Miami Real Estate Learning Center

"MARINA PARK" - NEW MARINA PROJECT IN SOFI

The project to redevelop the Miami Beach Marina is being planned. For sure the marina needed a facelift.... There was a public Zoom meeting last month where David Marine, the Marina Park representative discussed with all the community the benefits of the project in detail.

If approved, the Marina Park project will feature two-acres of green space including a public park, it will enhance the bay-walk with new lighting and signage, an updated marina with only flooding docks and bike racks, a high-end 60-unit residential condo, and a modern and friendly retail space.

The new Miami Beach Marina project requires a big capital investment of $35 million, however, the projected benefits make it sound like a win-win. Some of the advantages of rebuilding the marina in the next 30 years are:

$40 million in Marina leases

$55 million cash payments from the proposed 60-unit condo on the site

$3 million or property taxes to the City of Miami Beach

2,372 jobs creation



A NEW OFFICE BUILDING IN TERMINAL ISLAND

An office building is the latest project for the renowned Developer's firm, Related Group. The first announced 35-story condo proposal is now being replaced by a 4-story office building on Terminal Island.

The first condo project was controversial, as Miami Beach residents and the Coast Guard argued that the residential high-rise could compromise the neighborhood's security. That was the main reason why other proposals were taken into account and the office building project was put on the table.

The proposal will be designed by Arquitectonica at 120 McArthur Causeway and will include a 160,000 sqft of office space, 256 parking spaces, 11,250 for an on-site restaurant, a helicopter pad, and a mega-yacht marina.

This project comes in a bittersweet moment, as even though if approved, this project will be a major signature complex in Miami, more and more companies are switching to remote working due to the COVID-19 social guidance. This clearly affects demand for the office buildings, which means the market is not ideally healthy. However, read our next articles as lately, South Florida appears to be the ideal's headquarters spot for some tech companies!



AMERICANS' RELOCATION DOUBLED THIS YEAR AFTER COVID-19

The COVID-19 quarantine has created a lot of movement in the U.S. as workers are not forced to live close to their office anymore. The "hot job neighborhoods" are not as desirable now than before, and people are looking for lower-priced and bigger spaces instead of focusing on the office nearest location when looking for a place.

Local migration is over the roof, as this crisis is not limiting movement like the one from 2008 when people were attached to their properties with the fear of selling them under market value. Instead, the COVID-19 is shoving migration. More companies are giving people a type of flexibility they didn't have before, and workers are questioning why to live in an overpriced small apartment in crowded areas if they can return to their hometowns and do home office, or just move to other states with faster-reopening policies.

Americans were relocating twice as much in April compared to 2019. The high pace kept going through May. Most likely some of these relocations are not permanent, but it has created a wave of local migration that is increasing the density of more affordable cities. Out of all the New Yorkers relocating in the past few months, 7.3% have moved to the Miami metro area.

Even if companies that didn't think it was possible to allow remotely working, are embracing it now, some others want their employees to come back to their office. Other workers are given the possibility to move elsewhere, but they have to stay for family obligations such as the kid's school.



MIAMI IS THE NEW HOT SPOT FOR COMMERCIAL REAL ESTATE

Commercial real estate in the U.S. has suffered a lot after the Covid-19 hit the county. However, a wave of tech companies from the north has created a spike in office leases in Miami.

We've all heard that big multinational companies have decided to follow a work-from-home policy in the short and mid-term, that has decreased the demand for office spaces in dense markets like New York or Silicon Valley.

It has been another story for South Florida, as more company owners (mostly tech enterprises) have noticed that working remotely is not a long term strategy and are starting to consider the Sunshine State as an ideal headquarters spot.

South Florida offers different advantages to office tenants such as tax benefits, perfect weather, and more affordable housing prices than more crowded cities. The younger generations see Miami as the place to be nowadays, and larger office spaces are much appreciated by the public health guidelines that we will have to follow from now on.

Landlords are also more flexible with prices, and they are offering concessions for longer rentals. The commercial real estate has shown to be a tenant's market, and it is the perfect time to restructure leases.



DEAL OF THE MONTH: YACHT CLUB #2211

Price: $702,000

Corner unit

2 balconies

Bay and ocean views

2 beds/ 2 baths

1,130 sqft

$621/sqft