While construction has only just begun on the next residential tower at Miami Worldcenter, a 27-acre mixed-use development in downtown Miami, the 606-unit project is already completely sold out, two years before its projected completion in 2026.
The fully furnished units at 600 Miami Worldcenter, developed by Fort Lauderdale, Florida-based Merrimac Ventures and Miami-based Aria Development Group, will range from studios to two-bedroom condos, 407 to 830 square feet in size. Prices had started in the $400,000s, according to a press release shared with Multifamily Dive.
The property does not impose any restrictions on the use of its units as short-term rentals by their owners, according to the developer.
“As a growing cosmopolitan city, Miami is seeing incredible demand for residences with no rental restrictions, with the city among the top 10 highest markets in the U.S. for short-term rental average daily rates,” Nitin Motwani, managing partner of Merrimac Ventures, said in the release.
This flexible rental policy stands in contrast to many other properties, and some cities, which restrict or even forbid the use of residential units as short-term rentals.
New York City is the most notable city-wide example —- under Local Law 18, which came into effect in September 2023, all short-term rental hosts must register with the city, must live in the unit they are renting, must be present when someone is staying there and may only have up to two guests. Short-term listings on the Airbnb listing service fell 77% after the law took effect, according to Business Insider.
The units at 600 Miami Worldcenter will have floor-to-ceiling windows with custom window treatments, expansive balconies, high-end appliances, in-unit laundry and fully built-out closets. Amenities will include a demonstration kitchen, a rooftop swimming pool, a fitness center with a private outdoor training area, a coworking space and a resident lounge, among others.
The full Miami Worldcenter mixed-use project, which began construction in 2012, covers 27 acres in the heart of Miami, with a mix of residential, commercial and hospitality uses plus 300,000 square feet of retail, restaurant and entertainment space at full buildout, at a projected cost of $6 billion, according to the release. The master developer is Miami Worldcenter Associates, led by Motwani, Boca Raton, Florida-based developer Art Falcone and Los Angeles-based developer CIM Group.
Merrimac Ventures has two other residential developments underway at Miami Worldcenter: The Crosby, a sold-out 450-unit condo tower, and the second phase of Caoba, a 420-unit multifamily rental tower.
Miami is currently the most competitive market in the nation for multifamily renters, according to a recent RentCafe report. The market has 14 prospective renters for each of its vacant apartments, driven by a thriving economy, strong job opportunities and desirable location, according to the study.
The city has also grown more competitive since last year’s report at the start of 2023. While occupancy there is down slightly, units spend less time on the market and potential renters per unit have fallen, Miami’s lease renewal rate is up to 73.4% in 2024 from 70.9% in 2023, and its share of new units has fallen from 1.24% to 0.97%.
