New York Developers Launch First Miami Project In Edgewater
New York developers SB Development and Hazelton Capital Group kicked off sales Wednesday at a condo project in Miami's Edgewater neighborhood, the first of multiple South Florida multifamily projects the developers have planned as they join a wave of other New York-based developers that are looking to capitalize on the movement of residents out of the Empire State.
The developers entered into an equal partnership on the project, a 40-story tower named Cove Miami along Biscayne Bay in Edgewater, is the first project in a planned $1B South Florida development pipeline for the partnership.
They are especially focused on Edgewater, a waterfront neighborhood north of downtown, where they have 3M SF planned or in the acquisitions stage, including two additional condo projects and a rental property, a spokesperson said.
“We’re elated to deliver Cove Miami to the Edgewater neighborhood as our first residential real estate project in Miami,” SBD co-founder Joseph Stern said in a statement. “Throughout the last several years, we have monitored the growth in Miami and identified this neighborhood as the next go-to destination for those seeking waterfront living in the heart of Miami.”
The 450K SF development, located at 496 Northeast 29th St., will have 116 units ranging in size from two to four bedrooms that start at $1.3M. The property was designed by architects Kobi Karp and Dieguez Fridman and has amenities that “prioritize residents' well-being and are carefully curated to promote wellness and work-life balance,” according to the release.
The amenities include what have become standard fare at Miami’s luxury projects: a fitness center, private offices, coworking spaces, a ground-floor restaurant and a private dining room. But it also has some less common offerings, including a Turkish steam bath, a rock climbing wall and a Zen garden for meditation.
"Edgewater has become an exclusive residential destination that has caught the attention of developers across the country," Peggy Olin, president and CEO of OneWorld Properties, said in a statement. “With growing interest from developers in New York, Cove Miami has the potential to transform the vibrant city of Edgewater.”
SBD's projects have to this point been focused in the New York metropolitan area, with several completed apartment buildings in Queens and Brooklyn, according to its website.
The developers' shift to South Florida comes as investors and developers look to capitalize on a wave of migration to the region. Florida added 318,855 people in 2022, according to the National Association of Realtors, more than any other state. And South Florida saw the largest increase in relocations compared to past years, adding 56.2% more inbound moves in 2022 than it did in 2019.
New York residents have been some of the most likely to come to the Sunshine State, with more than 10,000 people trading a New York driver’s license for a Florida license in the first three months of this year, according to a report in the New York Post.
New York-based developers have taken notice and several also have South Florida projects under development.
Naftali Group announced plans in April for a 65-story condo tower at 1044 Northeast Second Ave. in Downtown Miami. In May, it was revealed that New York developer Harry Macklowe is quietly assembling parcels in Miami’s North Bay Village for what is expected to be a multifamily project. And in December, Chetrit Group launched sales for its 378-unit condo tower in Miami’s River District.
“We really think Miami is a market that’s here to stay,” Michael Chetrit told Bloomberg at the time. “Unlike the past surges Miami has had, this one is a permanent surge.”
CLARIFICATION, JUNE 8, 5:15 P.M. ET: The story has been updated to reflect that SB Development and Hazelton Capital Group are equal partners on The Cove development and the planned $1B investment in South Florida.