The Related Group is abandoning plans for a waterfront office project in Miami Beach, selling its Terminal Island development site for $77 million.
An affiliate of Dallas-based multifamily developer Lincoln Property Company, led by CEO Duncan Osborne, bought the 3.7-acre property at 120 MacArthur Causeway, records and Vizzda show.
Diego Juncadella, vice president of Lincoln Property’s Southeast division, did not respond to an email and voicemail requesting comment about the firm’s plans for Terminal Island.
In 2021, Miami Beach commissioners unanimously increased height limits on Terminal Island to 75 feet from 40 feet, which would have allowed Related to move forward with an 160,000-square-foot office project. The planned development would have had helicopter pads, a mega-yacht marina and a roughly 11,000-square-foot restaurant.
Prior to proposing an office building, Related had intended to build a 34-story condominium with 90 units.
Executives for Coconut Grove-based Related, led by Jorge Pérez and his sons Jon Paul and Nick, declined comment through a spokesperson.
Despite its waterfront location, Related’s office project faced stiff competition from other major developers planning commercial buildings that can attract large corporate tenants.
A partnership between Ex-Google CEO Eric Schmidt, Sumaida + Khurana and Bizzi & Partners is proposing The Fifth Miami Beach, a five-story office building at 944 Fifth Street and 411 Michigan Avenue. Asking rents are starting at $170 a square foot triple net. In April, the joint venture broke ground on The Fifth Miami Beach, records show.
New York developer Michael Shvo is planning three office projects in Miami Beach. He intends to redevelop a commercial strip — including the former home of Epicure Gourmet Market & Café — at 1656-1680 Alton Road into a 250,000-square-foot office project with some retail. Shvo is also planning a six-story office building at 1665-1667 Washington Avenue.
Shvo is also proposing a major renovation and repositioning of 407 Lincoln Road, one of the city’s first commercial high-rises that features an iconic rooftop clock.