Commercial
The transformative sale of a parcel on Watson Island’s north aspect is on the verge of closing, ushering in luxurious residences, 13 acres of public greenspace overlooking Biscayne Bay and tens of millions in neighborhood advantages.
The Miami Metropolis Fee is voting as we speak (2/27) on a serious land deal that may reshape Watson Island with a high-end residential undertaking whereas delivering vital public advantages. The event, led by Ecoresiliency Miami LLC, a three way partnership between Terra Group and ESJ Capital, features a $135 million buy settlement for five.4 acres of the 18.7-acre web site to construct two apartment towers, with the remaining 13.3 acres returned to the town as a public waterfront park.
The undertaking stems from a years-long effort to repurpose city-owned land on Watson Island initially accredited for an eco-adventure resort and lodge.
In 2018, voters backed ESJ Capital’s plan for a 300-room lodge at 1111 Parrot Jungle Path, and in 2021, the town fee approved the mandatory agreements and land use modifications. As market situations shifted, ESJ pivoted to a residential undertaking, partnering with Terra Group to suggest the present improvement.
In November 2024, 59% of voters accredited a constitution modification permitting the land sale, paving the way in which for the undertaking on Watson Island’s north aspect.
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The settlement that commissioners are contemplating as we speak would lock within the sale and description key monetary phrases, public advantages and improvement situations.
Along with the $135 million buy worth, the town would obtain $10 million at closing, annual funds totaling $1.17 billion over 99 years (with a web current worth of $110.9 million), $37 million to construct the general public park and $34.6 million in neighborhood advantages, together with $15 million for reasonably priced housing and infrastructure.
The residential undertaking could be accomplished in two phases. Section one contains the primary apartment tower with parking and accent makes use of, whereas section two would construct the second tower.
As much as 25,000 sq. toes of retail and industrial house could be constructed both inside Section 1 or Section 2, on the builders’ discretion. The total undertaking encompasses 1.2 million sellable sq. toes, comprising 400 to 600 items, and is predicted to take 30 to 32 months to finish. Building on the general public park is to start inside 18 months, adopted by the residential towers.
The general public park, protecting 10.9 acres of uplands and a couple of.4 acres of submerged land, could be designed, funded and constructed by the builders with a $37 million allowance, with any unused funds returned to the town. It’s to give attention to biodiversity schooling and embody each lively and passive recreation areas. As a part of the settlement, the builders can even assemble a harbormaster facility and public restrooms.
The builders have agreed to long-term monetary commitments, together with paying $1 million yearly per section (with a 3% yearly enhance) to keep up the park, beginning 5 years after the completion of every apartment tower.
They’re additionally to contribute $17.7 million to repay a federal HUD mortgage tied to the unique Jungle Island theme park, $700,000 for public marine services and $700,000 for upgrades to the Ichimura Miami-Japan Backyard subsequent door. Moreover, they’ll fund $500,000 for a grasp plan of Watson Island, together with new pedestrian paths.
The settlement additionally mandates the builders to rent former inmates by means of partnerships with native nonprofits, allocate 5% of building work to small, deprived subcontractors in Miami and develop a neighborhood outreach plan to make sure native participation within the undertaking.
The Parrot Jungle undertaking is one in all two voter-approved developments set to reshape Watson Island. Within the November 2024 election, 62% of voters additionally supported extending the lease and updating improvement plans for the ten.8-acre Flagstone Island Gardens web site on the island’s south aspect at 888 MacArthur Causeway.
Initially accredited in 2002 and later amended in 2020, the location contains the Yacht Haven Grande Miami marina and was beforehand entitled for accommodations, timeshares and retail. In 2023, BH3 Administration and Merrimac Ventures acquired the lease from Flagstone Island Gardens and launched plans for Watson Harbour, a reimagined mixed-use improvement that includes two accommodations, condos, retail, workplaces and expansive public areas, together with a 1,000-foot waterfront promenade alongside Biscayne Bay.
The November 2024 referendum permits the lease to increase from 75 years to 99, and replaces 105 timeshare items with condos and permits co-working workplace house. Whereas sustaining the initially accredited tower heights – 375 toes and 535 toes – the plan reduces general density in favor of extra open house. The deal additionally comes with a neighborhood advantages package deal that features a $9 million contribution to reasonably priced housing and infrastructure enhancements.
Commissioners are additionally to vote as we speak on an amended grasp improvement settlement and lease for the location, authorizing the town supervisor to barter up to date phrases that align with the referendum.