Downtown Miami Developments Heat Up Real Estate Market
The Downtown Miami real estate market is anticipating more growth as revitalization efforts, which have been under discussion for months, are firming up. A skyline dotted by high-rise building cranes tells the story, while down at ground level, vibrant clubs and restaurants enjoy the burgeoning nightlife scene.
At the center of all this activity is the planned mega-development, now called the Miami Worldcenter, slated to become one of the largest redevelopment undertakings in the country. Developers submitted long-awaited, detailed plans in late June, outlining 10 acres of a planned 27-acre mixed-use site, featuring three residential towers. A shopping complex will anchor the site, which includes acres of amenities built in and around the other components.
The three residential towers will rise 56 stories, 47 stories, and 34 stories respectively, with over a thousand units in a range of price points. One tower will also include a boutique hotel. Developers can look forward to a continuous influx of wealthy South Americans who aspire to own property throughout the Miami-Dade area. Coming from an increasingly broad spectrum of South American nations, they bring with them a mix of cultural influences and a love of urban lifestyles—particularly, the Miami urban lifestyle. Luxury high-rise living is a major draw, with one tower featuring rooftop soccer, inspired by similar South American models.
According to the New York Times1, a steady advancement in the economies of countries like Peru, Brazil, and Colombia has spurred interest in the opportunities of Miami, including the Downtown area. Miami real estate is both part of the attraction and a prime beneficiary of this vast influx of immigrants, second-home buyers, and increasingly, business and private investors. Miami has even attracted the interest of David Beckham, who has announced plans to bring a major league soccer team to the city.
Record year-after-year increases in the number of tourists from South America drawn to the South Florida area has meant a steady stream of high-end visitors who become enamored with the vibrant lifestyle. Many of them return regularly and are converted to become investors and homeowners, and eventually, permanent residents of Miami. The word-of-mouth they carry back to their home countries helps fuel even greater interest.
Major redevelopment projects, like the Miami Worldcenter, have added to the city’s draw, with the promise of improvements to infrastructure, additions to the urban streetscape, and three public plazas among the planned buildings. Multiple development groups are partnering to design and build successive components of the project with, in future phases, a 760,000 square foot retail center, projected to include Macy’s and Bloomingdale’s.
All Aboard Florida, meanwhile, is building an extensive train station project nearby that includes a complex of shops and commercial towers. They are in discussions with developer MDM2 to connect the train station complex with the Overtown Metrorail station during the next phase of the Worldcenter project, which includes a proposed convention center and 2,000-room hotel on the site of the old Miami Arena. Currently, the city planning board has put that phase on hold as discussions continue.