Shoma Group Sells 740-Unit Development Site For $35M
Masoud Shojaee’s Shoma Group sold a Coral Gables development site for just $1M more than it bought it for in 2022 after working to ready the land for a $250M mixed-use project.
Shoma Group sold the Coral Gables site of its planned Shoma One project near the Douglas Road Metrorail station to 13th Floor Investments for $35M, according to property records.
Arnaud Karsenti's 13th Floor is partnering with Related Group and LeFrak on the project, the firm said in a statement.
“This acquisition presents an incredible opportunity in one of Miami’s fastest growing transit-oriented communities at the confluence of Coral Gables and Coconut Grove,” a 13th Floor Investments spokesperson said in a statement.
Coral Gables-based Shoma purchased the 2.4-acre site at 3650 Bird Road in 2022 for $34M, funded by a $38.8M acquisition and predevelopment loan from an affiliate of S&K Real Estate Group, according to public records provided by Vizzda.
Shoma Group declined to comment on the sale.
Shoma announced plans in 2023 to build 740 multifamily units and 20K SF of retail across two 40-story towers totaling more than 1M SF. The plans had been nearly doubled after tapping into Miami-Dade’s Rapid Transit Zone, which allows for high-density projects near transit stations.
The auto dealership built in 1952 and 1988 that currently occupies the site is set to be demolished.
Miami-based 13th Floor has worked on more than 60 projects in Miami, and in September, the developer was selected for a $309M redevelopment of South Miami’s City Hall at 6130 Sunset Drive. That project would include a total of 670 residential units, 28K SF of retail and municipal offices, according to a release.
The sale of Shoma One comes after a year of lawsuits and claims against Shojaee and his wife, Stephanie, who serves as Shoma Group’s president.
The couple has faced legal challenges in recent months, with two banks filing foreclosure lawsuits for allegedly not repaying loans. However, both were dismissed fairly quickly.
In January, City National Bank of Florida sought to foreclose on their residential condo and a mansion alleging that Shojaee and an entity he manages failed to repay a $7.9M mortgage when it matured in August. The lender claimed the loan default triggered defaults on two additional loans for another Shoma property. But before the month ended, Shojaee and the bank reached a private settlement and the loans were reinstated, The Real Deal reported.
In December, an affiliate of Right Meow Capital filed to close on a $10.5M loan for the retail component of the developer's Shoma Village, a mixed-use project in Hialeah built in 2022, TRD reported. It dropped the suit two weeks later.
