A Miami investment group paid $6.1 million for apartment buildings in Little Havana and the Omni district, moving quickly to close during the coronavirus global health and economic crisis.
BrickOne Group, led by Costantino Cicchelli, Frank Rodriguez Melo and Stefano Garofoli, paid $4.1 million for the 30-unit building at 1442 Northeast Miami Court in Miami’s Omni district, also known as the Arts & Entertainment District; and $2 million for the 18-unit building at 937 Southwest Fifth Street in Miami’s Little Havana.
Melo said the group plans to rehab the property in the Omni district as the Omni Community Redevelopment Agency seeks to preserve affordable housing. New Miami Court Inc. sold the three-story, 12,294-square-foot building for nearly $136,000 per unit. Arthur Porosoff of Porosoff + Partners of D Stone Realty LLC brokered the deal with Melo of Cedano Realty Advisors. It’s near the Melo Group’s Art Plaza development.
The real estate market has slowed down drastically due to the spread of Covid-19. In Miami-Dade County, all non-essential businesses were ordered to close last week. Melo said that BrickOne had to move quickly to close both deals, “fearing looming shutdowns.”
In addition, “the lenders had to be also flexible to increase use of technology to allow for virtual notaries and off-site closing,” he said. Melo said the insurance premiums increased for both properties due to coronavirus.
The Little Havana building, a three-story affordable housing property, sold for $111,000 per door. The majority of those units are two-bedrooms. Property records show the trust of the late Thomas Brennan sold the building. Cedano Realty Advisors brokered the deal.
Both properties are outside of Opportunity Zones. Last year, BrickOne Group acquired affordable apartments in Overtown with plans to take advantage of the federal tax program. which provides tax incentives to developers who invest in the designated zones.