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A-Rod sued over Edgewater real estate deal

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Alex Rodriguez

Alex Rodriguez

New York Yankees’ Alex Rodriguez is finally up to bat again — but this time in court. The controversial slugger, who is prepping for spring training in Miami after serving out a 162-game suspension, is being sued by his former brother-in-law over an Edgewater property.

Constantine Scurtis is suing Rodriguez in Miami-Dade Circuit Court over claims the baseball star reneged on him in an agreement to invest in property in the Edgewater neighborhood, according to a published report. Scurtis filed the complaint on Dec. 17, according to county records.

Rodriguez and Scurtis partnered with ACREI LLC on a South Florida real estate deal in 2003, which gave Rodriguez nearly 95 percent of the profits, the Daily Business Review reported. Scurtis claims Rodriguez went behind his brother-in-law’s back and cut him out the profits. [Daily Business Review]Katherine Kallergis

 


Broward business park proposed near Sawgrass Expressway

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3700 Northwest 126th Avenue

3700 Northwest 126th Avenue, Coral Springs

Coral Springs’ Biggie family is making big moves.

Biggie Investments Sawgrass Place reportedly applied with the city to build a business park on land the family has owned since the 1970s near the Sawgrass Expressway.

The property has been held in the family since 1973, when it was purchased for $30,000.

John Biggie manages Coral Springs-based Biggie Investments, which also purchased a 5.7-acre property north of 126th Avenue in September 2014. 

 

Plans for the business park include 57,694 square feet of warehouse and office space at 3700 Northwest 126th Avenue, the South Florida Business Journal reported. [South Florida Business Journal] — Katherine Kallergis

Construction begins on 3450 Biscayne project

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3450 Biscayne Boulevard and Mayan Properties principal Boaz Ashbel

Rendering of 3450 Biscayne Boulevard and Mayan Properties principal Boaz Ashbel

Construction began recently on a Biscayne Boulevard Hampton Inn & Suites near Midtown Miami.

Miami-based Mayan Properties, 3H Group Hotels and Arti Hersi Inc. are partnering on the 151-room hotel, which is located at 3450 Biscayne Boulevard.

“We’re bullish on Midtown Miami and the Biscayne Boulevard corridor, which is seeing a tremendous level of residential development and commercial activity this cycle,” Mayan Properties principal Boaz Ashbel said in a statement. “The glaring void in the market is a mid-range hotel brand stylishly designed, which is where our Hampton Inn & Suites will meet demand from commercial and leisure visitors seeking a comfortable place to stay in a convenient location.”

Israel Bigelman is the project’s architect, Kobi Karp the building’s exterior architect and Monioni Design is the interior designer. The Comras Company is marketing the project’s 4,435-square-feet of retail and restaurants. Midtown Lodging bought the site for $4.5 million and was approved for an $18.3 million loan from Florida Community Bank in December.

The development is expected to open in the first quarter of 2016. — Katherine Kallergis

Warehouse in Palm Beach County sells for $16M

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700 103rd Avenue North and Exeter Property Group principal Ralph Kittrell

700 103rd Avenue North and Exeter Property Group principal Ralph Kittrell

As further evidence that Palm Beach County’s commercial real estate market is heating up, the Millwork Sales warehouse in Royal Palm Beach has sold for $16.15 million.

The buyer was Exeter Property Group of Plymouth Meeting, Pennsylvania. The seller was Southern Mills Business Park of Atlanta.

The 152,000-square-foot warehouse at 700 103rd Avenue North is one of several deals in Exeter Property Group’s pipeline, principal Ralph Kittrell told The Real Deal.

“We’re a private equity firm and we buy buildings all over the country,”  he said, adding that more acquisitions in South Florida were in the works.

Warehouse deals have been heating up in Palm Beach County. A company that builds FedEx distribution centers just paid $10.75 million for land along Florida’s Turnpike west of West Palm Beach. And a California pension fund recently sold the Palm Beach Park of Commerce land west of Jupiter for a huge loss, according to the Palm Beach Post. [Palm Beach Post] — Ina Cordle

Related’s Paraiso Bay gets $93M construction loan

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China Construction now owns Plaza Construction, the general contractor for Paraiso Bay.

Related’s Paraiso Bay gets $93M construction loan

SunTrust Bank gave a $92.62 million construction loan to the Paraiso Bay condo tower in Edgewater being developed by the Related Group.

The loan was obtained by PRH NE 31st Street LLC, an affiliate of Related, according to a published report.  

The 53-floor luxury tower designed by Arquitectonica is scheduled for completion in 2016 and will have swimming pools and tennis courts, among other amenities.

One Paraiso, also by Related, is going up nearby. [South Florida Business Journal] Heather Grossmann

 

 

New 17-story condo tower approved for Hollywood Beach

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6085 Ocean Condominium rendering and Peter Zalewski

6085 Ocean Condominium rendering and Peter Zalewski

A Miami-Dade county developer has obtained planning board approval to build a new 17-story luxury condo tower on a vacant site at the northern entryway to Hollywood Beach in Broward County.

The new project – dubbed the 6085 Ocean Condominium – is slated to feature 48 units ranging in size from 3,000 square feet to 6,000 square feet each with 150 parking spaces. They’ll be developed on a 1.9-acre site on the east side of State Road A1A immediately south of the Dania Beach Boulevard Causeway on the barrier island, according to Hollywood records.

The $85 million project – proposed by an Aventura-based corporation headed by Ryan Weisfisch – successfully obtained a variance from Hollywood at a Dec. 11 meeting that clears the way for the new tower to stand more than 185 feet tall, which represents a 35-foot tall increase from the height permitted under the original zoning, according to government records.

In seeking approval for the height increase, the developer contended the proposed 6085 Ocean Condominium is “consistent” with the height variances provided for the neighboring pair of 18-story Renaissance On The Ocean condo towers with a combined 206 units that each stand about 191 feet tall, according to government records.

“In addition, the variance [for the 6085 Ocean Condominium] will improve the appearance of the city by adding a unique and innovative structure to the city’s skyline,” according to the developer’s application submitted to the Hollywood planning board.

The construction schedule for the project calls for the 6085 Ocean tower to be completed this upcoming December, according to government records.

It is unclear what the minimum presale price per square foot will be for units in the project.

The planned 6085 Ocean Condominium is one of 22 new towers with more than 4,800 units announced for the Hollywood/Hallandale Beach market during this current real estate cycle that began in 2011, according to the preconstruction condo projects website CraneSpotters.com. (For disclosure, my firm operates the website.)

Competition for preconstruction buyers at the 6085 Ocean Condominium could be strong given that an unrelated developer is planning a five-building project with 23 units called the Seaside Village across the street on the west side of State Road A1A in Hollywood Beach.

The minimum price for a unit in the Seaside Village is $425 per square foot, according to the CraneSpotters.com Developer Price Survey for December 2014.

The Hollywood/Hallandale Beach market is the second most active area of South Florida for preconstruction condo development east of Interstate 95. The busiest preconstruction market is Greater Downtown Miami, where more than 70 new condo towers with nearly 18,400 units have been announced as of Tuesday, according to CraneSpotters.com.

Overall, developers are planning 312 new condo towers with nearly 40,600 units east of I-95 in the tri-county South Florida region. Some 64 new condo towers with nearly 7,850 units have been proposed for Broward County.

The unanswered question going forward is whether enough buyers are interested in purchasing preconstruction units in the Hollywood/Hallandale Beach market given the growing supply of condos currently on the resale market in the area at an average asking price of about $309 per square foot as of Tuesday, according to the Southeast Florida MLXchange.

Peter Zalewski is real estate columnist for The Real Deal who founded Condo Vultures LLC, a consultancy and publishing company, as well as Condo Vultures Realty LLC and CVR Realty brokerages and the Condo Ratings Agency, an analytics firm. The Condo Ratings Agency operates CraneSpotters.com, a preconstruction condo projects website, in conjunction with the Miami Association of Realtors.

Investor appetite remains strong despite impact of sea level rise, report says

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Miami Beach flooding from 2013

Flooding on Miami Beach in 2013

Flood-related losses will grow, but commercial real estate investor appetite remains strong in areas like Miami Beach, according to a CBRE report released Tuesday.

The report, titled “Rising Tides, Increasing Risk: How the Insurance Industry’s Response to Climate Change Could Impact Commercial Real Estate Investors,” found that current practices by insurers, lenders and property owners in the U.S. leave commercial real estate owners exposed to much of the risk of sea level rise.

Most lenders don’t require borrowers to buy flood insurance beyond the National Federal Insurance Program’s $500,000 coverage cap for commercial properties.

“As most commercial property owners have chosen not to purchase supplemental coverage, they are effectively choosing to insure themselves for damages in excess of that amount, exposing themselves to a risk that the insurance industry itself is backing away from,” CBRE Director of Research and Analysis Quinn Eddins said in a statement. “While current property owners appear willing to accept this risk, there may come a day in the future when potential buyers will not be willing to do the same.”

NFIP claims filed after hurricanes Katrina, Rita and Wilma in 2005, and Sandy in 2012, put the program $24 billion in debt to the U.S. Treasury as of December 2013, according to a news release.

Miami Beach, one of the most vulnerable areas in the country to sea level rise, also has the some of the most expensive real estate in South Florida. — Katherine Kallergis

 

$2.8M Cocoplum sale sets post-housing crash record

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125 Gavilan Avenue in Cocoplum

125 Gavilan Avenue in Cocoplum

The sale of a Cocoplum mansion reportedly set a post-housing crash record for price per square foot in the area.

The $2.8-million sale in Coral Gables’ exclusive neighborhood comes out to $565 per square foot, according to a published report.

Oscar Teran of Avanti Way Realty sold the 4,953-square-foot home at 125 Gavilan Avenue, the Daily Business Review reported.

It has five bedrooms, five bathrooms and was built in 1991. Gustavo and Patricia Pinero sold the house to Patricia Unanue Zapata in December, according to the property appraiser. [Daily Business Review]Katherine Kallergis


Coconut Grove’s Engle Building draws prestigious tenants

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engle-building

The Engle Building in Coconut Grove.

As part of the redevelopment of Coconut Grove, the newly renovated Engle Building has lined up a roster of well-known local tenants, with more leases in the works.

Among the signed businesses: Büro Group, Harry’s Pizzeria, Panther Coffee and Clyde Butcher gallery.

Main Highway Partners, owned by an entity controlled by the Fort family, is renovating the building at 2980 McFarlane Road at the corner of McFarlane Road and Main Highway. Arquitectonica has re-designed the building.

Bernardo Fort-Brescia, a founding principal of Arquitectonica and a partner in Main Highway Partners, said the family has purchased the entire block that runs from St. Stephens Episcopal Day School to the Fuller Street alley. Other family members include his sons Raymond Fort, a designer at Arquitectonica, and Harold Fort, a landscape architect at Arquitectonica GEO.

“This block has always been the heart of the neighborhood where my kids grew up and where our office was founded,” said Fort-Brescia, a longtime resident of Coconut Grove. “If there is a corner of the Grove that defines it, it is this one.”

His goal, he said, was to renovate the building “in some organic way,” with a new facade, awnings and coat of paint, and bring in a mix of local businesses in keeping with the artistic fabric of the community.

Büro Group, which operates upscale coworking spaces, will occupy the entire second floor of the building, said Michael Feinstein, founder and chief executive of Miami-based Büro Group. With 11,000 square feet, Büro’s new location will have space for 100 companies, he said.  Büro already operates in Midtown Miami and Miami Beach, and plans to open in Miami’s MiMo District by this summer.

“We’re incredibly excited to be opening our fourth location, in Coconut Grove,” Feinstein said. “Our landlord, the Fort family, has great vision, and they are contributing to the re-emergence of the Grove as a hub of creativity and entreprenurial activity.”

Harry’s Pizzeria will occupy 1,800 square feet in the Engle building and Panther Coffee will have a 1,200 square-foot space.

In addition, Clyde Butcher, the Southwest Florida photographer and author known for his wilderness photography of the Florida landscape, is opening his first gallery in Miami in the building.

The 600-square-foot, high-ceilinged  gallery, designed by  Arquitectonica, will be able to accommodate large pieces, as well as small close-up photos. His work epitomizes Florida, Fort-Brescia said.

Several other tenants are currently in lease negotiations, he said, including a bookstore, a seafood bar, a children’s store, a bakery and an organic juice bar.

Said Fort-Brescia: “We’re trying to create a real cultural hub in that corner.”

N.Y. couple buys Miami Beach Continuum condo for $9.6M

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Continuum duo

Continuum unit #2904 sold for $9.6M

A 29th floor condo unit at the Continuum in Miami Beach has sold for $9.6 million to a New York-based couple, according to Douglas Elliman.

Lipe Medeiros of Douglas Elliman finalized the sale of the 2,985-square-foot unit in Continuum South. The home was sold for $3,216 per square foot to an as-yet-unnamed couple from New York. The firm would only comment that the buyers are “avid art collectors.”

The unit set a record price for the South-of-Fifth area, for a condo that is neither a penthouse nor a duplex, according to Douglas Elliman.

The three-bedroom, three-and-a-half bathroom condo features two large terraces with views of the ocean and downtown. The unit was completely gutted and renovated, with a top-of-the-line open kitchen, custom lighting and marble floors.

 

 

The Wrap: Hillsboro Mile mansion sells for $16.7M, Viceroy Miami completes rooftop renovation…and more

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US Century Bank sells 117 acres in Homestead for $10M

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soldfeechThe commercial developer GBX Homestead, which is managed by Brazilian commercial developer Interstones Real Estate, has purchased 117 acres in Homestead for $10 million.

A U.S. Century Bank affiliate sold the repossessed site at Southwest 147th Avenue and Park of Commerce Boulevard after the bank seized the property in mid-2014, according to a published report.

U.S. Century Bank, which had foreclosed on A & H Commerce Park’s $10.8 million mortgage last year, provided the new owners with an $8 million mortgage, the South Florida Business Journal reported. The buyer plans to restart development of a business park there. [South Florida Business Journal]Katherine Kallergis

Miami to consider historic designation of Coconut Grove home

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3529 Saint Gaudens Road in Coconut Grove

3529 Saint Gaudens Road in Coconut Grove

Miami will consider granting landmark status to an early Coconut Grove house that could be demolished and replaced with two homes, thanks to a unanimous vote on Tuesday.  

Miami’s historic preservation board voted to consider the 1920s Mediterranean villa at 3529 Saint Gaudens Road, the Miami Herald reported. The developer, Eduardo Goudie, said it would be unfair to declare the house historic after he spent nearly $1.6 million in April 2014 to demolish and develop the property.

The house was designed by Richard Kiehnel of the firm Kiehnel and Elliott, who was credited with introducing the Mediterranean style of architecture to Miami and designing local buildings that are now on the National Register of Historic Places, the Herald reported.

“It’s old, it’s beautiful, but historic is a little more than that,” Goudie’s architect Jose Puentes said. “It’s not that important.”

Coconut Grove residents’ campaign to save the house may lead to increased historic designations in the area. [Miami Herald]Katherine Kallergis

 

All Aboard’s downtown Miami station to affect neighboring development

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The All Aboard Miami site

The All Aboard Miami site

Plans for MiamiCentral, downtown Miami’s All Aboard Florida train station, may affect development in the area.

Local experts predict that All Aboard’s plans for a passenger train between Miami and Orlando could prompt a rise in office, retail and residential properties near the future station, according to a published report.

All Aboard’s connectivity to Fort Lauderdale is a contributing factor to the demand for office space in the area, Miami Today reported.

“I’m hearing interest from my client base for Class A office use,” said Tom Capocefalo, corporate managing director for commercial real estate firm Savills Studley’s Miami office. “Whereas now, rather than looking at conventional office building along Brickell and the downtown core, we are being asked by clients, ‘Hey, anything out there closer to the station to be built?’And the reason being, it’s perceived to be the center of the new business activity in general.” [Miami Today]Katherine Kallergis


Vacant lot in Plantation sold for $10.9M

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8021 Peters Road in Plantation

8021 Peters Road in Plantation

A vacant lot in Plantation was sold for $10.9 million on Tuesday, more than double what it last sold for six months ago.

Crossroads Residential LLC sold the 174,729-square-foot lot to a company tied to Chicago-based AMLI, a private real estate development, management and investment company. The property, located at 8021 Peters Road, was last sold in July 2014 for $4.5 million, according to  Broward County records.The lot is designated commercial.

Charlotte Sparrow, senior vice president of legal and risk management for AMLI Residential, was listed as an authorized agent for PPF AMLI 9021 Peters Road LLC.

Public Storage buys West Palm property for $11M

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5359 South State Road 7

5359 South State Road 7

A subsidiary of Public Storage bought a storage complex in South Florida for 11.4 million on Monday.

Wellington Self Storage sold the 4.6-acre property at 5359 South State Road 7 in West Palm Beach to PS Florida One Inc., according to Palm Beach county records.

The parcels, totaling 198,717-square feet of  land, include a lake and two buildings. Wellington Self Storage built the self-storage complex in 2003. The buildings have 88,610 square feet and include offices.

Urban Compass hires former Corcoran exec to lead Miami expansion

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Gene Martinez, Urban Compass director of sales and business development, Miami and Washington, D.C.

Gene Martinez, Urban Compass, Miami and Washington, D.C.

Urban Compass is heading south this winter. Gene Martinez, formerly of the New York-based Corcoran Group, will lead the firm’s expansion into Miami, the technology-driven brokerage firm announced Wednesday.

Martinez is joining the company as its director of sales and business development for Miami and Washington, D.C., according to a news release.

Miami is critical to the firm’s national expansion, founder and CEO Robert Reffkin said.

“In founding Urban Compass, we set out to build a different kind of residential brokerage, integrating the best of the best across real estate, technology, and business to empower our agents and improve the real estate experience for our clients,” Reffkin said in the release.

“We will look to build our Miami presence with a disciplined approach to high-level recruiting and the development of superior technology and marketing solutions.”

Urban Compass was the first residential brokerage to offer a proprietary mobile app exclusively for its agents, allowing them to update listings and conduct searches. Martinez, who grew up in Miami, will work to establish Urban Compass’ Miami office and oversee the sales managers for the firm’s expansion. — Katherine Kallergis

Mortgage rates hit lowest mark in 20 months

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Mortgage rates have seen a steep drop in the last few months, and in the past few days have declined a full eighth of a point. Rates are a quarter of a point lower than average rates in the second half of December.

What’s more, home loan costs are .375 percent lower than December’s highest rates, Mortgage News Daily reported.

Yesterday’s lowest rate available — 3.65 percent — makes it the first day that rates are as favorable as May 21, 2013, the day before ex-Federal Reserve chairman Ben Bernanke’s congressional testimony kicked off the tapering of the federal government’s bond-buying program. The Fed’s quantitave easing sent mortgage rates soaring.

Interest rates are dependent on individual lenders, however. Experts say not all financial institutions will immediately change their rates to dovetail with the rest of the market. [Mortgage News Daily] Tess Hofmann 

River Landing project preconstruction to begin in February

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River Landing rendering and Andrew Hellinger

River Landing rendering and Andrew Hellinger

Preconstruction for the River Landing development on the Miami River will begin in February.

When completed, River Landing Shops and Residences will span 8.14 acres with 426,000 square feet of retail and restaurant space, 475 apartments and a riverfront park. Foundation work is expected to begin in April, according to a news release.

“The Health District is the densest employment area in Miami with over 45,000 employees working around the clock in world class research institutions, hospitals, medical schools, science labs and the court system.  Our intent is to provide employees, residents and tourists a desirable place to live and visit and a new place to shop and dine,” developer Andrew Hellinger, manager of River Landing Development, said in a statement.

The $300-million project, located at 1400 Northwest North River Drive, will be complete from the summer of 2017 to the spring of 2018. — Katherine Kallergis

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