Howard Chase Real Estate is opening a second location in North Beach amid a push for investment and redevelopment in the Miami Beach neighborhood, The Real Deal has learned.
The residential brokerage, based at a 2,000-square-foot space at 1354 Washington Avenue, inked a lease for 2,050 square feet at 700 71st Street, owner Howard Chase said. His company signed a five-year deal with an option for a three-year extension. It’s taking over the space previously occupied by Pets & Vets.
Since opening in 2007, the luxury residential brokerage has grown to 60 agents and Chase plans to hire up to 80 more agents in 2018. The second location is slated to open in February. “Moving into a second office, in a signature corner at the entrance, we feel, to North Beach, will allow us the freedom to grow,” Chase said.
Records show North Beach investor Andrew Fischer paid $2.65 million for the property last year. Fisher raised rents by 80 percent in anticipation of the street’s redevelopment, Chase said.
Commercial rents for new buildings in the area have reached $40 per square foot annually, and older properties are securing leases in the $20 per square foot range, according to Chase.
Last month, Miami Beach voters approved a measure that will allow for a Floor Area Ratio or “FAR” increase – making way for developers to build taller buildings like high-rise condos and mixed-use projects.
The zoning increase impacts the area between Collins and Dickens avenues to Indian Creek Drive between 68th and 72nd streets. With the increase, developers can now build a mixed-use “Town Center” district along 71st Street. Urban planning firm Dover Kohl & Partners is designing the city’s town center.
Investors and developers have already bought numerous properties in the area.
In March, Pacific Star Capital paid $24.6 million for City National Bank’s North Beach branch. The firm has proposed a 110,000-square-foot residential and retail project for the two block area along 71st street.