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For decades, these three large city blocks in a prime location — straddling Miami Avenue and butting up against the Miami River and the Brickell financial district — lay inexplicably vacant.

Now, in the seeming twinkling of an eye, they have been utterly transformed. Brickell City Centre, which opened in November, is an urban animal of a concentrated intensity more evocative of Hong Kong or Tokyo than anything Miami has seen before: five towers connected by a multi-level, open-air shopping center plugged directly into a Metromover station and layered over underground parking tunneled beneath the streets. Pedestrians enter porous breezeways seamlessly from the surrounding streets, while above, shoppers cross bustling pedestrian fly-overs, protected overhead by a “climate ribbon” canopy that snakes across all three blocks like a long strip of origami.

It feels like a real city. And that’s precisely the stated goal of the relatively new, largely untested and increasingly controversial zoning category that produced it, and that now may be paving the way to a redrawing of broad swaths of Miami.

The goal: to create true urban neighborhoods and districts in underdeveloped areas of the city that, far from being self-contained islands, are painstakingly planned, interwoven and compatible with the city fabric around them. Often in exchange for greater height and density, developers must spend millions on new public spaces, streets and amenities — sometimes paying cash into public kitties — while giving city planners and the city commission a significant say in the shape of the final product.

The concept has taken off, to the consternation of some neighborhood activists. SAP was once reserved mostly to the city’s core, but developers building in far-flung, residential neighborhoods are now taking advantage.

“What the SAP does uniquely is, it sets up a table where the city comes in, stakeholders come in, and we can all figure out what the optimal shape this project can take is,” Miami planning director Francisco Garcia, who helped author the Miami 21 code while at the private planning firm Duany Plater-Zyberk, said in an interview. “In Miami, I don’t think there is any area that is not undergoing some degree of change, or redevelopment, or thinking about redevelopment. This is our world today here in Miami. So let’s approach this emphasis to redevelop and reshape the city in a creative way, and have it yield the best results.”

Aside from Brickell City Centre, which has two more planned phases yet to start, the SAP has also led to the lauded, near-total redevelopment of the formerly dormant Miami Design District. The rebirth of the district, about 60 percent complete, has meant new, street-friendly retail buildings and a pedestrian promenade connecting two large public plazas.

Meanwhile, on the north bank of the Miami River, River Landing would bring a multi-story restaurant and retail center with apartments to the site of the demolished Mahi Shrine in the Civic Center area. On the south bank, Chetrit Group’s $1 billion Miami River complex would bring 58- and 60-story towers and three levels of shops to a site formerly occupied by an abandoned restaurant and empty warehouses. Both projects would include new public spaces; Chetrit would underwrite upgrades to Jose Marti Park and contribute millions into an affordable housing trust fund.

If anything, these projects were celebrated. But as SAP applications proliferate across the city for everything from tech villages to mixed-use residential and commercial districts and even school and hospital redesigns, the sheer size and scale of some of the proposals is giving many city residents pause, if not provoking outright alarm.

Entrepreneur Moishe Mana’s massive Mana Wynwood SAP, which would bring shops, a trade center and residential towers rising up to 24 stories to two dozen acres of mostly vacant land, prompted a year of negotiation and public battles with other property owners in the rapidly redeveloping warehouse district. Mana won commission approval after agreeing to spend millions putting utilities under ground and redrawing the original plan to scale back construction facing the heart of Wynwood.

Elsewhere, developer Michael Simkins talked about using the SAP process to design an innovation center in blighted Park West immediately south of Interstate 395, including a controversial observation tower designed to also serve as a digital billboard, although his attorney says he’s currently reassessing whether to pursue an SAP.

And now a flurry of potential new SAPs has raised concerns that the process could become a runaway train barreling through established neighborhoods and dramatically changing their character. In and around the city’s Upper Eastside, three developers and a hospital have submitted applications to the city or are expected to soon, all within a tiny area of roughly 40 square blocks:

  • Legions West, a 1.2-million-square-foot complex abutting Legion Park, to be built on the site of a recently demolished American Legion post and neighboring Art Deco apartment buildings that formerly housed dozens of low-income families. The developer would spend millions on improvements to the park.
  • Eastside Ridge, proposed by the owners of Design Place, who want to turn 22 acres of moderately priced townhouse units into a mass of sky-high residential and office towers with nearly 3,000 condos.
  • Miami Jewish Health Systems, across Second Avenue from Design Place, which is planning an expansion of an existing campus. The hospital wants to open a new dementia-focused assisted living facility, research center and convention hotel, and redesign other aspects of its campus.
  • Magic City, a 15-acre assemblage including industrial buildings and a demolished trailer park straddling Little Haiti and Little River that developers Tony Cho and Bob Zangrillo want to convert into a technology, residential and cultural center.

Legions West and Eastside Ridge are perhaps the most controversial of the SAP submissions to date, in part because they would tower over neighbors and replace low-rise, low-cost rental housing. The Legions project would drop four towers up to 15 stories tall next to two protected historic districts: the MiMo Biscayne district with a 35-foot height limit, and the single-family Bayside Historic District. It would also include part of the adjacent and now-historic Legion Park in order to qualify for the needed nine acres to propose an SAP — an aspect that generated false fears that the developer, who plans to spend millions on upgrades, would privatize the park.

Renderings of the Eastside Ridge plan, which depict what seems to be a massive, gleaming steel-and-glass city-within-a city rising from the modest urban landscape of Little Haiti, has sent residents into a tizzy. Some in the community, already hyper-acute to the pressures of gentrification, believe they are being boxed in and pushed out by new development.

“The more we learn about these mammoth projects, the more concerned we are,” said Marleine Bastien, a Haitian-American activist who has been outspoken about gentrification of the neighborhood and the apparent lack of consideration for community input. “What we resent is for us to be brought in at the 11th hour when everything is cooked and ready to eat, and we get the crumbs.”

Garcia, Miami’s planning director, insists that community input is a central tenet of the Special Area Plan, which requires reams of paperwork, months of debate with city planners and multiple hearings in order to green-light a project. But some critics say there is evidence to the contrary.

“In Wynwood, they up-zoned 45 different properties to as high as 20 and 24 stories, which is a complete violation of the law,” said veteran Morningside activist Elvis Cruz, who argues that the city is flouting a Miami 21 requirement that all new development be compatible with its setting. “But that’s the way it works in the city. They just interpret things as they wish. It’s completely out of scale and character.”

People critical or skeptical of some of the newer SAPs even includes some prominent figures who have strongly backed such projects in the past. Horacio Stuart Aguirre, chairman of the Miami River Commission, which reviews projects along the waterway, said it’s one thing to approve SAPs on undeveloped land long contemplated for dense redevelopment, like the river properties close to downtown Miami, but entirely another to plunk those down amid settled, existing neighborhoods.

Though SAPs must be approved by the city commission, which has been no rubber stamp, Aguirre says he fears the “goodies” promised by developers of SAPs to the city — including new jobs, the creation of new public spaces and payments toward future affordable housing — prove too tempting to turn down. (None has been, yet.)

“Brickell City Centre is a wonderful idea, where it was done. It’s in Brickell, for crying out loud,” Aguirre said. “But should we have 20 of those reiterations all over the city? What happens to the character of individual neighborhoods? What happens to the idea of local communities?”

But Miami 21 designers say the SAP has always encouraged developers to embrace the neighborhoods in which they’re investing, and put in the extra expense, effort and time that sensitive master planning requires. They note that developers, even without SAPs, could always pursue up-zoning without providing anything in return to the community.

“They are a terrific improvement over the prior situation,” said Elizabeth Plater-Zyberk, whose firm authored the Miami 21 code. “It’s an invitation to making a better plan than what is there now.”

Garcia also says the city puts SAP proposals through a grind of an extensive review, and some submissions never make it out of the process because developers drop them after realizing what’s required for approval. He disputes the idea that developers and the city use SAPs in order to super-size projects.

“The perception by some is this is simply a race for the gluttonous,” Garcia said. “But I will tell you there are significant amounts of development capacity and density that are left on the table in each and every one of these SAPs.”

To be sure, height and density are part of the equation, but not the entire picture. What makes SAPs attractive to the city and developers is the flexibility afforded in designing what often are sprawling campuses. Roads can be moved. Buildings can be massed and shifted in ways they otherwise couldn’t. The rigidities of the city’s laws can be unlocked, although not ignored. “If I have the possibility to do that, why wouldn’t I?” asks Garcia.

Noting that the Design District SAP is hardly tall by Miami standards, Magic City’s Cho said he expects to submit an application for an SAP in part because the project he wants to build — the one he says is best for the area — is impermissible under the regular zoning code. For one thing, much of the 15 acres he and Zangrillo own are zoned industrial, and Cho says he’s hoping to include hundreds of low-cost residential units. Likely, that will be done by building “micro” units, tiny apartments made affordable by their size.

“The existing zoning is antiquated and outdated,” said Cho, who began investing years ago in Little Haiti real estate. “That’s not in the best interest of Miami. You don’t want a neighborhood that can’t develop residential.”

For Garcia, whose department hasn’t weighed in on Magic City, and has only begun to look at Eastside Ridge and Legions West, that’s the underlying truth behind Miami’s transformation. The city is evolving, and as downtown and Brickell become entirely built-out, and Wynwood’s land becomes price-prohibitive, developers will begin to invest and rebuild the city’s farther-flung neighborhoods. When that happens, he says, the city needs the tools to map out the right future.

“There has been a great explosion of building in Miami during the last six or seven years. But that’s a data-point. The real question is: Is that good? Is that bad?” he says. “It is a very positive trend and it is getting us closer to what Miami is and should be. Miami will not be in the near future a sleepy town that is a vacation resort for the wealthy. It should be a real city.”

 

Source: Miami Herald

Roosters crow in trash-strewn lots. Construction crews tear down crumbling foreclosed homes. The din of backhoes, of leaf-blowers, of planes flying overhead never seems to stop.

But in the roughly five-square-mile Allapattah neighborhood of Miami, one of the city’s oldest, home values are rising at a faster clip than the multimillion dollar mansions of Miami Beach.

A house on Northwest 25th Ave in the Allapattah neighborhood of central Miami. Developers and investors are buying properties there because it's close to downtown and on the edge of Wynwood. CHARLES TRAINOR JR MIAMI HERALD STAFF

A house on Northwest 25th Ave in the Allapattah neighborhood of central Miami. Developers and investors are buying properties there because it’s close to downtown and on the edge of Wynwood. CHARLES TRAINOR JR MIAMI HERALD STAFF

In the last year, home values in this working-class community are up nearly 24 percent, according to data collected by online real estate company Zillow. The Miami-Dade County average is 8.6 percent.

The reason for the surprising surge?

A house on Northwest 25th Ave in the Allapattah neighborhood of central Miami. Developers and investors are buying properties there because it's close to downtown and on the edge of Wynwood. CHARLES TRAINOR JR MIAMI HERALD STAFF

A house on Northwest 25th Ave in the Allapattah neighborhood of central Miami. Developers and investors are buying properties there because it’s close to downtown and on the edge of Wynwood. CHARLES TRAINOR JR MIAMI HERALD STAFF

Rock-bottom prices and Allapattah’s proximity to hot-spots like the Design District, Wynwood, the Miami River and the Health District around Jackson Memorial Hospital have investors salivating over the area’s low-end housing stock — and buying up everything they can.

The median value for a single-family home in the area stood at $123,000 in June 2015, the lowest in Miami after Liberty City, Zillow found. For condos and townhomes, values were $103,000.

“There’s so much speculation among investors because the prices are so low,” said Alex Ruiz, a real estate agent at the Keyes Company who grew up in the area in the 1960s and ’70s.

“It was a very booming area when my family was there,” Ruiz said. “There were movie theaters and stores and restaurants all along 36th Street and a Coca Cola Bottling company plant.”

Allapattah, sometimes called Little Santo Domingo because of its large Dominican community, has transformed since its heyday decades ago. Today, most people who live here are low-income renters. Many rely on Section 8 vouchers.

Allapattah9A growing number of homes, all on small lots close together, are being converted for multi-family use. There are few stores beyond pawn shops, car mechanics, corner stores and bare-bones restaurants. Businesses are mainly industrial, with boat yards and drydocks lining the Miami River. Crime is a problem. A shooting left a man dead over a recent weekend.

But Allapattah may again be on the cusp of change.

Investors are snapping up properties with cash, renting them out and waiting for a boom they expect to spread west from the shops and galleries of Midtown and north from the high-rises of the Miami River. It’s hard to find better deals in Miami.

“We can buy a house for $60,000, tear it down for $10,000 and build a duplex for $200,000,” said Jorge Artiles, a realtor and home flipper who works in the neighborhood with bank-owned properties. “Then we can rent it out to two families for $1,700 per month. We are putting the money to work and then we can sell for a profit because the market keeps going up.”

Local realtor and house flipper Jorge Artiles stands outside a property he and business partners recently purchased in Allapattah. CHARLES TRAINOR JR MIAMI HERALD STAFF

Local realtor and house flipper Jorge Artiles stands outside a property he and business partners recently purchased in Allapattah. CHARLES TRAINOR JR MIAMI HERALD STAFF

Artiles said investors are banking on the expectation that in the next 10 to 15 years, Allapattah will be transformed. The area is close to expressways, the airport, downtown and Miami Beach. Along the north bank of the Miami River, young professionals are renting out apartments and condos because of easy access to jobs downtown, Artiles said.

“We’re trying to brand this area as the Miami River District,” Artiles said. “That’s what it is on the south side of the river. But if I say Allapattah, I cannot charge $2,400 for a unit.”

One sign of the area’s potential for developers: A major mixed-use project called River Landing is planned for the river’s north bank near the Health District, although it may be slowed by creditors.

Realtors are seeing interest along Allapattah’s eastern edge, too.

“It’s right next to the Design District and it’s very affordable,” said Paola Chapman, a real estate agent who just took her first Allapattah listing because of rising values.

For homeowners in the area, change cuts both ways. Locals welcome rising real estate values, said Albena Sumner, president of the Allapatah Homeowners’ Association and a resident since 1965. But transient renters bring a different feel to the community.

“Where you used to have a family owning a home, now you’re renting out a duplex,” Sumner said. “It’s gentrification. It’s what happens in poor communities. It happened in Wynwood. Now it’s happening here.”

Background (Source – Zillow):

  • A working-class, industrial neighborhood where home values are rising faster than any other part of Miami or Miami Beach, driven by investors and flippers. The name Allapattah comes from the Seminole word for “alligator.” Its boundaries are State Road 112 and the Miami River to the north and south, and Interstate 95 and Northwest 27th Avenue on the east and west. Allapattah covers several ZIP codes, including 33136, 33125, 33127 and 33142. Crime statistics and Florida Department of Education school ratings vary by location but are generally poor.
  • Median single-family home values: $123,000 in June, up 29 percent since June 2014.
  • Median condo/townhome values: $103,000 in June, up 23 percent since June 2014.

 

Source: Miami Herald

Miami’s Health District is seeing more activity.

A famed chef is launching a new concept in the University of Miami’s Life Science & Technology Park, which made headlines when its developer, Wexford Science & Technology, bet on the neighborhood a few years ago. Miami Health District’s residential and retail projects are rising.

Where does River Landing Shops and Residents fit in? GlobeSt.com caught up with Andrew Hellinger, CEO of River Landing Development, to find out what role his project will play in the evolution of the nascent Miami River District in part two of this exclusive interview. You can still read part one: Is Miami’s Health District Next Big Thing?

GlobeSt.com: What role will River Landing play in the evolution of the nascent Miami River District?

Hellinger: The development will anchor the river district to the west allowing consumers, visitors and residents to enjoy life on the Miami River. River Landing’s waterfront restaurants will add to the growing roster of trendy restaurants opening and thriving in the Miami River District, including American Social, London’s Duck & Waffle, Sushi Samba, Modern Garden, The River Seafood & Oyster Bar, Seaspice, Garcia’s and Casablanca.

ADD Inc. conceived River Landing’s retail element as a series of stacked gift boxes to create a dynamic façade that complements the river while being accessible to pedestrians. Our riverwalk is designed as a linear waterfront park. The continuous linear, but meandering walking park, extends the length of the development and connects our property to the other waterfront properties in the river district.

GlobeSt.com: What kind of retail mix do you envision for River Landing? 

Hellinger: River Landing will be home to seven to eight national anchor tenants ranging from 20,000 square feet to 55,000 square feet as well as eight to 10 national and regional retailers. Specifically, River Landing will contain 315,000 square feet of national retailers, 86,000 square feet of regional and local retailers and 29,000 square feet of restaurants on its five levels.

The roster of tenants who will call River Landing home is a major supermarket, clothing retailers for men women and children, shoe stores, banks, athletic goods, electronics/ wireless providers, cinemas, entertainment options as well as casual and luxury restaurants.

 

Source: GlobeSt

Edge, Sushi Samba, River Oyster Bar and Fox Hole Marketplace and Deli —  are just some of the planned new eateries banking on the Miami River.

 New restaurants, retail and increased public access along the Miami River were among the highlights of a development boat tour of the five-mile-long waterfront district on Thursday.

Renderings of River Landing Project

Renderings of River Landing Project

Developers and real estate professionals toured the river as part of an Urban Land Institute and NAIOP partnership. Brett Bibeau, managing director of the Miami River Commission, said that popular restaurants Seaspice (formerly Sea Salt and Pepper), Garcia’s Seafood and Casablanca have brought business to the area.

Among the restaurants awaiting permits or under construction are Sushi Samba, at 40 Southwest North River Drive; Edge at 39 to 55 Southwest Miami Avenue Road; a new location for the River Oyster Bar at 350 Flagler Street, and Fox Hole Marketplace and Deli at Latitude on the River, 615 Southwest Second Avenue.

River Landing rendering and Andrew Hellinger

River Landing rendering and Andrew Hellinger

The Miami River has increasingly drawn interest from developers who are embracing the river lifestyle. “It’s a place that people don’t have to see as up and coming. It exists,” said Andy Hellinger, developer of the River Landing project, a massive nine-acre development that will include apartments, retail and a linear park along the riverwalk.

River Landing’s retail component will include a five-story vertical shopping center, with a different theme for each floor. Among them: restaurants and supermarkets, sporting goods and entertainment. Two acres of the project are dedicated to parks and pathways. Hellinger compared the linear park, with a 50-foot setback, to the Highline in New York.

River Landing recently applied for a seawall permit, and digging for the foundation will be complete in a few weeks, Hellinger told The Real Deal.

Cleaning up the water and building the riverwalk are both key to the area’s success. Bibeau said his organization, the Miami River Commission, sends clean-up crews to pick up trash, pressure clean and paint over graffiti. “If the riverwalk is not maintained,” Bibeau said, “it will not live up to its potential.”

 

Source: The Real Deal