Oceanfront Development Site in Miami Beach Listed for $110M
February 7, 2025
A joint venture between Kolter Group and BH Group has placed a prime oceanfront development site in Miami Beach on the market for $110 million. The 1-acre property, located at 6985 Collins Avenue, is currently home to Crystal Beach Suites Miami Oceanfront Hotel. Berkadia has been enlisted to market the site, offering investors a rare opportunity to develop a luxury-branded condominium tower.
A Strategic Investment in Miami Beach Real Estate
Kolter and BH Group acquired the oceanfront development site in November 2023 for $24 million. If sold at the asking price, they stand to gain over four times their initial investment in just over a year.
The developers believe current market conditions favor listing the property now. Jaret Turkell of Berkadia, the lead broker, highlighted how recent zoning changes nearby—specifically at 6701 Collins Avenue, where Terra and the Meruelo family are seeking floor area ratio (FAR) increases—have created stronger development potential for the area.
Zoning Changes and Development Potential
The Crystal Beach Hotel, built in 1950, occupies a North Beach site with a maximum FAR of 3.0. However, marketing materials suggest the property could be redeveloped into a 200-foot luxury-branded condominium tower with up to 150 units and approximately 138,000 square feet. The existing hotel would be demolished to accommodate the new high-rise.
Nearby, Terra’s project at the former Deauville Beach Resort site has already received a recommendation for zoning changes, potentially increasing its FAR from 3.0-3.15 to 5.5. This could lead to a 916,000-square-foot project, pending final approval from the Miami Beach City Commission.
Why This Oceanfront Development Stands Out
Most oceanfront development opportunities in Miami Beach require condo terminations, a process that can take over two years due to legal and financial complexities. According to Omar Morales of Berkadia, Kolter and BH’s offering avoids this challenge, making it a ready-to-develop site.
New ultra-luxury condos in Miami Beach are reportedly preselling for over $4,000 per square foot, making this an attractive investment.
BH Group and Kolter’s Expanding Presence
BH Group, led by Isaac and Liat Toledano, has partnered with Miami-based Related Group on multiple luxury condo projects, including:
- Viceroy Residences Aventura
- Ritz-Carlton Residences West Palm Beach
- W Pompano Beach Hotel & Residences
Their continued expansion in South Florida real estate showcases their expertise in high-end development.
A Booming Luxury Market in Miami Beach
The high demand for oceanfront condominiums has encouraged developers to move quickly. Condo buyouts and terminations often delay projects, but this $110 million oceanfront development site provides an immediate investment opportunity.
For more details, visit Berkadia or explore Miami’s luxury real estate market.
