Kasumigaseki Capital Buys Miami Worldcenter Development Site

A Japanese firm paid $88.8 million for a 0.7-acre development site where a branded condo-hotel tower was planned at Miami Worldcenter.

Tokyo-based Kasumigaseki Capital bought the parking lot on the southwest corner of Northeast 10th Street and Northeast Second Avenue in Miami from entity Miami A/I Parcel 3 Subsidiary, according to records and real estate database Vizzda. Kasumigaseki borrowed $45 million in seller financing.

The land sale breaks down to $2,912 million per square foot.

Records show the selling entity ties to Miami Worldcenter master co-developer Art Falcone’s Boca Raton-based Falcone Group. Falcone is partnering with Nitin Motwani and Los Angeles-based CIM Group on the massive Miami Worldcenter mixed-use complex that’s being developed in phases at the intersection of downtown Miami and the city’s Park West neighborhood.

But a source familiar with the property said the interest in the entity was purchased about five years ago by an investment group led by Marc Roberts.

Roberts is co-founder of the E11even Miami brand that owns the famous E11even nightclub in the city and has branded condo projects in downtown Miami.

The previous owner’s 2024 proposal for the site included a 53-story tower with 351 condos, a 280-key hotel, nearly 10,000 square feet of retail and nearly 4,000 square feet of open space. The application called for a branded project, though a brand wasn’t announced at the time.

The developer was reported as Falcone Group. The source said Falcone Group was the development manager for the ownership group.

Roberts couldn’t immediately be reached for comment.

It’s unclear if the seller scrapped the condo-hotel tower project or will partner on this or another project with Kasumigaseki.

Construction and real estate are facing headwinds. While interest rates and insurance premiums remain higher, costs for labor and materials have stabilized but are still elevated.

More recently, the Trump administration has imposed a slew of actions that also could be impacting real estate. This includes deportations, tariffs and the war with Iran, which affect labor, materials costs and gas prices.

The Supreme Court ruled last month Trump didn’t have the authority to impose his sweeping tariffs, but afterward the administration implemented a 10 percent global tariff under a different law.

Condo and condo-hotel developers also may be reconsidering starting branded projects due to a saturation in Miami. Just this year, PMG announced plans for a 90-story Delano-branded condo supertall with 421 units in downtown Miami, and PMG and Lndmrk Development also filed an application for a 244-unit Frida Kahlo-branded short-term rental-friendly condo in Miami’s Wynwood.

Miami, and by extension the U.S., by far dominates the branded condo boom. As of late last year, the nationwide pipeline accounted for 26.2 percent of the global pipeline, and the U.S. also represented 32.7 percent of all active branded residences, according to a Knight Frank report.

Kasumigaseki, led by CEO Koshiro Komoto, is a fund manager, and a real estate investment and development firm traded on the Tokyo stock exchange. Its investments include health care and logistics space, and it also has expanded to the United Arab Emirates, Indonesia and Thailand.

The company’s website and the public domain in general show Kasumigaseki has no other known investments in the U.S.

South Florida experienced several sales of prime development sites over the past year. In December, Oak Row Equities and Vlad Doronin’s OKO Group closed on the record $520 million sale of a bayfront 4.25-acre site in Brickell that can be developed with over 3 million square feet in several supertalls.

Last year, Swire Properties, an arm of Hong Kong-based Swire, sold its Brickell City Centre site planned for an office supertall to Melo Group for $211.5 million. Swire cited unfavorable market for pre-leasing as the reason for nixing the office supertall project.