, according to a newly released report. Miami’s office rents rose for the eighth quarter in a row, increasing to $43.40 from $39.10 in the fourth quarter of 2018, according to JLL’s…

Moss Construction Completes 19-Story Multifamily Property in Downtown Miami’s Brickell District

Moss Construction has completed Maizon at Brickell, a 19-story, 262-unit multifamily property in downtown Miami. The property offers apartments ranging from 490 square feet to 1,234 square feet. Maizon at Brickell also features an attached parking garage, 15,000 square feet of retail space and 3,400 square feet of amenity and leasing space. RD Jones designed the…

Fast-Growing Hotel Disrupter – Nearing 5 Hotels in Miami – Raises $30M As Its Business Model Gets Put To The Test

A lean, tech-oriented hotel operator, Life House, has raised $30M in a Series B funding round, it announced this week, which comes as its business model is being put to the test. Courtesy of Life House A Life House suite in Miami Beach’s South of Fifth neighborhood. Life House’s model is to be hired by independent hotels, do a cosmetic refresh and use proprietary…

The Big-Money Development Push Is On In Wynwood, Allapattah

After a frenzied few years of flipping, landowners in Miami’s Wynwood and Allapattah neighborhoods have fully shifted to build mode. Jon Paul Perez is learning how to run Related Group. At 33, he already oversees multiple condo projects. Related Group recently completed two projects in Wynwood and has more in the works, Vice President Jon Paul Perez told Bisnow this…

American Fine Food Relocates South Florida Operations to Doral

American Fine Food Corp. has signed a 147,581-square-foot lease at International Corporate Park in Doral, Fla. Boeing Distribution Services subleased the facility where the food distributor will relocate its South Florida operations. Easton & Associates, the brokerage arm of The Easton Group, represented the tenant in the lease, while CBRE assisted the…

AC Hotel Opens In Miami’s Edgewater Neighborhood, Marking A Turning Point For The Area

A stretch of Biscayne Boulevard in Miami’s Edgewater neighborhood—once known as a seedy red-light district—is now attracting brand hotels. On January 25, the AC Hotel Miami Midtown opened its doors for business next to a Hampton Inn & Suites that’s been in operation since 2017. Miami architect Kobi Karp, who designed both hotels, said AC Hotel’s arrival…

Between Two Super Bowls, Downtown Miami Real Estate Development Boomed To Record Levels

When South Florida hosted its last Super Bowl in 2010, downtown Miami was still reeling from the great recession and the real estate market crash. Ten years later, as downtown Miami takes center stage for Super Bowl LIV, the city’s urban core has rebounded with an unprecedented building boom that has added more than a dozen new skyscrapers, including the Zaha…

Video: Economist Hugh Kelly, Ph.D. on Riding the Cycle

The economic cycle remains expansive, not yet having turned as we continue to ride out what has become the longest economic expansion in United States history. Given this, what’s next for commercial real estate? Join Michael Bukl and his guest Hugh Kelly, Ph.D., of Hugh Kelly Real Estate Economics, as they talk about where we are in the economic cycle, how…

Sunny Isles Property manager stole HOA money, then gambled it away: police

A property manager in Sunny Isles Beach was arrested and booked into jail on Monday after police say she stole hundreds of thousands of dollars and gambled it all away. It’s the second time the property manager, Georgina Pineda, has been charged in connection with her role of managing a Sunny Isles Beach condo building. Pineda is out on bond on a felony charge of…

Miami Beach seeks interest in running one of oldest buildings

It’s one of Miami Beach’s oldest buildings. Now, city commissioners want to drum up ideas for use of the Carl Fisher Clubhouse. Mayor Dan Gelber and the city commission discussed the clubhouse’s potential Jan. 15 and agreed the city will seek letters of interest to attract potential ideas for the site.  However, a letter from City Manager Jimmy Morales to the mayor and…

Miami Beach kaleidoscopic bridge inches toward reality

For Miami Beach, a development that’ll lead to a kaleidoscopic bridge to welcome those coming in and out of the city, a 3-acre park with residency features and a 519-foot tower of 330 residential units is inching toward reality. The Miami Beach commission unanimously approved on first reading the second amendment to its agreement with the developers…

Miami land swap for city administration building may collapse

The Miami City Commission deferred a rezoning for the city’s riverside offices site linked with its lease to a developer in exchange for a new municipal administration building nearby, with discussion portending a possible collapse of the complex deal.  Commissioners last week indefinitely deferred the rezoning and land use change, following a request from…

Miami International Boat Show, Marine Stadium on collision course?

There remain serious concerns among those supporting restoration of Miami Marine Stadium that the millions of dollars going into rebuilding it may be wasted if the Miami International Boat Show continues to control the city-owned property in the peak tourist season. The boat show is held in mid-February on Virginia Key, under a license agreement between the…

Downtown pays for look at closing some Biscayne Boulevard lanes

Directors of Miami’s Downtown Development Authority voted unanimously Friday to back Biscayne Green Weekend – three days of activations to evaluate the outcome of closing part of Biscayne Boulevard to traffic and opening it to programming – and fund the event at $65,000. The event would take place sometime this spring, but further details haven’t…

Magellan launches leasing of Midtown Miami apartment tower

Magellan Development Group launched preleasing for its latest Midtown Miami apartment building, adding nearly 450 rentals to the market, The Real Deal has learned. Chicago-based Magellan, investor Alex Vadia and J.P. Morgan Asset Management are completing construction of Gio Midtown, previously known as Midtown 6, at 3101 Northeast First Avenue in Miami.

$1K a night, easy: South Florida hotels score high rates for Super Bowl LIV

AC Hotel Miami Midtown is ready for some football. The 153-key hotel opened its doors less than a week ago, and with mere days until the Big Game, it is fully booked from Jan. 30 to Feb. 2, the four days that encompass Super Bowl LIV weekend. Pre-booking at the hotel, at 3400 Biscayne Boulevard, started in the $300 range before the AFC and NFC…

South Florida industrial market continues to rally in Q4

Bridge Point Powerline Road industrial property The industrial party in South Florida seems poised to roll on in 2020. As e-commerce giants increasingly seek out large warehouse spaces and interest from investors like Blackrock and Prologis grows, industrial prices in South Florida have skyrocketed over the past few years. Miami-Dade and Broward counties…

Condos at Mr. C Residences in Coconut Grove will start in the $600Ks

Developer David Martin is launching sales of Mr. C Residences, months after revealing plans for the luxury condo project in Coconut Grove. The 20-story, 118-unit development will have condos ranging from 650 square feet to 3,645 square feet. Pricing will range from the low $600,000s to more than $5 million. Martin’s Terra and Ignazio and Maggio Cipriani’s Mr. C will…

Lung Yai partners ink lease for former Gigi space; other restaurant news

The partners behind Lung Yai Tapas, Bonding and Ahi Sushi restaurants in Miami will open a new Asian-fusion concept at 3470 North Miami Avenue, The Real Deal has learned. The 2,317-square-foot space is the former site of Gigi and more recently, Mason. Marc Sirkin of Engel & Volkers Delray Beach and Asi Cymbal of Cymbal Realty brokered the deal. Sirkin…

Bang: Energy drink company drops $40M on warehouse

The maker of Bang energy drinks paid $40.37 million for a warehouse in Pembroke Pines, adding to its assemblage. Weston-based Vital Pharmaceuticals purchased the 249,005-square-foot warehouse known as the South Florida Distribution Center at 20351 Sheridan Street for $165 per square foot. South Florida Distribution Center Building B, LLC, which…

Miami to debate FIU affordable housing plan

Miami is among the least affordable cities in the U.S., and needs to build or rehab 32,000 residential units over the next 10 years to help alleviate its affordability crisis, according to a new report from Florida International University. City of Miami commissioners will convene a meeting to focus on recommendations from FIU’s Affordable Housing Master Plan, as well…

Shoma plans two-tower rental project near Coral Gables

Shoma Group is betting on Miami’s multifamily market. Developer Masoud Shojaee is planning to build a two-tower, 359-unit rental development on Bird Road near Coral Gables. Shoma is under contract to buy the property at 3650 Bird Road, which is home to Deel Volvo, he said. Closing on the site is contingent on the developer securing approval for the project, to be…

Multifamily still delivers as investors avoid rent control

Investors are still paying top dollar for multifamily assets — if they are outside of the reach of rent control. Across the country, investors paid more on average per apartment in the third quarter of 2019 than they did in 2018 — $158,296 per door, up from $151,766 in 2018 and $106,074 in 2012, according to an analysis by Marcus & Millichap, the Wall Street Journal…

How South Florida CRE Is Addressing Climate Change

A new way to invest in a weather-weary world Not a day goes by when there isn’t some sort of mention of climate change and sea-level rise. Pundits may debate the validity of the science behind the issue, but Miamians and other South Floridians are becoming increasingly adept at wading and driving through flooded streets and sidewalks. Businesses…

Commercial Real Estate Trends For 2020

5 key areas that will shape the new year and beyond A television commentator recently claimed that 2020 isn’t a year. He did say, tongue-in-cheek, that it’s the name of a news show on a competing network. He also said it’s a word that defines hindsight and perfect vision—but not a year. In commercial real estate (CRE), though, hindsight and vision are essential to determine the trends and cycles that will define the industry in 2020…

What Investors and Developers Need To Know About EB-5 Investment

The impact of changes to the EB-5 program on commercial real estate investment in South Florida and beyond For developers, one of the keys to seeing a proposed project completed is sufficient capital. At the same time, investors are looking for the right projects with the best potential returns on their investments—wherever those investors are from. Enter the…

As the decades closes out with the end of 2019 and we consider the upcoming decade, the question arises as to what opportunities might be forthcoming in commercial real estate? Barbara Denham, Senior Economist with Moody’s Analytics REIS, appears on America’s Commercial Real Estate Show to share observations and thoughts on the major commercial sectors, office, retail, industrial, and multifamily, as well as specialized sectors like self-storage. She also discusses important and active issues for the commercial real estate industry like trade tariffs and where we are at in the current economic cycle.

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The economic cycle remains expansive, not yet having turned as we continue to ride out what has become the longest economic expansion in United States history. Given this, what’s next for commercial real estate? Join Michael Bukl and his guest Hugh Kelly, Ph.D., of Hugh Kelly Real Estate Economics, as they talk about where we are in the economic cycle, how trade tariffs and heightened political uncertainty may affect our economy, and potential opportunities as we go further into the year 2020.

Madison Marquette Acquires Two Office Buildings in Miami’s Coconut Grove for $47.7M

Madison Marquette, a real estate investor, developer and operator, has acquired two office buildings in Miami’s Coconut Grove neighborhood for $47.7 million. The properties include the 80,380-square-foot Continental Plaza, located at 3250 Mary Street and the 57,155-square-foot Bayview Executive Plaza, situated at 3225 Aviation Avenue less than a mile from Continental Plaza. MetLife provided…

Madison Marquette pays $47M for Coconut Grove office buildings

A Washington, D.C. commercial real estate firm purchased its first properties in Miami. Madison Marquette, an investor, developer and operator of mixed-use real estate, paid a combined $47.4 million for the office buildings at 3250 Mary Street and 3225 Aviation Avenue in Coconut Grove, property records show. The deals closed in late December. Allegra Holding sold both buildings to affiliates…

Senior living developer buys dev site in south Miami-Dade

Royal Senior Care closed on the site of a planned senior living development in south Miami-Dade, next to a Jackson Health System hospital. Property records show RSC Coral Reef PropCo LLC paid $7.55 million for the 12.9-acre site on 97th Avenue behind Southwest 152nd Street. The seller is HTA-Miami Dade Land LLC, an affiliate of Healthcare Trust of America, a medical office real estate investment…

Miami board votes to repeal Special Area Plans

Special Area Plans have enabled developers to build massive projects in the city of Miami like Brickell City Centre, River Landing Shops and Residences, Mana Wynwood, the Miami Produce Center, and Magic City Innovation District. SAPs have also antagonized neighborhood activists who fear that such massive developments destroy the character of low-rise neighborhoods and speed up…

R&B Realty Breaks Ground on Miami Office Tower

Rose & Berg Realty Group has broken ground on The Gateway at Wynwood, a 12-story Class A office building in Miami’s Wynwood district. The upcoming project at 2916 N. Miami Ave. is scheduled for completion in the second half of 2021. The property will comprise about 195,000 leasable square feet of office space, about 26,000 square feet of street-level retail, a private rooftop terrace and a garage.

Video: Futurist Author Daniel Burrus Discusses Predicting the Future of Commercial Real Estate

In this 2 part video series, Daniel Burrus, Technology Futurist, New York Times Bestselling Author of The Anticipatory Organization, business advisor, and public speaker in the areas of business strategy and innovation joins America’s Commercial Real Estate Show to talk about how to recognize inevitable trends and foresee disruption, and to share some of his predictions for the commercial real estate…

South Beach Business Improvement District advances

A special district aimed at improving the safety and appeal of Ocean Drive and Collins Avenue is inching toward reality.  At last week’s meeting, Miami Beach commissioners gave their preliminary approval to the proposed South Beach Business Improvement District (BID). If it clears all hurdles, it could result in a tax fund of over $2 million a year for the next 10 years to improve Ocean Drive and Collins Avenue.

Legislature moves to drain funding pool for pro stadiums

A proposal is once again in play to eliminate an untouched pool of state money set aside in 2014 to help build and renovate professional sports stadiums. The House Workforce Development & Tourism Subcommittee on Tuesday quickly backed the proposal, which would repeal a funding program that spells out steps for state dollars to become available for stadium construction and renovation. Without…

Miami-Dade targets five 2020 transportation milestones

Work to improve mobility in Miami-Dade is ongoing, and according to Transportation Director Alice Bravo, travelers here can already expect the county to reach five major milestones before the year is over. “First things first, we’ll be completing the delivery of all the new railcars for Metrorail by spring,” she said. “By then, we’ll have received the next 120 CNG buses [the county bought, which will] bring us…

Transit Alliance Miami wants to audit county’s Smart Plan

With a final vote on Transit Alliance Miami’s redesign of the Metrobus network expected by June, the nonprofit has set its sights on auditing the Strategic Miami Area Rapid Transit (Smart) Plan. Miami-Dade adopted the Smart Plan in 2016 to advance six commuting corridors, select transit modes and seek matching state and federal funds to install them. They sold it as way to keep a promise made…

Miami Beach officials cool to downtown Miami transit link plan

While Miami-Dade County may soon firm up a Miami Beach to downtown transit link, Miami Beach officials aren’t sold yet. At last week’s Beach commission meeting, county transportation head Alice Bravo shared a preferred Beach Corridor plan based on a study by engineering firm Parsons: elevated rubber-tire vehicles – either an automated people mover or monorail – along the MacArthur…

Lucky’s Market plans to close nearly all Florida stores

The popular grocery chain Lucky’s Market is closing almost all of its Florida stores, a month after Kroger announced that it would pull back its investment in the company. Lucky’s plans to close 20 stores in Florida, including its stores in Coral Springs, Oakland Park and Plantation by Feb. 12, according to the Sun Sentinel. The company’s West Melbourne store is the only store that will remain open in the Sunshine…

Investor buys Sunny Isles apartments

An investor bought an apartment building on the non-oceanfront side of Sunny Isles Beach for $7.56 million. Bella Apartments LLC, managed by Riad Belarbi of Miami, sold the apartments at 225 179th Drive to Arcadia Real Estate FL LLC. The 17-unit building sold for $444,705 per unit, records show. The 41,105-square-foot building sits on a 15,000-square-foot lot. The property last sold for $5.7 million…

Real estate fundraising hits lowest level since 2013

As high-yielding real estate deals become harder to come by, institutional investors are starting to become more selective — making it harder for private equity real estate funds to raise capital. Real estate funds closed in the fourth quarter of 2019 totaled $18 billion, the Wall Street Journal reported, citing…

Grove Isle tennis club lawsuit aims volley against developer’s new project

The Markers Grove Isle Grove Isle Tennis Owners Association is launching a volley at The Markers Grove Isle, a proposed five-building luxury project swirling with controversy. A recently filed lawsuit alleges that construction of the new waterfront condominium complex in the ritzy enclave of Grove Isle is going to end tennis amenities for unit owners of three existing residential towers. It’s the latest legal…

Decrease in Florida Sales Tax on Commercial Rent

Effective as of January 1, 2020, the Florida state sales tax rate applicable to the lease of commercial real property has decreased from 5.7% to 5.5%.  Therefore, the state will levy a 5.5% sales tax on all rent collected from commercial properties in Florida. This new state sales tax rate, however, does not impact county surtax rates.  Because individual counties may impose a discretionary sales surtax, the surtax rate…

International Produce Trade Remains Critical To Miami

Despite the Miami region’s abundant production, the heart of South Florida’s fruit and vegetable industry revolves around trade with Latin America, the Caribbean, Asia, and Europe. Three major ports serve the greater Miami area, including PortMiami, Port Everglades, and the Port of Palm Beach. Most of Miami’s produce businesses use all three ports to import and export fresh produce.The closest U.S. port…

Falcone’s mega projects make progress

As SFBW celebrates its fifth anniversary, this occasional series will look at past story subjects. Developer Art Falcone, Falcone Group and Encore Capital Management had myriad major projects when profiled in SFBW’s July 2016 cover story. (The original article is available at SFBWmag.com.) Falcone recently spoke with SFBW to update progress on them. Miami Worldcenter The $4 billion project in downtown…

Beyond The Bio: 16 Questions With Black Salmon CEO Jorge Escobar

He left it behind to delve into commercial real estate, and now he is at the helm of Black Salmon, a Miami-based CRE investment firm with a $450M nationwide portfolio of office, senior housing, industrial and hospitality properties. The tennis-obsessed exec has retained much of his banking DNA, though, and continues to work with a select group of high net worth individuals and family offices in Latin America…

Miami CRE Moves To Capitalize On The Super Bowl

For the first time in a decade, the Super Bowl will be played in Miami — well, just outside of it, in Miami Gardens, at Hard Rock Stadium, owned by billionaire developer Stephen Ross — and hotels, retailers and even luxury condo developers are trying to score a victory for business while the show is in town. The San Francisco 49ers and Kansas City Chiefs will battle it out during the game Feb. 2, and…

This “living concrete” could revolutionize real estate on earth, and in space

Researchers and their “living concrete” Could this be the building block of real estate life on Mars? Researchers at the University of Colorado have turned light-eating bacteria into the world’s tiniest construction workers, utilizing their power to create “living concrete.” Their breakthrough process uses the bacteria in the same way binders are used in traditional concrete-making. The living concrete can…

Opportunity Zone investigation won’t derail developer investment, experts say

The Treasury Department’s investigation into the Opportunity Zones program will weed out the bad apples but won’t derail the federal tax incentive initiative, investors and developers say. Instead, the probe could provide a way for companies with Opportunity Zone funds to promote the social impact of their investments, and could push to strengthen reporting requirements on those investments.

Miami board OKs self-storage development freeze

Miami’s Planning, Zoning & Appeals Board backed two proposed ordinances that will put the brakes on new storage facilities in the city of Miami. The first rule, banning storage facilities near mixed-used residential areas zoned T5 and T6, passed unanimously during the board’s meeting on Wednesday. A second piece of legislation, a 270-day moratorium on any new storage facilities throughout the city, barely…

Ivy Realty Sells Miami Office Building for $30.4M

Greenwich, Conn.-based Ivy Realty has sold the Waterford Centre at Blue Lagoon office building in Miami for $30.4 million. An affiliate of Coral Gables-based Patton Real Estate Group bought the six-story property for $332 per square foot. The 91,431-square-foot office building is located on four acres at 6205 Blue Lagoon Drive. Miguel Alcivar, Dominic Montazemi, Scott O’Donnell and Mike Davis of…

Ivy Realty Sells Miami Office Building

Ivy Realty has sold Waterford Centre at Blue Lagoon, a 91,431-square-foot office building in Miami’s Waterford Business District. Patton Real Estate Group acquired the Class A asset for $30.4 million.Cushman & Wakefield and Kapp Morrison assisted the seller in the disposition. The property last traded in 2014, when Ivy Realty purchased it for $21.6 million from New Boston Fund, according to Yardi…