Miami’s condo king now wants to build apartments in this Opportunity Zone

Jorge Perez said he is also looking at using the federal tax program for an Allapattah warehouse

Miami /
Apr.April 11, 2019 05:00 PM

Jorge Perez

South Florida’s condo king is so enamored with the Opportunity Zone program that he is looking to use it to build market-rate apartments in West Palm Beach.

Related Group’s Chairman and CEO Jorge Perez said he plans to use the Opportunity Zones tax break for a waterfront parcel in the city, according to Bloomberg. Perez said market-rate apartments makes more sense now that it is in an Opportunity Zone.

The Related project was not specifically named in the Bloomberg article, but the property fits the description of the site where Perez previously planned to build the Marina Village project.

Related planned to build two 24-story buildings with about 400 units at 4400 North Flagler Drive. Related bought the site in 2005 for $9.4 million, records show.

Perez also said he could use the tax program in Miami’s Allapattah neighborhood, where he bought a warehouse to store his private art collection, according to Bloomberg.

Perez is one of the many developers looking to take advantage of the federal Opportunity Zones program. Passed as part of President Trump’s 2017 tax plan, the Opportunity Zones program allows investors and developers the ability to defer and potentially forgo paying capital gains taxes by investing in a designated Opportunity Zone. The program has received criticism that it will only benefit wealthy developers like Related rather than help distressed communities.

Many developers are waiting to deploy capital and start building in these Opportunity Zones until more regulations and rules come out from the Internal Revenue Service and the U.S. Treasury. [Bloomberg] — Keith Larsen


Related Articles

arrow_forward_ios
Charles Kushner, Nicole Kushner Meyer and Laurent Morali with a rendering 1900 and 2000 Biscayne (Kushner Companies)
Kushner, partner buy missing piece of Edgewater multifamily dev site
Kushner, partner buy missing piece of Edgewater multifamily dev site
From left: Jorge Perez, chairman and CEO, Related Group; Gil Dezer, president, Dezer Development (Getty Images, Related Group, LoopNet)
Related Group, Dezer win approval for 10-story oceanfront condo project in Hillsboro Beach
Related Group, Dezer win approval for 10-story oceanfront condo project in Hillsboro Beach
A rendering of The Crosby, Related's Nick Pérez and Merrimac's Nitin Motwani
Motwanis, Related to develop 450-unit condo tower at Miami Worldcenter
Motwanis, Related to develop 450-unit condo tower at Miami Worldcenter
1836 Biscayne Boulevard and Ben Joseph of Skylight (1836 Biscayne Boulevard, Skylight)
Developers pick up historic church, dev site in Miami’s Edgewater for $20M
Developers pick up historic church, dev site in Miami’s Edgewater for $20M
West Palm Beach spec home sells for $9M in record non-waterfront deal
West Palm Beach spec home sells for $9M in record non-waterfront deal
West Palm Beach spec home sells for $9M in record non-waterfront deal
Kobi and Nancy Karp buy Walgreens-leased property in Delray Beach
Kobi and Nancy Karp buy Walgreens-leased property in Delray Beach
Kobi and Nancy Karp buy Walgreens-leased property in Delray Beach
Starwood snaps up Palm Beach County apartment complexes for $176M
Starwood snaps up Palm Beach County apartment complexes for $176M
Starwood snaps up Palm Beach County apartment complexes for $176M
Redfearn Capital nabs West Palm Beach retail/office property for $18M
Redfearn Capital nabs West Palm Beach retail/office property for $18M
Redfearn Capital nabs West Palm Beach retail/office property for $18M
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...