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1614-16 Various Miami Beach 1. 6or, 4/, �o A 400, beeea'o• 404 . 1,11ND „.- The New Miami Guide to South Florida Real Estate/one 1990 11 ill FEAtCI] Ill ..-, r r ew era: The end of the wild speculators, II r I-.r 4 t _� the arrival of the serious investors. 1 r. , rif ,.... I , a , ;.i. r._r 1 ,t liki I E ,) I.- il• . ,i ,, 1. 1. 1' .11 :C-11. ; :" -,,.. ,. I---..,_ III rna 11 ::,i; ' Sk: 11.I' ---11 iti I..._,__laiii:ii . x - 1ft _ �"-I\\\,\\iii .,�, ��i///,_. _ __ li _ e / . --.., IN il - ,m01111\ II 1 , - //iii,4 in!"i" r''t'' •1 t,P 4 .\i.A�� .,j\ 14 `, I/ • ..1:14t::%\ '` of ' .. / f a. -9 �.r ' i_i �I NEW?IAMI 65 , •i AREA REPORT • • • • It' tilt' E [4( 11 The road to real estate riches in Miami Beach is a long one, especially in South Beach. • Speculators are lagging behind investors who revitalize, not just remodel. • • by ALBERT STERN Photos by CHRIS HETZER • INVESTORS ARE REPLACING SPECULATORS financing for the Clevelander, Park Central and in the Miami Beach real estate market. Fewer prop- other South Beach properties along Ocean Drive, erty owners are slapping a fresh coat of paint on a one of the most popular nightclub districts in South rundown building and putting it on the market for Florida. a quick profit.Making motley on real estate in Miami "Lenders are looking at the strength of a devel- Beach—particularly South Beach—is a slow process oper,making sure a property is purchased at the right that demands plenty of staying power, not just a price,that equity is being put in,and that a reason- pretty building. able amou nt of success is being experienced in a short Increasingly,speculators are being nudged aside time,"Holtz says.Lenders in South Beach generally by investors who have expertise—or have hired refuse to deal with"dreamers who may have a vision expertise—in restaurant,hotel and apartment man- tin-the tiiture and will overpay for a property." agement.As a result,neglected properties in the Art Financial failures have peppered South Beach. Deco historic district have been revitalized,not just Pioneer developer Gerry Sanchez restored several remodeled. Art Deco gems but ended up putting some of his For example,hard-nosed business planning went companies into Chapter 11 bankruptcy. Business- into the beautiful restoration of the Ritz Plaza Hotel man Leonard Pelullo may lose control of several at Collins Avenue and 17th Street. The 135-room attractive properties on Ocean Drive—including the hotel was purchased and renovated at a total cost of Carlyle,Cardozo and Cavalier hotels—as a result of $6 million by the Malvern Group of New York City. a ti reclos.ne action by a Calitirnia S&L. "With renovations,we've spent$45,000 to acquire But a growing number of property owners in each room,"says Pieter Bakker,general manager of South Beach—such as Tony Goldman,owner of the the Ritz Plaza. "Compare that to $80,000 to Park Central Hotel on Ocean Drive—have not only $125,000 which a new hotel room would cost.For fixed up their properties but also have developed what we got,$6 million was peanuts." businesses that pay the mortgage. Goldman, for Cautious financial institutions are financing South example,runs a trendy restaurant called Lucky's and Beach real estate deals only if the borrowers have offers special hotel services to attract European lash- business plans for making their properties self-sup- ion photographers. porting."Banks cannot afford to finance speculation "Financial institutions want a stable income stream based on property values that may exist five or 10 before thee make a commitment,"says Dennis Russ, years down the line,"says Abel Holtz,top officer of executive director ofthe Miami Beach Development Miami-based Capital Bank. His bank has provided Corp."This has required people to figure out finan- 68 JUNE 1990 d - : l''!:k.'.'„',.;'.....- aars 'ittz Rt j _, %;;,,,: e,' • . Immo (,Ii 1�� Fq 17 y; HS eg �• '�� r t fir 37/t1 i- it _ _ r 1 4. it a /111'• iii _ _ t R/ _ - ,i i ...1 444. 1 , ' ; Nt / r,� ti.. tl • X1 .t:::l �., ; ` ,:„...,•,„ , _ t., , : ,, s„ • Pieter Bakker,the bullish general manager of the Ritz Plaza:"For what we got,S6 million was peanuts." , cial plans that not only take into account rehabilitat- Miami Beach.With 450 rental apartments in South ing a property but also how to operate it for a few Beach,his company is now one of the area's largest years.We are only in the early stages of this effort." residential landlords. Renovation also has spread beyond the restau- Out-of-town investors in South Beach sometimes rants, hotels and nightclubs on Ocean Drive to chastise local investors who shun the arca. But locals homes and apartments in South Beach's neighbor- contend that much of the investment in South Reach hoods. Young professionals—drawn by the beach, real estate is still speculative. the night life,the spruced up housing and the prox- For example, Holtz says the sale prices for hotels imiry to downtown Miami—have moved into parts on Ocean Drive have risen much faster than room of South Beach that were considered too dangerous rates."Four years ago,an Ocean Drive hotel might just two years ago. have sold for S 10,000 per unit,when rents were$40 per night."He says many hotels now sell for$30,000 OUT-OF-TOWN INVESTMENT per unit"but the people who paid$30,000 arc not The new residents and new entrepreneurs in South charging$120 a night. Room rates have gone up, Beach are fueling a second phase of development, but not that much." says Stuart Rogel, director of the City of Miami Beach Department of Economic & Community THE SOUTH BEACH SNAFU Development. A BUSTLING VACATION spot tirr the wcalthv "In the first phase of development,you had pio- since the 1930s, South Beach gradually became a neers with few resources,investing in an idea.Con- poor community with a population dominated by sequently,there was a lot of turnover of properties. retirees and refugees. By the mid-1970s,it became Now there's more understanding that Miami Beach clear how far the city had fallen: Census data on is here to stay, that the people are here to stay and household income showed that South Beach had that they need to be served. And this is attracting become one of the poorest areas in the state. investment,"says Rogel. City officials in Miami Beach tried to turn the tide Much of the money is coming from out-of-town quickly with a sweeping project—a massive South investors. In the last 30 months,for example,about Beach redevelopment plan to transform the .area 40 structures on Miami Beach have been acquired by south of Fifth Street into a "Little Venice" % i:h a Chrisken Properties of Chicago. The general part- 2.7-mile network of canals.But the grand plan never ner, Robert Christophe, has been partly motivated got off the drawing board. by happy childhood memories of family vacations in A construction moratorium south of Fifth Street, NEW MIAMI 69 i AREA REPORT • .nto effect to make way for "Little Venice," o 437.<4412,,,M ed from 1975 to 1982.Bythe time the morato- .�. I . € r,: yP�' 2 Atar..,,,,..1.,'A�jm was lifted,South Beach had deteriorated fur- !-. �At; '.her and its low rents had attracted thousands of •' T .A ` !-<..,, refugees who fled Cuba in the Marie! boatlift. ISLEEorii i NW o; `It was a great plan,but a terrible project,"says ,��''� ® _ I or Rogel. "It failed because it hit the wrong timing in 4� �: .d '© �O 1_, the market"—the prime interest rate reached 21 per- Vfi , nn 11� � ---04D liff cent in the early 1980s—"and because$500 million _,, mo ;,r ®� i11EM EI o of public funds would be necessary before the first t�37t� omirt7m� dollar of private investment went in." I!L L© �. By the late 1980s,however,private investors went `°""G0 w,m MIa cr e� N ,....,.Mb Nal • ahead with some new developments south of Fifth • Street anyway.South Pointe Tower,a pink high-rise 1 $ x� .r ART DECO condo,has attracted hundreds of high-income resi- "' mi A F `� is ART DISTRICT dents in the last three years. Penrod's, a bar and rJ 1T ..Et® ,®�o restaurant near South Pointe,has attracted big crowds `'��o i (and complaints about noise and traffic from South 10th '1rsr'I Pointe Tower residents). t STAR ..o Now the city government of Miami Beach is 'SLAW ' o "s r • taking an active role in encouraging further develop 1 _I-.--2 g !li � r ment of the area south of Fifth Street.The city has ` .,: f, CdT1 • �Q agreed,for example,.to acquire three blocks near the a sin' � �/" iSouth Pointe high-rise,then demolish the existingCli structures and sell the land to Cobb Partners Devel- �� m' `• ....or opment Inc.The local developer has agreed to pay f ■ ""0°"" WO j, , i' r' about$4.4 million for the land and build a low-rise, ` • . " r -"',i� ,,./ *5° Mediterranean-style village with about 300 r • �•' "rlsr townhomes and condominium apartments. "`A"D -rie SOUTH POINTE "i •• - REDEVELOPMENT -.ABIEY Si.i HOTELS „.: -: . AREA THE CITY ALSO is involved in a much larger '-- project in the South Pointe area—a joint venture by Marriott Corp.and Rahn Properties of Fort Lauder- dale to develop a 1,500-room oceanfront hotel. It MIAMI BEACH: A STATISTICAL PROFILE would be Marriott's largest resort property. That project depends heavily on the city govern- POPULATION POPULATION AGE BREAKDOWN ment's ability to acquire land through eminent 1980 1989 2000 Under 18 18-64 65 and over 96,646 98,047 101,333 11.5% 56% 32.5% domain proceedings.It also depends on the city goy- , ernment'sability ttoovercome opposition from South AVERAGE APARTMENT RENTAL RATES,1990 Pointe residents and Art Deco preservationists. 1-kedroom 2-bedroom 3-bedroom The first phase of development would consist of S494 S657 51,094 constructing a$300 million,1,500-room oceanfront hotel at the intersection of Collins Avenue and First MAJOR EMPLOYERS Business Employment Street. The second phase, at Collins and Third Mount Sinai Med.Center 2,700 Doral on the Beach 500 Street, would add at least 600 rooms at a cost of City of Miami Beach 1,500 South Shore Hospital 495 roughly$150 million. Fontainebleau Hilton 1,200 Castle Club Corp. 325 Only two owners hold the land where the first Miami Heart Institute 970 Alexander Hotel 205 phase of construction would occur,says Peter Kory, St.Francis Hospital 750 Andy Frain Florida 180 Marriott's project director. But the land for the second phase is held by more than 500 owners."We RETAIL SALES lin millions) BAR&RESTAURANT SALES lin millions) 1985 1986 1987 1988 1985 1986 1987 1988 hope to have a development agreement by the S496 $519 S547 5584 S79 S87 S89 S91 summer[of 1990]and break ground in 1992,”says Kory. "This type of project is an expression of BUILDING PERMITS, MEDIAN PER CAPITA INCOME confidence in South Beach." SOUTH BEACH lin millions) 1979 1987 Government officials are anxious to help because Keg Permits S Value Miami Beach $8,904 S13,638 the city needs a big, new hotel to help draw 1987 1,000 521.9 City of Miami S6,084 S9,830 1988 1,094 S28.1 Dade County 57,772 S12,401 conventions to Miami Beach Convention Center, 1989 1,151 S61.9 State of Florida $8,257 S12,456 where a 500,000-square-foot expansion recently has been completed at a public cost of$54 million. Sources:City of Miami Beach.Miami Beach Development Corp.,Sales&Marketing "It will take three to five years to complete a major Management Magazine,U.S.Bureau of Census.University of Florida new[hotel] facility,"says Rogel, the Miami Beach NEW MIAMI 73 J AREA REPORT 1 association of 3,000 executive meeting ness. II 1 f .. planners said to me that as soon as a con- Older hotels such as the Doral, tract is signed for a new hotel,he'd plan to Fountainebleau, and the Eden Roc L bone millions of dollars in re undergone bring his group to Miami Beach." While Miami Beach has an inventory of tions in recent Fears.Still,only 4,000 first more than 15,000 hotel rooms, it faces a class hotel rooms are available in Miami [t critical lack of new high-quality rooms, Beach. Analysts say novice that number is which conventioneers typically prefer. necessary if the convention center is to economic development director."Conven- The first new hotel in Miami Beach in 20 fulfill its potential. tions typically book four years in advance. years is planned by Carolyn Properties, a Although a 1,500-room Marriott hotel We've lost business.We'll only start losing locally based firm.A groundbreaking sere near South Pointe would till much of the ' more if nothing is signed soon•" mony for the hotel—to be managed by a gap, "just one hotel is not going to writ "It's imperative that we get additional subsidiary of Tokyo-based All Nippon Air- Miami Beach around," says Fern Kanter, hotel product,"agrees Merrett Stierheim, ways—was held in March. Yet the new manager at the accounting firm of Lay- president of the Greater Miami Conven- hotel's 188 rooms falls far short of the enthol&Horwath.Kanter's firm has stud- tion and Visitors Bureau."The head of an number needed to attract convention busi ied the rge hotel onfMia Miami Beach that ity of tctouldgservelas a convention headquarters. THE GREATER MIAMI Much of the Miami Beach Convention BROADWAY SERIES Center's activity now centers on trade exhibitions that attract local residents, Kanter says. "That isn't what has an economic im- unmaskedprat, though," ne Vetract conventions with 1,000 to 10, at- tract visitors spending money. But there are no our neomsw season r( hem." ts for rtresearch shows that every po- tential major-hotel site in Miami Beach has In a problem."Multiple owners,historic sites and the cost of land make it difficult ter O e e e r 1 deals to work,"she says."That's why we'wc seen such limited development. Develop- ers are going to look to the city tier some Broadwayhelp to make up their deficits.At this point H • , ...... .: ....... in time,the city of Miami Beach will have to . . take a better posture toward working with It S••• developers to make these types of deals happen." Some skeptics see another "Little Yen , 44 ice" in the making. "i'm concerned that • there is a potential for inappropriate com- mitment of public resources,"says Russ of the Miami Beach Development Corp. He .ays the city should funnel its resources not • on construction of a major hotel but on TM "incremental development ... rehabilitat- ing properties." ©1986 R.U.G.plc One approach that has been discussed is Andrew Lloyd Webber's renovatingagroupofexistinghotels,rather THE PHANTOM OF THE OPERA than building a major new hotel.Theowne' of the newly renovated Ritz Plaza Hotel i, JEROME ROBBINS' BROADWAY negotiating to acquire other propertie along Collins Avenue "which could b1 M. BUTTERFLY collectively landscaped along the ocean an. share recreation facilities,"says Bakker,th THE MUSIC OF ANDREW LLOYD WEBBER manager of the Ritz Plaza. But Kanter s'a there is no substitute for a big new hone ...plus a fifth show to be announced! "The Art Deco village concept is not .1 Call today to guarantee the best seats at the best price! alternative," she says. "It would just cal. 305/358-5885 too many 150-room hotels to make impact." Productions subject to change. Phone orders subject to service charge. 1a AREA REP 0 R 1 , Put .: ,. ..:.,....... � � PutThe . • ...e' . . .: .....„ \, c..„. : ,. . ,,,___ . .0... . . ......_.,. Back ,.... ..... . : : : .,..,...„ , „v._ • .; : , lik�: .„._.„..., w ,, • Howard Shapiro,first vp at Pacific Intl.: Canadian money on Venetian Causeway. r- RESIDENTIAL AWAY FROM THE high-rises of Collins Avenue,the neon and the traffic,much of ti • Miami Beach's population is spread among 'i 1. `t. . brightly colored apartment buildings and a 4 ' ti wide variety ofhomes on palm-lined streets; 1 \' .�" among them,island estates worth millions. .:4;,'':F, Down in South Beach,apartment reno- '• vation and redevelopment is paying off for investors.In the last four years,incremental , ' improvements in the mid-section—between Collins and Alton Road—have upgraded once-dicey sections of the neighborhood. JUSt The South Beach residential revival is the bedrock upon which a great deal of the 115 jrecent progress in Miami Beach has been built. Its success, to a large degree, has per room,per night removed taint from the city and given the redevelopment process unassailable legiti- macy. Once again, our-of-town interests There's never been a better time to visit Miami's fabulous made it happen. Says Tim Voda,regional Fontainebleau Hilton Resort & Spa during our revitalizing manager for Chrisken Properties of Chi- Bounceback Weekend. With our prices bouncing as low as S115 per room, per night, you can get a jump on your next cago:"The pioneer feeling has left the area weekend plans. Check in :is early as Thursday, and if you in the last nine months or so. There is no stay a Saturday night, you'll receive our low Bounceback longer a feeling that you are at risk on rate all weekend long. If you bring the kids, they'll stay free Miami Beach." in your room.And everyone gets a free continental breakfast Blighted properties are fewer and farther everyday. between. And the rental market is tight. At the Fontainebleau Hilton,you can luxuriate on our 18 Example: Only five percent of Chrisken acre beachfront paradise with every conceivable watersport, Properties' 450 apartments are vacant. tennis,a 2.5 mile boardwalk for strolling and jogging,new • "Right now 25 percent of the area's older state-of-the-art oceanside Spa and golf just minutes away. housing stock has been renovated," says So don't let your next weekend get away from you. Put Dennis Russ of the Miami Beach Develop- the Bounceback into it by contacting your travel agent for ment Corp.,adding a prediction: "About reservations or more information. 25 percent more will be renovated in the Phone 1-800-HILTONS, 1-800-548-8886 (Florida) next five years." or 1-305-538-2000. • The strength in low-rise South Beach _____ 44°1341611e6 residential has touched off high-rise con • where further north on Collins Aveis in FO �A INEBLE.AL HILTON'S/WEEKEND " where the bricks-and-mortar action is in 1 V LC111 VL. condos and the money is Canadian. 4441 Collins Avenue, Miami Beach Montreal-based Pacific International _J NEW MIAMI 75 AREA REPORT La Rive Gauche,are now in the final stages panicking."We've owned these prop s:.4 , ofconstruction.The Sterling,at 67th Street for eight to 10 years,"he says."We stat a } . and Collins, due to be completed in late developing them then,but when the ma i t1 1991,is already 30 percent presold. ket conditions turned bad,we secured the rot 41/4i Pacific's most ambitious undertaking is sites and waited for a better day. If we had Sunset Harbour,which is planned as a 800- sold them then,it would have been for well lilL unit high rise community at the foot of the below their intrinsic value.Now,the shift in 3 Venetian Causeway. The first 275-unit demographics tells us that Miami Beach is Equities Inc. is undertaking the most ex- tower will be finished in late 1992. Pacific going to happen."Overall,Pacific will invest tensive construction program on Miami is accenting lifestyle in marketing the devel- $220 million in Miami Beach. Beach,with four major condo-projects in opment to young professionals. Sunset The condo projects launched by Pacific various stages of completion.Two projects Harbour will be built around Pacific's newly International underscore what David Dabby are along Collins Avenue above 50th Street, completed 165-slip marina. calls "a general acceptance of waterfront in the upscale condo canyon known as Howard Shapiro, first vice president at property above all others."Dabby,the vice "The Neighborhood." They arc the lux- Pacific,says his firm is one of the few that president ofAREEA,a local real estate con- ury-level L'Excellence and the mid-priced rode out Miami Beach's slump without suiting firm,adds: "Because Miami Beach _ does not have a significant stock of[condo I units,the first construction expansion in 10 years is under way." THE HIGH END The Park Central Hotel MEANWHILE,ESTATES in the Beach's floral neighborhoods continue to climb in In price—especially if they're waterfront homes. Asking prices are headed for the Old Miami Beach stratosphere. Carlos Justo, president of waterfront- -''-'1°,?-0. ,ifi '.i '"e specialty Wimbish Realty,says an upturn in t high-end home prices has been caused by za`*" 5;,, • increased out-of-town interest in Miami iµr• .% c:§,-.;,` .� r' ' ... Beach."Two years ago,"he says,"$2 mil- .' . *,fit ;'" f `1 , ! •// •• °"k•u.. lion was the top price for a home in Miami soBeach.Now you have buyers that can spend 'fit r,' $5 million and more.Four or five years ago, . 1-‘: �� ,, ,% you could buy a home on Star Island for < ,� i ''' ,1.<a ! $500,000.Now an empty lot is$950,000." I Justo says the big-ticket properties look ° ; ► it cheap to people from New York and Cali- • 1 r ::ifornia. "Miami never had runaway appre- t . U ciation like other big cities,"he says."Now •r le,,,, ,,,,' , I ; �' people are coming from New York, Los 1 I l' l ' ',,k. t Angeles and other big cities and seeing S3 Ii °l 1 'µ million properties that they would pay$10 , 1 i i r«'' fl ' 1 million for in their towns. Miami Beach is I �y all about value." • ' r. • ' v, , . v. Deposed CenTrust honcho David Paul ' , I "�' listed his compound on La Gorce Island for l i Tot-13"°N',iliji ii ' $9 million.Wimbish is the listed broker for t: that estate, as well as the $12 million i I}1- I (IF Firestone estate next door. i *-1" — .- Waterfront homes already have attracted • such luminaries as Maurice Gibb, Broad- way director Harold Prince, Norman 640 Ocean Drive Braman, Emerson Fittipaldi and Gloria Estefan. Europeans and Japanese are now exploring the market. Special Summer Weekend Where it all ends is anyone's guess. Dabby Hotel and Restaurant Packages thinks the rapid escalation of property val- ues in Miami Beach has about run its course. S65 p.p double occupancy.Valid through August 31, 1990. "Over the next three years,people should (305) 538-1611 be more realistic in estimating price in- creases for waterfront properties,"he says. 76 JUNE 1990 A....--- AREA REPORT • '. =; �'`ttu1 !` ak �' 'a el iw•ie . oEi it i I - SNMI i ;' __�� Doran Jason:Lincoln Road Mall,three years 1/11,"" r--� • 6. ; .. ....a • I ' from a turnaround,is still a good buy. '' a '�� ►I ' ''' Justo,however,does not foresee the csca- y 4 T 40.,: lation stopping. He believes that high-end — ,., 1 - property in Miami Beach is so underval- ! I — ued, by national standards, that some ap- d I E preciation will continue even in the event of -- — • a recession. '1,----... r it I RETAIL THE STRAND MOST ANALYSTS AGREE that there is a mild recession already under way in the 671 Washington Avenue Miami Beach, Florida 331.39 (305)532-2340 U.S.retailing industry.But even in a healthy retail climate, the large number of store- fronts that are forlorn and/or empty in Miami Beach—which has no modern malls—still gives the impression ofa slump. Aside from a funky collection of used he Cotton Club furniture and clothing stores on Washing- ton Avenue,and a gradual reawakening on Lincoln Road,there is little new retail on at the Beach other than restaurants and night spots. In terms of retail development,one city official confides, "we are less than 25 percent of where we should be." The 41st Street shopping area is healthy, ef ' however, with virtually 100 percent occu- pancy and rental rates at $20 to S25 per square foot and up.South Beach,by con- trast,is a low-rent retail district with little merchandise other than the everyday ne- In the fine tradition of Harlem's most celebrated night club, 5th cessities of life.The area's primary depart- ment store, Burdines, appeared in late Street presents THE COTTON CLUB REVUE 1990. Starring April to be vulnerable to a shutdown ase the Billy Rolle Orchestra,The Ed Hollins Dancers and your host result of the Campeau Corp. bankruptcy. WTMI's China Valles. Due to a shortage of land for develop- Monday, June 4th, 1990 ment of stores and parking spaces, the (running the first and third Monday of each month) construction ofa large-scale enclosed shop- Dinner Show 7 p.m. Late Show 10 p.m. ping center on Miami Beach is unlikely. Featuring Fine Southern Cuisine Neverthless, some real estate brokers say $25 General Seating $35 Ringside Seating big-time retailers arc overlooking opportu- nities on the Beach. 5th Street Club "There is an increase in disposable in- 429 Lenox Avenue,Miami Beach come on the Beach," says Stephen Fried- For reservations and additional information please call 531-1910 NEW MIAMI 77 s *Mir- -lit, isimmiMilw -oimi AiMiniiiimmoimmio AREA REPORI : : . .,*,N SOUTH BEACH OFFICES AND RETAIL SPACE in the Heart of the Art Deco District Offices from 600-2,000 s.f. • Retail space from 1,000-3,000 s.f. III II a ' .rr ►. t, y continued from past.79 :,rj r i-�, {1er man, a commercial real estate agent with F:. ��'v Coldwell Banker. "People have money, + i=.1.1' ri'; i ..4 x�_1 > P Y Q ..,: ,j-.y want to spend it,bur have nowhere to go. I .Ir._ I_ EI ,,•• •-4 r�4.7,ii. �;:( ,; �.nti• :brd•:r. This area is crying out for retail."Friedman is focusing on attracting national chains to Atkins & Bresk in, CO. (305) 531-2918 South Beach,but says"these types of ten- ants are used to a suburban atmosphere. l have to sell them on the fact that we're �r:?" different here." a � On Lincoln Road,local developer Doran -44 , ; " Jason has jumped in with both feet.Three k . , ivo� ALLyears ago,he purchased and renovated four a r ' Lincoln Road operty ies,three n which dh he still owns."Property on Lincoln Road was , :. selling for the same price as West Dade a • t.• ,o `" st warehouse space. 1'didn't know about the A� . - area's timing,but in terms of pricing,buy- ing in made sense. \` ,Tf. . .' As for timing,Jason thinks that Lincoln ? IN Road is still three years away from a turn- EASY around.Rental rates now languish at S8 per •! square t>ot. ,ti �" Much of Lincoln Road is a pedestrian- only outdoor mall. For years, debate has raged over whether part of the pedestrian mall should be opened to automobile traf- I'm right in the heart of all the action on South j tic.Supporters say better auto access would Beach. The Ocean and wide expanse of sand... hurry the resurgence of the retail strip, thirty trend-setting restaurants and night spots... which is home to the New World Sym- everything as laid back or as pulsating as I want. I'm phony and a phalanx of art galleries.But an just a five minute walk or drive away. It's Art Deco encroachment on the pedestrian mall ...it's alive...it's The South Bay Club. Oh, yes, doesn't appear imminent. there's a marina, views that are awesome and really Washington Avenue,meanwhile,isshap- good security. Bayfront condominiums: ing up as a potentially active commercial district.A sizable project on the avenue was Studios from $32,000; I-Bedrooms from handled by one of South Beach's resider $41,000;2-Bedrooms from$92,500. tial development pioneers, Saul Gross of Up to 90% financing—Low monthly payments- Streamline Development. He is a tbrmer Super investment opportunity. New York attorney who has changed his Where Weekends Alever End. company's tixus from apartments to com- mercial space. While Streamline owns 11 properties, Gross' latest project was the renovation ofWashington Avenue between The I lth and 12th Street. South Bay "Right now we're 100 percent leased," _ says Gross, whose tenants include a first Club class Middle Eastern restaurant, a fish market,and a memorabilia shop.Gross says that an eclectic commercial mix is likely"at Condominiums on the bay least until convenience retail is established Models open 7 days 10 to 6 Westo serve the residential enclave." 800 elep Avenue,Miami Beach Ocean Drive,ofcourse,remains the center • Telephone(305)673-5007 of South Beach's nightlife—a reputation NEW MIAMI 79 #.1 Nib AREA R E P O R 1 hAHA & = SCiSSORS ... Q it Art Sfuic , . • ....--N. i Y • • ( i‘• A ' 1::: s?! :;; 7....4..:_ri: Saul Gross of Streamline Development: Renovating Washington Ave.for retail. 'V.. reflected in lease rates. Friedman says that rental rates for restaurants are"now in the I 0 $30 range and are not going to stop there." FOCUS 4s ` Indeed, much of the overall resurgancc �y� ,r o in Miami Beach is being prompted by an 1, �{!� increasingly affluent population attracted N l <. k to the city's unique Deco/ocean ambience. r{41Rn Still.GRE PROOUC7� !,,�` Miami Beach,in a word,has become trendy 1244 Ocean Drive South Beach, 33139 once more, a case of rise and fall and rise again.As Russ of the Miami Beach Devel- (305) 673- 1408 opment Corp. puts it: "Miami Beach— EUROPEAN MANICURE-- PEDICURE --- ACRYLICS --- WAXING even Miami—has never gone through Specializing in Coor Perms Cuts for Men&Women anything like this.Finding our way is going to be a continuing phenomenon."■ Meridian Court i` ' = ' 1 - Condos s ! ,{ Now you can OWN a home in a resort community with a season that's 12 e*< months long starting at under s < $400.00 a month and only: • 4 hours from Boston ;`:'': ` 31/2 hours from New York i'`i'' 3 hours from Philadelphia s P II'. 21/2 hours from Washington D.C. AND 830 LINCOLN ROAD 15 minutes from Downtown Miami FULLY RENOVATED • 719-737 Lincoln Road Deco Realty is now offering a select • 19,000 sq.ft.for lease or sale. number of very special condos in the • PRIME OFFICE Asking$1.2 million Art Deco Historic District of Miami & RETAIL S PACE • 801-821 Lincoln Road Beach. Another wonderful project by 3,750 sq.ft.for lease R.S. Development... FOR LEASE • 1654 Meridian Avenue ' AND/OR SALE 4.200 sq.ft.for lease JECO fEflLTY, INC. r 0i • 830 Lincoln Road THE 3,100 sq.ft. for lease 407 Lincoln Road,Suite 12F ' II/`` CONTACTMiami Beach, Fl 33139 I i dj JAELIZABETH JASON (305) 532-5520 FAX:532-7525 COMPA/� BROKER •• SALESPERSON Oral representations cannot be relied upon as correctly { N YOF MIAMI.INC. stating the representation of the developer. For correct REALTOR 374-1188 representations make reference to Florida Statutes section 718.503.to be furnished by developer to a buyer or lessee. 80 JUNE 1990 s.,I annituitspra mite nr IJ'UpupFi By 1926,the local tourism industry had naughty and nice,only make Miami Beach gotten its start: Miami Beach's first a spicier place. Perhaps that's one reason it it-,111 E[1,(11 oceanfront hotel, the Roney Plaza, was why hoards of people patronize the Beach's erected at Collins Avenue and 23rd Street. restaurants and clubs(see page 82-86).It's Throughout the 1930s, Art Deco hotels all about image,after all.Something Miami A Born-Again Hot Spot popped up everywhere, creating an Beach has always had plenty of. oceanfront paradise that gave Miami Beach IT'S BEEN A BATTLE,but Miami Beach its reputation as a vacation oasis. Attractions is back in style.Walk down Ocean Drive on Although World War II slowed the tour- • Art Deco District,from 5th Street to a Friday or Saturday night, beneath the ism trade, Miami Beach maintained its Dade Boulevard,from the ocean to Lenox neon and through the crowds,and feel the reputation as home to the rich and famous. Court.This 1-square mile district was listed electricity of this born-again hot spot. Frank Sinatra and Arthur Godfrey moved on the National Register of Historic Places Ocean Drive's widened sidewalks and to town in the late'40s. in 1979. For more info, call the Miami cornucopia of cafes did not appear over- In the 1950s and'60s,however,the city Design Preservation League,672-2014. night,however. It took hard work to pre- slowly regressed from resort town to out- • The Bass Museum of Art,2121 Park serve the Art Deco architecture that makes door rest home. Crime became a serious Ave., 673-7530. One of the best perma- Miami Beach unique in South Florida. problem in the early 1980s, when thou- nent collections of paintings and sculpture Applaud the dedication of Barbara sands of Cuban refugees moved in.It wasn't in South Florida. Capitman,a longtime leader in the preser- until the late 1980s that the efforts of • South Pointe Park, 1 Biscayne Street, vation of Art Deco architecture. Until her preservationists like Capitman were aug- across from Joe's Stone Crab. Home to death this year at the age of 69, she had mented by widepsread investment aimed at Friday Night Live,a free open-air concert. campaigned long and hard to keep out revitalizing Art Deco structures. This award winning park is located on the developers who would exchange old for Not all of the investors have been wel- southern tip of Miami Beach. It is also the shiny new. corned by preservationists.A company led best place to watch the cruise ships leave on Originally a shallow sand bank created by by businessman Leonard Pellulo was widely the weekends. sediment draining from the Everglades, criticized for razing the Senator Hotel to • Holocaust Memorial, 1933 Meridian Miami Beach was untouched until the late make room for a parking lot.City Commis- Ave.,behind the Miami Beach Convention 1800s. In 1913, a two-mile bridge con- sioner Abe Resnick,who levelled the New Center, 538-1663. Unveiled in February, necting Miami Beach to the mainland was Yorker Hotel,hasn't won many friends in 1990,this 42-foot bronze sculpture stands built where the Venetian Causeway now the preservationist camp,either. in tribute to the 6 million Jews that died stands. But the parade of personalities, both under Nazi rule during World War II.■ CU L:I { GRILL In Miami Beach . . . STEAKS, FRESH throughout South Florida . . . 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