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Nef hit with lawsuit over stalled Sweetwater mixed-use project

Miami-based developer alleges Amsterdam-based partner failed to make $48M in capital contributions

Monceau Sues Majority Partner Over Stalled Sweetwater Project
Workforce Housing Partners' Jason Talbot and aerial property photos of 10710 SW 5th Street, 10742 SW 5th Street and 10752 SW 5 Street (Google Maps, Workforce Housing Partners)

Workforce Housing Partners is suing global real estate firm Nef in an attempt to completely take over a $110 million planned mixed-use project near Florida International University’s campus in Sweetwater.

An affiliate of Workforce Housing, a Miami-based company led by Jason Talbot, is suing Amsterdam-based Nef for allegedly breaching an operating agreement to build Cité – FIU, an eight-story complex with 277 student housing units, offices, retail and parking, court records show. It is planned for 10710, 10742 and 10752 Southwest Fifth Street. 

The lawsuit, filed in Miami-Dade Circuit Court on March 13, alleges that Nef, Cité – FIU’s majority owner, forfeited its decision-making power in the planned development by allegedly failing to make $47.8 million in capital contributions. Talbot’s firm is seeking a court order requiring Nef to forfeit all of its rights over the Cité – FIU project. 

Justin Prociv, Workforce Housing Partner’s attorney, declined comment. Representatives for Nef did not immediately respond to a request for comment. 

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Workforce Housing’s affiliate entered into an agreement with Nef in 2022, a binding letter attached to the lawsuit shows. The same year, the joint venture paid $10.5 million for the 1.3-acre assemblage, which includes six two-story buildings with 24 apartments and a single-story multifamily building with 18 rental units, records show. 

Nef owns 90 percent of the project, and Workforce Housing owns the remainder, the binding letter states. The Workforce Housing affiliate is also the designated project manager. Construction on Cité – FIU was supposed to commence this month, the letter shows. 

Workforce Housing wants to remove Nef’s decision-making power in order to move forward with a deal involving the development site and the project, the lawsuit states. The complaint does not provide specifics about Workforce Housing’s new plans. 

In October, Workforce Housing bought out its other partner, Monceau Real Estate, a Bay Harbor Islands-based family-owned firm that typically focuses on workforce housing projects. In January, Monceau landed a $12.1 million construction loan for a planned 74-unit multifamily project in Goulds, an unincorporated neighborhood in southwest Miami-Dade County. All of the apartments will be set aside for workforce housing. 

Correction: A previous version of this story misidentified Monceau Real Estate as the plaintiff. Monceau is not a party to the lawsuit.

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