Apartment Developer Not Threatened by Coronavirus, Embarks on North Miami Beach Project
The Estate Cos. is starting Soleste NoMi Beach less than a week after securing financing for a Miami River multifamily building and a month after topping off its Overtown tower.
The coronavirus pandemic has thwarted some developers but not the Estate Cos.
The company is embarking on another multifamily project. This one is in North Miami Beach and comes on the heels of progress on its Miami River tower and the near completion of its Overtown apartments.
Estate, based in South Miami, plans to start construction by year-end on the 23-story, 367-unit Soleste NoMi Beach following approval granted Tuesday by the City Commission.
The building will rise on 1.8 acres on the Royal Glades Canal east of Biscayne Boulevard, replacing a 8,249-square-foot, one-story retail building on the property.
The 685,957-square-foot Soleste NoMi will have 2,708 square feet of commercial space and 655 parking spots.
The one-, two- and three-bedroom units ranging from 700 square feet to 1,300 square feet will come with quartz kitchen countertops, walk-in closets and private balconies.
“Soleste NoMi Beach will offer the most comprehensive amenity package in the market and provide luxury rental opportunities at an attainable price point,” Estate principal Jeffrey Ardizon said in a news release.
The amenities will include a pool with a sundeck, waterfront promenade, gym, spa, rooftop garden and coworking stations.
Site plan approval came less than a week after Estate closed on a $36 million construction loan for Soleste Spring Gardens and a month after the developer topped off Soleste Grand Central, which is set for completion early next year.
The eight-story, 240-unit Soleste Spring Gardens is to rise in Miami’s historic Spring Garden district north of the Miami River as part of the development boom in an area where developers are attracted by big employers in the Health District and Civic Center.
The 18-story Soleste Grand Central with 360 units is in an opportunity zone west of Brightline’s MiamiCentral station.
State-designated opportunity zones are deemed economically struggling and in need of redevelopment or new business. Under the 2017 federal tax overhaul law, OZ investments allow investors to defer capital gains taxes.
Estate, which has developed apartments in West Miami and Palmetto Bay among other areas, recently bought a long-closed Ramada hotel in Hialeah with plans for redevelopment still pending. The company bought at a discounted $15.25 million as the pandemic distressed the hospitality sector, offering opportunities to buy lodging assets below market rates. Estate also is planning a Delray Beach project.
Multifamily has fared much better in the recession compared with retail and hospitality, but this could change as rent collections decline. The National Multifamily Housing Council reported 279,457 renter household paid rent this September, down 2.4 percentage points from a year ago to 86.2% payment.
Apartment construction also took a hit with Miami reporting the biggest annual drop of 53% tied to crew shortages and work bans aimed at stopping COVID-19 spread.
Daily Business Review. September 2020.