June 1, 2016
The owners of six contiguous parcels in the Miami Design District have decided to market them together as the potential development site, asking $37.5 million.
Metro 1 Commercial was hired to market the properties at 4000 and 4030 North Miami Avenue, 20 and 24 N.W. 41st Street and 15 N.W. 40th Street. The 43,756-square-foot site is mostly vacant, although it has a 7,929-square-foot retail building and a structure that’s described as an “outdoor living room.”
Under its current zoning, the property could be redeveloped into a five-story structure with 161,490 square feet of mixed uses, according to Metro 1. Tony Cho, CEO of Metro 1, said the best use for a development there is likely retail, possibly a high-end department store. The $37.5 million asking price is based on ground-floor rents of $100 to $150 per square foot and upper floor rents of $50 to $75 per square foot.
Cho said that’s considerably less than the $300 per square foot being quoted for other properties in the Design District. Darca has brought dozens of luxury brands into the neighborhood and built parking garages and art displays. Cho hopes the project at 4000 North Miami Avenue will add more restaurants to the district because there aren’t enough now.
This property is on the west side of North Miami Avenue, the main street between the Interstate 195 exit and the Design District. In February, RedSky Capital and JZ Partners paid $128.3 million for eight parcels on the east side of North Miami Avenue at Northeast 40th Street. That deal equated to $2,793 per square foot of land.
Based on that, Cho said his clients asking $857 per square foot should be a tremendous value.
Cho said it took a while to convince the four owners of the property to market them together but he convinced them that they’d be worth more that way.
The owners of this property are Living Room Properties, managed by Ernesto Rimoch, Eva Saraga De Rimoch and Diego Rimoch in Portland, Oregon; Miami La La La LLC, managed by Alex Birckenstock in New York; Miami Barokh LLC, managed by Khashy Eynalhori, Diana Sakhai, Isaac Sakhai and Alexander Sakhaiin Miami Beach; and Courtney Parking, managed by Michael T. Courtney in Coral Gables.