One Brickell, Related Group’s riverfront mega-project in Brickell, appears to be on hold until at least 2022. The 1,400 unit waterfront project was slated to be developed in 3 towers at 444 Brickell Avenue, where Capital Grille currently stands along with a 10 story office tower. Previously, it was scheduled to break ground in 2016.
Since the news broke in late 2014 that the towers were on their way, the developer had stopped pushing for new tenants in the office building. They were still signing new leases, yet requiring a 6-month kick out clause, allowing Related to have a vacant building when it came time to begin construction. Since the kick out clause isn’t an ideal situation for tenants, not many offices complied.
As of today, Related is heavily marketing the office tower to tenants. They are pushing for the property to be leased up within 6 months, offering incentives for deals up to 10 years. The lease terms offered are between 2-10 years, with higher incentives for longer leases. New leases signed with a term of up to 5 years also do not have the kick out clause, meaning that Related cannot develop the land until those leases expire.
There has not yet been an official announcement made, but this isn’t the first tower to be put on hold. Auberge in the arts district has also been effectively placed on hold. They are still offering units for sale but have stopped marketing the project. In September, Jorge Perez said at the “State of the Market Conference” in Wynwood that he expects a market slowdown and that his company will not bring a project out of the ground if it is not at least 70% pre-sold with 50% deposits. Since One Brickell had not yet released pre-sales, it seems we have a confirmation after all.
Paramount Miami Worldcenter Offers an EB-5 Program That Includes a Condo
With all the excitement surrounding Congress’s vote to extend the EB-5 Visa program through December, it is important to note that not every project that markets as an investor visa opportunity is in fact approved as such. Investors must choose wisely when going into any investment, but even more so with the EB-5.
I have seen agents advertising resale condos as an EB-5 opportunity. Going into this transaction will get you the condo, but since the necessary 10 jobs are not created through that purchase, no visa will be granted.
Aspiring developers will sometimes also collect EB-5 funds in order to raise capital to purchase the land for a project but have not yet obtained any of the permitting for the project or for the EB-5 offering. This is extremely risky as the project could never happen. The funds could be lost, time would be wasted and no visa would be granted.
Other opportunities will secure the visa, but not pay a return during the construction of the project.
I have only seen one EB-5 opportunity that will grant the investor a visa, a condo and a return. The Paramount Miami Worldcenter EB-5 offering seems to be the most beneficial and secure investment currently on the market.
Their program is a 5 year offering with 0.5% interest paid annually. Paramount Miami Worldcenter will be completed in 2.5 years, in which case the client could close with cash, finance the remainder of the balance or delay the closing and lease the apartment through the developer’s rental program. The initial visa arrives after the investor’s application is approved, and the investor can apply for citizenship after 5 years.
I like this project because it is already under construction and 55% sold. This is happening. Only 10% of the project financing is coming from EB-5, so over 40 jobs will be created per applicant. The condos are really amazing and the project is transforming the Downtown Miami area, so it is very exciting.
Of course, there are other EB-5 offerings available in the area… SkyRise Miami, Panorama Tower, a few restaurants (including Dunkin Donuts, Tap 42 and Meat Market) and I’ve heard One Thousand Museum has begun its application. Paramount Miami Worldcenter is still my favorite since they offer relative security, the return, the condo and the visa.
Here is more information from their presentation. Let us know if you would like a presentation as well.
New Video Released for Paramount Miami Worldcenter Showcasing the High Street Retail
A new video was released today for Paramount Miami Worldcenter and includes footage of what the high street retail will look like once finished. Well, the video isn’t exactly new. It’s an edited video with all references of the mall removed and, in its place, new footage showcasing the high street retail. Spoiler alert: It looks amazing!
Paramount Miami Worldcenter Going Vertical In August
Miami Worldcenter Overview.
Daniel Kodsi, developer of Miami Worldcenter, gave the Real Deal a quick update on the progress of the megaproject. Having formally broken ground a few months ago with a lavish groundbreaking to-do (and physically broken ground months before that), the Worldcenter’s marquee tower, Paramount Miami Worldcenter, along with the attached retail and entertainment street at its base, is on schedule to begin vertical construction in August. Check out the video to see Ina Cordle rapid fire questions at Kodsi, for updates on sales, who’s buying, completion, etc.
Brickell Flatiron Issues Groundbreaking Notices; Construction Begins in March
Fans of Ugo Colombo will be overjoyed to hear that groundbreaking notices have been delivered to the buyers of Brickell Flatiron, the long-awaited project at 10th Street & South Miami Avenue in Brickell. According to the notices, the official groundbreaking is scheduled for March 16, 2016 although preliminary site work will be commencing immediately.
Locals will recall that this groundbreaking has been quite long-awaited. Ugo Colombo’s CMC Group purchased the site in 2013 for $21 million. In January 2015, the popular neighborhood restaurant/nightclub was closed to make way for the development. Since the closing and demolition, not much has been said with regard to the actual construction start date. The site has been used as overflow parking for the neighboring shopping center and restaurants.
This groundbreaking is very much a triumph for the neighborhood as Ugo Colombo is one of the area’s most celebrated developers. His previous projects have been among the most successful developments in the city and tend to hold their value through market fluctuations better than some of the competing buildings due to their quality and unique design. Some of his previous projects include Santa Maria, Bristol Tower and the Epic Hotel and Residences in Brickell as well as the famed Grovernor House in Coconut Grove.
One of the aspects that we appreciate the most from Ugo Colombo’s developments is that they have a more lasting effect on the skyline. Buildings that he built 10 or 20 years ago still appear brand-new in the skyline and do not show their age even as newer buildings pop up around them. The average resale price of Mr. Colombo’s developments stands at $757/foot over the last year, compared to $506/foot for the same time period for all buildings developed by The Related Group.
Purchase opportunities are still available at Brickell Flatiron, in the range of $600/foot depending upon layout and floor location. Residences will be delivered in 2018 fully finished with Italian porcelain tile. Contact us for details about the available opportunities or to speak about your specific needs for a condo.
The Bond at Brickell Releases Final Inventory, Prepares for Completion
Miami-based Rilea Group is preparing to open their latest residential tower, The Bond on Brickell. This British-inspired luxury tower has 323 total apartments through 44 floors with layouts ranging from studios, 1, 2 and 3 bedroom apartments along with exclusive lofts and penthouses.
One of the aspects we like the most about The Bond is the fact that Rilea had the foresight to purchase the air rights to the building directly east of the tower, preventing future development that would sacrifice the views of the residents in The Bond. The blocking of views has become an issue for many buildings in the neighborhood, most notably the Infinity at Brickell, whose bay views were blocked by the construction of SLS Brickell just one month after completing their initial sell-off.
Unlike most of the towers in Brickell, The Bond is one of the first to deliver the residences fully finished and ready for occupancy. Many previous buildings have delivered their apartments decorator ready, or still in need of flooring, lighting packages, paint and window treatments. The apartments at The Bond include porcelain flooring throughout, Bosch appliances and Nolte cabinetry.
The developer has released the final 11 opportunities in preparation for the opening of the tower. The remaining apartments are comprised of a mix of 796 square foot 1 bedroom units with a den up to 1,217 square foot 2 bedroom units with a den as well. Prices range from $496,900 to $689,900 depending upon size and view. Contact us for information about specific opportunities. The apartments will be ready for move-in upon closing in March.
Auberge Residences Miami Video, Floor Plans, and More
Along with a few changes, additional information regarding Auberge Residences Miami has been released. Rather than 340 condo residences, there will now be just 290. Each will come with private elevator access and ceiling heights of 9, 10, or 11 feet. There will also be four double-height penthouse residences at Auberge Miami with 22-foot high ceilings.
Below, I’ve included the video for Auberge Miami along with the recently updated floor plans, fact sheet, and brochure. Reservations begin this Wednesday, February 10th. Prices for 1 bedroom units start at $297,400, but I was told earlier today that the developer already has more LOIs than actual 1 bedroom units that exist in the building.
Brickell Heights Construction Progress – Carlos Rosso’s Facebook
Related Group’s Brickell Heights has now reached the 35th floor of construction and less than 100 opportunities remain. To celebrate the development’s success, Related Group has opened their close-out incentives with hopes of selling the remaining 10% of apartments as quickly as possible.
Buyers can now secure their apartment with a lower deposit amount, having paid only 30% of the purchase price at closing time. The remaining 70% comes due at closing, rather than the previously required 50% deposit. All of the apartments will come fully finished with porcelain tile floors throughout and select apartments have price discounts.
Because of the way developers release their inventory in new projects, the remaining opportunities are scattered throughout the different floors and the different sizes offered. The last apartments are not the least attractive opportunities, they are the same as the mix of views and floor placement that were offered earlier in the sales cycle… just at a discount now because the developer is excited to finish up.
With the special incentives and discounts, the remaining apartments range in price from $409,900 for a 1 bedroom on the 33rd floor with a view of Brickell City Center (once offered for $481,900) up to a 2 bedroom with den on the northeast corner, also with a view of Brickell City Center for $589,900 (once priced at $706,900).
Brickell Heights is scheduled to open in early 2017 and is located just across the street from both Mary Brickell Village and Brickell City Centre (opening Fall 2016). Retailers for Brickell City Centre are slated to include Valentino, Chopard, Stuart Weitzman and anchored by Saks Fifth Avenue.
Contact us today to discuss the remaining inventory with information on prices, floor plans and deposit terms.
Brickell Heights Rendering
Brickell Heights Lobby Rendering
Brickell Heights Corner Apartment
Brickell Heights Pool Deck Rendering
Canvas Secures Fannie Mae Approval
Just to the west of the Adrienne Arscht Center is Canvas, a 513 unit condo development that is being built as “affordable luxury” to attract the local buyers who are hungry to participate in Miami’s new condo boom. The site work has begun and over half of the residences are currently under contract.
In order to attract more of the 30-45 year old local buyers, they have also received their Fannie Mae Approval, making mortgages easier to obtain once the development is complete. What this means to buyers is that Fannie Mae is willing to purchase or securitize the mortgages people take out on individual apartments in the development. When a project is Fannie Mae Approved, banks are more willing to issue mortgages to buyers at lower rates and with lower down payments. This is excellent news for local buyers, who are typically priced out of the new condo market due to competition with foreign cash investors.
Because the approval process is so scrutinizing, the approval should be seen as a gold star for any development that obtains one. Of all the condo developments in the Greater Downtown Area (the general area between Brickell and the Design District, east of I95 and west of the Biscayne Bay), Canvas is one of only 6 developments with the approval. Fannie Mae has reviewed the specifications of the project and is pleased with the budget, insurance and legal documents associated with the building. Developments who have the approval are seen as “safer” investments as the buildings are well-run.
Locals have been especially excited about this development because of the quality of finishes/amenities offered, the anticipated restaurant by Kevin Aoki (son of Benihana founder Rocky Aoki and brother of recording artist Steve Aoki) as well as the addition of a new recording studio to the area.
Canvas is still offering new condos with price ranges from the mid $300’s-$600’s and floor plans from one bedrooms up to three bedrooms. The tower will be 37 stories and is expected to be completed in 2017. Groundbreaking is scheduled for next month.
See below for additional renderings just released from the developer:
