The tiny living phenomenon continues to grow in cities around the world, and Miami is no exception. According to a recent article from The Real Deal, micro condos could be popping up on Biscayne Boulevard, near the MiMo district. A group of Canadian investors, led by David Joseph Smith of Montreal, just purchased a 23-unit apartment building at 5201 Biscayne Boulevard, with plans to convert the building into micro condos. The sale, which totalled $3.725 million, also included air rights, indicating the addition of vertical space to the existing building.
The building, formerly the Cadillac Hotel, was built in 1947 and has 17 studios and six one-bedroom units. The average size per apartment is 453 square feet, with an overall asking rent of $3.08 per square feet. Currently, the building is 2.6% vacant. Rentals include both long- and short-term apartments.
“I saw this as a great investment potential for my buyer,” said Ness Ohayon, owner and CEO of Witt Realty Group, and representative for the buyers. “My buyer is [a group of] Canadian investors and they asked me to find them a property in an up-and-coming area and something with high potential. What I saw was an amazing opportunity.”
The plans for the project include a gut renovation, but because it’s historic, the facade will be retained. However, three or four stories will be added, pending approval from Miami’s Historic Preservation Board. Furnished micro condos are the end goal.
“We’re strong believers in the Biscayne corridor with everything happening in MiMo and the Design District,” Ohayon added. “MiMo is very strong right now.”
Micro condos, geared to the booming millennial generation, are all the craze right now. Billionaire developer Jeff Greene is currently planning 400 micro apartments at 550 Banyon Boulevard in West Palm Beach. His 12-story building, being designed by Arquitectonica, will feature units of about 450 square feet. Other developers, including Moishe Mana and Tony Cho, are also proposing micro units in Miami’s Wynwood neighborhood.
Additionally, the redevelopment in the MiMo district is carrying on, with new stores and restaurants already underway. Last summer, MiMo developer Alex Karakhanian purchased the Bank of America building at 5000 Biscayne Boulevard for $6.55 million, with plans for redevelopment. According to Miami 21 zoning, the land can support more than 220 units and over 321,000 square feet of mixed-use space. Other nearby projects include an 81-foot-tall apartment building at the former site of the American Legion Post 29 at 6445 Northeast Seventh. 237 apartments, 435 parking spaces, and a new 15,000-square-foot American Legion facility are slated there.
For more information about new developments and available properties in the Miami area, contact Oceanica Real Estate at (786) 270-1743 or [email protected].