Investment Group Led by David Martin Set To Acquire Former-Miami Herald Development Site For $1.225 Billion

SmartCity Miami LLC, an investment group led by Miami-based Terra and it’s CEO David Martin is set to acquire the former-Miami Herald headquarters development site for a record $1.225 billion from Genting Group. The investment group has finalized terms for the acquisition of the 15.5-acre site which features 800’ of direct frontage on Biscayne Bay, the closing is set to take place later this year. The site which sits on the nexus of Downtown Miami and Edgewater is regarded as one of the largest and most valuable development sites in the United States.

“This is a prized piece of real estate in the heart of one of the world’s most dynamic and fastest-growing cities, and we are honored to have been selected as the property’s next owner. At Terra, we have a long history of enhancing communities and transforming neighborhoods through careful planning, beautiful design, and a focus on connectivity and resiliency. Our development on Biscayne Bay will continue this tradition.” Said David Martin, CEO of Terra Group.

Genting Group announced in March that it had received five bids over $1 billion following a marketing period led by Avison Young’s Florida Capital Markets Group. The largest bid values the property at just under $1.5 billion for the rare Omni District waterfront site. The land is a ±15.5-acre development opportunity which was marketed as BayCity Miami and is currently host annually to ArtMiami and CONTEXT Art Miami during Miami Art Week as ArtMiami’s Art Wynwood show in February. The property was previously occupied by the Miami Herald headquarters which was demolished in 2014.

Located at 1431 N Bayshore Drive in Miami the property features 800 linear feet of direct Biscayne Bay frontage and highly aggressive zoning in one of Miami’s most dynamic and connected neighborhoods, it is considered the most desirable development site offering in the city’s history and one of the largest waterfront land assemblages currently available in the U.S. The property has the potential to build a landmark mixed-use office, retail, residential, hospitality, and entertainment destination.

“The scale and location of this site offers the opportunity to do something spectacular, something that all Miamians can the pride in, and we will deliver nothing short of that. For now, our team is focused on understanding the full potential of the property and the surrounding area. Our vision will evolve as we learn more. Over time, we will arrive at a plan that elevates Downtown Miami, improves access to the waterfront and is welcomed by our community.” Said David Martin, CEO of Terra Group.

Genting Group appointed Avison Young’s Florida Capital Markets Group led by Avison Young Principals Michael T. Fay, John K. Crotty, CCIM; David Duckworth, and Vice President Brian C. de la Fé to spearhead the marketing and sale of property. Genting Group, one of the largest resort and entertainment and gaming corporations in the world which operates Resorts World, will remain invested in the Omni area, maintaining ownership of parcels spanning 10 acres west of Biscayne Boulevard.

Spanning several lots, including the former Miami Herald headquarters site, the property is in the Metromover subzone of Miami-Dade’s mixed-use zoning of RTZ (Rapid Transit Zone). With South Florida’s most generous zoning designation, the site has unlimited buildable square footage, no setbacks, a height limited only by the FAA regulations (649 feet) and a potential density of over 8,000 units. The RTZ zoning provides developers an enormous, highly flexible building envelope and the opportunity to develop a singular waterfront development of incredible scale.

Terra is a Miami-based real estate development and investment company that creates communities, enhances neighborhoods and connects people. Led by David Martin, Terra was founded in 2001 and is involved in all facets of residential and commercial development, including realty, mortgage, marketing and construction. Terra owns and operates a carefully curated portfolio of real estate developments valued at more than $8 billion that elevate quality of life; maximize the way in which people work, live and entertain; and innovate the urban and suburban landscape with an eye toward resiliency and sustainability. Since its launch, Terra has developed more than 5 million square feet of residential, commercial, and mixed-use projects across South Florida. Current projects include the nearby Major Food Group-programmed ultra-luxury tower The Villa, Mr. C Residences Coconut Grove and Five Park in South Beach.

Over the past 2.5 years, Miami has become a Tier-1 American city, on par with New York City and Los Angeles. According to proptech platform AVANT by Avison Young, Orbital Insight, Miami is outperforming most top U.S. metropolitan cities, including New York, as far as daily visitors to the city’s downtown urban core. Additionally, high-income earners and some of the most successful financial services, technology and cryptocurrency firms continue to relocate to Miami from other major metros. Rents across commercial real estate asset classes in Miami are at all-time highs, and development sales continue to break records.

Mandala Proposes BLUR Workshop-Designed Courtyard By Marriott in Downtown Miami

Mandala Holdings has submitted new plans to Miami’s Urban Development Review Board for a 31-story Courtyard By Marriott hotel tower in Downtown Miami’s Omni district at 511 NE 15th Street. The proposal will be reviewed at a meeting by the UDRB on November 20. The hotel tower is designed by the Atlanta-based BLUR Workshop and will feature 269 hotel rooms, 16,131 SF of office space and 28,261 SF of entertainment space split between conference rooms, ballrooms and restaurant space. No parking component will be built as part of the development and will be provided offsite.

Legacy Asset Development Site On Biscayne Boulevard In An Opportunity Zone Hits The Market In Edgewater

A rare ±3.04-acre development opportunity spanning a full city block at 1700 Biscayne Blvd. in Miami’s prestigious Edgewater area has hit the market. Avison Young’s Florida Capital Markets Group has been exclusively selected to market and sell the property which is uniquely located in an Opportunity Zone which also happens to be ranked in the top 1 percent in the U.S. in terms of population growth and total retail sales. The property is in the Arts & Entertainment District (previously the Omni) blocks north of downtown Miami.

Avison Young Principals Michael T. Fay, who is also Managing Director of the firm’s Miami operations, and John K. Crotty, CCIM, will spearhead the disposition of 1700 Biscayne along with Principal David Duckworth, Senior Associate Brian de la Fé, and Associate Berkley K. Bloodworth.

“1700 Biscayne Boulevard will allow an investor-developer to make a permanent impact on the Miami skyline with a legacy-defining asset built on one of the last large development sites available in the city’s urban core,” said Fay. “The property’s generous T6-36B-O zoning designation will permit the construction of an impressive mixed-use high-rise of up to 60 stories consisting of 500 residential units per acre or 1,000 hotel keys per acre as well as office and retail space.”

“One of Miami’s hottest up-and-coming submarkets, Edgewater commands some of South Florida’s highest rental rates across all property types,” said Crotty. “We’ve already received intense interest from potential buyers attracted to the 1700 Biscayne investment’s tremendous tax incentives in a rare, well-located Opportunity Zone with exceptionally favorable zoning codes.”

In addition to the expected strong return on investment in the residential and retail components, the lack of meaningful office and hospitality inventory in the immediate area underscores 1700 Biscayne’s potential to become an irreplaceable trophy development. The increasingly popular lifestyle destination that Edgewater has become has seen little to no new office product in recent years and is deficient in the stock of 4- to 5-star full-service hotels offered in nearby Miami Central Business District neighborhoods.

NR Investments Successfully Rezones Plot For Carlos Zapata-Designed Tower in Miami's Arts + Entertainment District

NR Investments Successfully has successfully rezoned a plot in Miami's Arts + Entertainment District, which they created and have been developing with neighborhood changing projects like CANVAS and Filling Station Lofts. On October 16, Miami’s Planning, Zoning, and Appeals Board gave the approval for NR Investments to develop a 45-story, 457-unit condominium project designed by Carlos Zapata at 31 Northeast 14th Street. NR Investments was also able to rezone land for another 11-story tower at the site which will feature an additional 150 hotel rooms and 30,000 SF of office space. Another 30-story tower also is also being planned by NR Investments at 70 NE 17th Street which will feature 225 residential units and 8,000 SF of retail and office space and was approved by the city during the same meeting. Check-out our PROFILE Exclusive Interview with Ron Gottesmann and Nir Shoshani, founders of NR Investments and the Miami Arts + Entertainment District. 

Resorts World Moves 1-Step Closer To Reality, Submits Replat To Redevelop Bus Terminal

Resorts World has moved another step closer to becoming a reality after submitting their proposed replat of Awana Forest to Miami City Planners. The replat includes the county bus terminal with the Adrienne Arsht MetroMover, which Resorts World previously won county approval to redevelop in March of this year (2017). Their proposal includes redeveloping the terminal in conjunction with retail space and a 36-story, Arquitectonica-designed residential hotel tower. The hotel tower will feature 300 hotel rooms and an unspecified number of residential apartment or condo units. The project is being developed by Resorts World Miami LLC with a total cost projected to be $200 million. 

Resorts World Applies to Renovate The Omni into Office Space & Boulevard Shops Update

Change may finally be coming to the vacant Omni Mall in Edgewater at 500 Biscayne Boulevard as Resorts World Omni, LLC has applied for a construction permit to renovate 24,550 SF into office space. Blufin Construction is the contractor on record for their application. Currently both Resorts World Bimini and Crystal Cruises use 500 Biscayne Boulevard as their headquarter address. Crystal Cruises last year leased 40,000 SF of office space in the Omni Building, adjacent to their Boulevard Shops sales center. Resorts World Bimini and Crystal Cruises are owned by Genting Group, a Malaysian conglomerate that has business interests in leisure, hospitality, plantations, properties, power generation, oil and gas, e-commerce, information technology and biotechnology.

Last year Crystal Cruises began reconstruction of The Boulevard Shops on an adjacent lot at 1401 Biscayne Boulevard. Their plan was unveiled at the 2016 Fort Lauderdale SeaTrade show for the Boulevard Shops project for Crystal Cruises which will include a renovation and expansion of the historic building to offer a cafe and bistro with indoor and outdoor seating, cigar bar and sales center for Crystal Residences. Crystal Residences will be onboard condos featured on 2 of their cruise ships. The renovation of The Boulevard Shops is being designed by architect Richard Heisenbottle. 

Construction Has Begun at Omni Park in Downtown Miami

Construction has begun at the 7 acre site in Omni that will soon be the Omni Park. Although temporary, the park will remain for 2 years to provide food and beverage vendors, amphitheater, skate park and art walk amongst the green urban escape. The site is owned by FDOT and will be part of the Signature Bridge Project which is under bidding. What remains of the Omni Park at that point will be reconstructed under and around the Signature Bridge to keep the green space in the area which has been the subject to massive urbanization with Miami WorldCenter construction now in full swing. The OMNI CRA has provided $300,000 in funding for th park and the Perez Art Museum has provided $150,000 while Brad Knoefler is overseeing construction which is scheduled for late February 2017.

Read our original news break on Omni Park from its December Announcement. 

Temporary Pop-Up Omni Park Proposed

The 7 vacant acres in-between I-395 and the Adrienne Arsht Center have been sitting vacant, desolate and have been used as just event parking for the past several years. In come the Brad Knoefler and team that built Grand Central Park, who has proposed a Omni Park, a "zen parcel" with an art zone, sound stage, food trucks, shipping container retail and a skate park. An entryway garden would be located on Biscayne Boulevard which should help bring pedestrian traffic to the area. Similar projects have been completed with success in Stockholm, Boston and San Juan. The proposal is cost efficient, asking just $300,000 in funding. Activists including the Pérez Art Museum Miami have contributed to the planning of the short-term, temporary project.