S2 Development converting Dania Beach apartment complex into condos

S2 Development bought a recently completed Dania Beach apartment complex and plans to sell the units as condos.

An affiliate of Aventura-based S2, led by CEO J. Claudio Stivelman, paid $36.7 million for the 99-year ground lease to Atlantica at Dania Beach, records and real estate database Vizzda show. The buyer of the 124-unit garden-style community at 624 Northeast Second Street obtained a $30 million mortgage from Hallandale Beach-based Kawa Capital.

The deal breaks down to $296,371 per unit. 

The seller, an affiliate of Miami Lakes-based Prestige Companies, entered into a lease agreement in 2021 with an entity managed by Jeanine Hill in Dania Beach, which owns the land underneath the 4.7-acre site. The previous sale price for the lease agreement is not in deed records. 

In 2022, Prestige broke ground on Atlantica and recently completed six three-story apartment buildings, a clubhouse, a pool and 237 parking spaces, records show.

According to a recently launched Atlantica at Dania Beach website, S2 is converting the apartment complex into condos for sale. Miami-based ISG World is handling sales and marketing, the website shows. Condos will range from 703-square-foot one-bedroom units to 1,159-square-foot two-bedroom units with dens. The website does not list prices. 

Over the past two years, some developers have shifted new South Florida multifamily projects into condominiums. Challenges in the multifamily market, such as more difficulty obtaining construction financing, have led to more condo conversions involving new projects. 

In 2022, Miami and New-York-based Property Markets Group, or PMG, converted its completed Society Biscayne apartment building into The Elser Hotel & Residences in downtown Miami. Condos at The Elser are about 95 percent sold, according to PMG. 

Multifamily projects completed prior to 2022 are also being targeted for condo conversions. In February, Hollywood developer Chip Abele announced he would convert Circ Residences, a 25-story Hollywood apartment building with 386 units, to condos. Abele also tapped ISG World to market the units for sale with prices ranging from $400,000 to $1.2 million.