In Sign of ‘Renaissance Transformation,’ Miami Development Site Sells for Nearly $20M

Miami’s Arts and Entertainment District is capturing the attention of developers and investors as a New York-based developer has bought a development site for $19.75 million. 

Colliers South Florida negotiated the sale of a 37,252-square-foot development site at 1550 NE Miami Place in the evolving area. 

The seller, Kluger Family Trust, was represented by Colliers’ executive managing director Mika Mattingly and senior associate Cecilia Estevez.

Mattingly said the transaction showcases the continued growth of demand for development sites in Miami. 

Colliers’ Executive Managing Director Mika Mattingly. Courtesy photo Colliers executive managing director Mika Mattingly.

“In a very short time, we have seen the Arts and Entertainment District radically transform from a deserted, bleak industrial area, into a neighborhood with a thriving pulse,” said Mattingly.

The transaction is the third development site for buyer Jenny Bernell of Clearline Real Estate, a real estate development company. Clearline develops multifamily and mixed-use real estate projects in Florida, New York and New Jersey.

The site, known as Block E, is in an opportunity zone that allows the developer to build up to seven times the property’s land square footage. It also allows up to 500 units per acre.

Although plans for the property have not yet been announced, the developer does have 1,500 multifamily units that are expected to be developed.

The property is 1,000 feet away from the Metromover and is nearby areas so tenants can have the “work, live, play” experience.

“We’re seeing millennials to young working couples,” said Mattingly. “In the beginning, what sort of drove the residents were people trying to find more affordable housing options.”

Since 2020, multifamily units in Miami’s Arts and Entertainment District have grown more than 20%, while office inventory increased by 50% and hotel rooms doubled. The district is also within a five-minute walk from the Adrienne Arsht Center for performing arts, the Perez Art Museum, and the Patricia and Phillip Frost Museum of Science.

Mattingly said the district has seen exponential growth with many residential projects at 100% occupancy shortly after opening. 

“It’s very geographically desirable because you’re between a whole bunch of other areas like downtown, Wynwood, Edgewater. You’re at the center of everything,” said Mattingly.

There are no signs of the demand slowing down, according to Mattingly, as the location is becoming an exciting urban area with new-to-market tenants in the retail, restaurants and office sectors.

Mattingly said that just a few years ago, people would skip right past the district, but now there are lines around the corner at local coffee shops. 

“I think it’s an amazing example of a renaissance transformation. It’s just showing the complete and total influx of people from New York, California,” said Mattingly. “It’s not fun for people who are locally here, but the rents don’t seem high coming from New York. In fact, they seem low still. I think until we adjust, it’s going to be hard for locals or people who have been here a while.” 

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