A pair of New York City development firms are teaming up to redevelop three bayfront properties in Edgewater, one of the hottest Miami neighborhoods for high-rise builders.
Edgewater Owner LLC, an entity managed by principals of SB Development Group and Hazelton Capital Group, recently paid $12.2 million for a five-bedroom house at 480 Northeast 29th Street and two vacant lots at 456 Northeast 29th Street and 496 Northeast 29th Street, records show.
The partnership plans a boutique condo tower with a ground-floor restaurant on the bay. The properties are zoned for up to 38 stories. The architect is Kobi Karp in collaboration with Dieguez Fridman.
Tyler Tuchow, president of Fort Lauderdale brokerage Kensington & Company, represented the buyers.
The 0.6-acre assemblage is adjacent to the Icon Bay condo tower at 460 Northeast 28th Street. The deal involved three sellers in each in different countries, said Joseph Stern, co-founder and principal of SB Development.
“We were able to move quickly and close within their timeline,” Stern said.
Whitelight Group, managed by Augusto Franchino, sold SB and Hazelton the largest of the three properties, a 14,280-square-foot vacant lot, for $4.9 million. Whitelight paid $1.3 million for the property in 2012.
Global DC Export sold the other vacant lot totaling 6,300 square feet for $2.8 million eight years after buying it for about $600,000.
Calliste Brennett sold the five-bedroom house, which is also on a 6,300-square-foot lot, for $4.5 million. In 1990, Brennett paid $115,500 for the property.
In recent months, high-rise developers, including well-known New York companies, have unveiled plans for redevelopment sites throughout Edgewater.
Kushner Companies paid $20.5 million for a 0.8-acre slice at 2000 Biscayne Boulevard where the firm is planning a 400-unit apartment tower. Arch Companies and Infinity Real Estate, two other Big Apple developers, are planning a 250-unit development on a 1-acre assemblage at 2501 Biscayne Boulevard.
Stern said SB and Hazelton Capital have been eyeing Miami for quite some time, but took a harder look at the market during the pandemic.
“When we saw the property, we were excited about the unique opportunity to contribute to the Miami waterfront by extending the boardwalk and making this a project that benefits the overall community and the residents who call it home,” Stern said.
The market, the climate and the local government are more welcoming in Miami compared to other markets the two firms typically operate in, Stern added.
“We looked at other sites and we still are,” Stern said. “It runs the gamut, but mostly in areas that we believe we can make a positive impact and are financially feasible.”