UPDATED, Aug. 16, 11:25 a.m.: A 30,000-square-foot Opportunity Zone site in the burgeoning Edgewater neighborhood of Miami just hit the market for $13.5 million.
A developer could build a 36-story condo, apartment or commercial building on the development site and gain significant tax advantages thanks to the Opportunity Zone designation.
The site totals five parcels at 2650 Biscayne Boulevard, 2265 Northeast 26th Terrace, 3255 Northeast 26th Terrace, 4245 Northeast 26th Terrace and 5250 Northeast 27th Terrace. The property has frontage on Biscayne Boulevard and also has access to Northeast 26th Terrace and Northeast 27th Street. The property currently consists of three office buildings, a parking lot and a single-family home.
Marcus & Millichap’s Alex Zylberglait is listing the property.
The site is zoned T6-36A-O, which allows a developer to build 104 units with a maximum height of 36 stories for 363,000 square feet of space, according to marketing materials from Marcus & Millichap.
With its close proximity to Wynwood, the Miami Design District and downtown, Edgewater has seen an influx of new development. Two Roads Development is currently building the 57-story condo tower Elysee Miami and Vlad Doronin’s OKO Group is constructing the 57-story Missoni Baia.
Despite the area’s emergence as a top destination for luxury condos and apartments, it is located in a designated Opportunity Zone.
Pushed forward in President Trump’s 2017 tax plan, the program was designed to give investors and developers a tax break for building in distressed areas throughout the country. Yet, some of the zones encompass high-end development projects such as Aventura Mall and SoLe Mia, a $4 billion megaproject in North Miami.
In Edgewater, other properties have recently hit the market with the Opportunity Zone designation. Avison Young’s Capital Markets Team recently announced it is listing a 3-acre property at 1700 Biscayne Boulevard that is currently occupied by a Burger King and a commercial building owned by Biscayne Arts.