The largest piece of undeveloped waterfront in Downtown Miami has found a buyer at a record price.

A partnership led by Terra Group and its CEO, David Martin, have agreed to pay $1.225B to purchase the 15.5-acre site at 1431 North Bayshore Drive on Biscayne Bay, where the Miami Herald’s headquarters once stood. Smart City Miami LLC, an entity formed this month and managed by Martin and his father, Terra co-founder Pedro Martin, is expected to close on the transaction later this year, according to a press release Thursday.

The property had nine potential buyers, five of which bid over $1B, according to Avison Young, which marketed the site on behalf of Genting Group, a Malaysian casino operator that purchased the site for $236M in 2011.

"The scale and location of this site offers the opportunity to do something spectacular, something that all Miamians can take pride in, and we will deliver nothing short of that," Terra CEO David Martin said in a statement.

Genting had planned to build a mix of high-rise residential buildings, retail and a waterfront casino at the property, but was unable to secure a gambling permit for the site after a legal battle. A regulatory filing from Genting said that Smart City has 60 days to conduct due diligence on the property and another 60 days to close on the sale, the Miami Herald reports.

Genting said it chose the Smart City bid because of the investment group’s local expertise. Terra was founded in Miami in 2001 and has grown its portfolio to more than 5M SF of residential and commercial real estate valued at more than $8B, according to the company.

"There were lots of attractive elements in Smart City's bid, but above all, their deep understanding of — and commitment to — smart development in Miami made them by far and away the best choice," Kevin Jones, chief strategy officer and chief legal officer at Genting, said in a statement.

Terra has developed over a dozen South Florida projects since its founding. In March, the company announced it partnered with Major Food Group and One Thousand Group to develop a 50-unit tower at 710 Northeast 29th St. in Edgewater. In February, Terra said it was planning to build The Offices at The Well, a 98K SF building inside the The Well Bay Harbor Islands mixed-use development.

Avison Young’s capital markets team of Michael Fay, John Crotty, David Duckworth and Brian de la Fé brokered the transaction on behalf of Genting, which was also represented by law firm Bilzin Sumberg. Ricardo Fraga of Greenberg Traurig and Laura Gangemi of Gangemi Law Group represented Smart City.

Fay told Bisnow in November that the site could support up to 20M SF of development thanks to "the most aggressive entitlements" allowable in the city. David Martin of Smart City said the group is still exploring plans for the site.

"Over time, we will arrive at a plan that elevates Downtown Miami, improves access to the waterfront, and is welcomed by our community," he said in the release.