Compass Edges Out Douglas Elliman For Pricey Florida Rentals

Compass took over leasing of a luxury apartment project in Bay Harbor Islands from Douglas Elliman, The Real Deal has learned.

Miami-based developer Clara Homes switched out Elliman for Philip Scheinfeld of the Philip Scheinfeld Team and Chad Carroll of the Chad Carroll Group of Compass for the leasing of the six-story building at 10281 West Bay Harbor Drive, said Scheinfeld and Clara Homes’ James Curnin.

About six of the 28 units have been leased at the building, which was completed in October.

“I love Jay Parker and Douglas Elliman. He is a close friend of mine. I plan to continue to work with them on other projects,” Curnin said, referring to Elliman’s Florida Region CEO. “But for right now I just felt that with where we are in the market, it was a good time to make the switch.”

The building consists of two- and three-bedroom apartments, as well as a pair of four-bedroom penthouses, with monthly asking rents ranging from $8,550 to $19,250, Scheinfeld said. Some units include dens.

New York-based Douglas Elliman expanded its new development rental division to South Florida in 2022, and the Clara apartment building was one of its first assignments in the tri-county region. At the time, South Florida’s multifamily market was booming due to an influx of well-heeled out-of-staters, creating unprecedented apartment demand and record rent growth.

Elliman already handled new development condo sales in South Florida.

Joe Azar was the Douglas Elliman agent who previously leased Clara’s apartments.

“The developer and our company decided to mutually part ways,” Azar said in a statement.

The apartments are part of Clara Homes’ three-building multifamily development in Bay Harbor Islands.

A six-story, 45-unit building at 1155 100 Street is expected for completion in August, with pre-leasing expected to start in June or July, Curnin said.

Last month, Clara Homes scored an $80 million construction loan for the final six-story building with 77 units at 10200-10290 East Bay Harbor Drive. Completion is expected in the first quarter of 2028, with pre-leasing expected to start a month or so prior to completion.

Units across the three phases average 1,850 square feet and are targeted to families, according to Curnin.

South Florida’s multifamily market slowed over the past two years partly due to hefty completions just as pandemic-era in-migration calmed. CoStar reported a record 18,600 units finished in 2024.

Developers and agents are betting on another wave of out-of-staters, especially high net-worth individuals, amid political shifts in other states.

“We are seeing a high volume of interest from people relocating from New York and California who are excited to move down south,” Scheinfeld said in a statement.

In New York, Mayor Zohran Mamdani has floated the idea of increasing property taxes by 9.5 percent, though he’s stressed it would be a last resort for this year’s budget. California also is considering a one-time 5 percent tax on residents with a net worth of over $1 billion.

Meanwhile, the Florida House of Representatives approved a measure to entirely scrap non-school property taxes on homesteaded residential properties. If the Florida Senate approves the resolution, it would still need 60 percent voter approval in the November ballot.

Although none of the three states’ tax initiatives are final, the real estate industry is abuzz over whether it would send another wave of out-of-staters to South Florida and top the pandemic-era residential leasing and purchase frenzy.