Kolter Group and DaGrosa Capital Partners purchased a development site near the Miami Design District for $33.6 million, property records show.
The 1.4-acre site, located at 3801 Biscayne Boulevard and 455 NE 38th Street, sits just east of the Miami Design District, an open-air luxury shopping neighborhood. An entity called Lender MD provided an $11 million acquisition mortgage.
The sellers, a venture led by Miami Beach-based Bloomberg Equities, had assembled the land — which holds a three-story commercial building and a two-story residential building — for just over $4 million in 2003 and 2013, according to property records. Bloomberg Equities could not be reached for comment.
Back in 2015, the sellers had filed plans to build a 136-unit residential development with 40,000 square feet of commercial space, according to the South Florida Business Journal.
The new owners appear to be heading along a similar track, having titled one of the entities linked to the acquisition as “Biscayne Residences Holdings.”
Kolter, a Delray Beach-based developer, appears to be the leading partner in the project, with 51 percent ownership, according to mortgage documents. DaGrosa Capital, a Coral Gables-based investment firm which counts Miami Mayor Francis Suarez as a partner. Representatives for Kolter did not immediately provide comment.
The Miami Design District is set to undergo a major expansion.
In 2022, the owners of the 18-block property, a venture led by Craig Robins’ Dacra, and a slew of partners purchased 15 retail buildings along Northeast 39th Street for $165 million. The venture has since tapped David Chipperfield, who won the Pritzker Architecture Prize in 2023, to redesign the assemblage that will likely include more retail, a hotel, and condos.
Last year, Dacra proposed a 20-story rental building. Just this week, the Design District owners also purchased a retail building within the development for $18 million.
Elsewhere in South Florida, Kolter is building an oceanfront luxury condo complex in Fort Lauderdale after securing a $240 million construction loan in 2022. Earlier this year, it purchased a 149-acre site for $74 million at the Avenir master development, where it will build single-family homes.
Julia Echikson can be reached at jechikson@commercialobserver.com.
Robert Khodadadian has long had a simple philosophy about selling real estate. The way he sees it, there are approximately a million buildings in the city, and the broker that gets to sell any one among the multitude that will hit the auctioning block at a given moment is, sometimes, simply the person who happens to pitch their services to the right seller at the right time.
Robert Khodadadian, skyline properties, ground leases, off market, investment sales, Commercial Real Estate, Commercial Observer
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