The Related Group sued a talent agency at an office building on the site of its scrapped Auberge Residences & Spa Miami for allegedly failing to pay rent.
Related’s PRH 1400 Biscayne Trustee LLC, as trustee for 1400 Biscayne Land Trust, filed a suit against Magma Talent Management LLC in Miami-Dade Circuit Court on April 1.
On July 1, Magma entered into a lease for suite 304 at 1444 Biscayne Boulevard, an office building that Related eventually plans to knock down to build a multi-tower residential development. Magma’s two-year lease called for a base rent of $20 per square foot, or $3,403 per month, plus expenses. The lease was set to expire on June 30, 2020, according to the lawsuit.
Related alleges that Magma has failed to pay rent since Jan. 1 and abandoned its space as of Feb. 11. It’s seeking the rent due between January and the end of the lease with Magma, which totals more than $66,000.
Corporate records show Angel A. Huezo and Joanne N. Otero control Magma. The company, which is now leasing space at a WeWork in Miami Beach, could not be reached for comment.
Related did not respond to requests for comment.
The developer is also demanding a judgment to “reform the lease” to include a correct termination date of June 30, 2020. According to the lawsuit, the lease has the wrong end date of June 30, 2018 instead of 2020. “The failure to include this correct Termination Date was a mutual, inadvertent mistake by Landlord and Tenant,” Related said in the suit.
More than two years ago, Related shut down its planned Auberge Residences & Spa Miami project and returned buyers’ deposits, marking the first major project to be canceled during this cycle. The firm has said it plans to relaunch a new condo project at a later date. In Miami-Dade, Related is still building the Residences by Armani/Casa with Dezer Development and Rockpoint Group but is focusing more on rentals with projects in Wynwood and affordable housing.