Near Brickell City Centre, another luxury condo tower coming to Miami’s financial hub

Another luxury condominium tower that will cost $300 million to build soon will start rising from the ground in Miami’s Brickell financial district.

Brickell’s luxury condo market has soared during the ongoing coronavirus pandemic with several new residential developments. Many developers are eager to cater to the wealth migration, including the financial services and technology companies relocating or expanding to Miami.

Newgard Development Group plans to start construction in February on 44-story high-rise Lofty Brickell at 99 SW Seventh St. The site is the former home of the single-story River Dry Cleaners and across the street from Brickell City Centre, an urban shopping center, apartment rental and condo development.

The tower is expected to be completed by mid-2025, Newgard CEO Harvey Hernandez said.

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Condo prices start at $600,000 for 500-square-foot studios and go up to $3.5 million for 1,300-square-foot two-bedroom, two-bathroom condos. All homes will come fully furnished and the building will allow owners to rent their residences on a short-term or long-term basis. Already, the developer has sold 320 of the 362 condos, or 88% of the high-rise.

“We are bullish on the state of the local supply and demand,” Hernandez said. “There’s a lot more demand than supply, and it’s going to continue (thanks to) the amount of people that want to come down here and enjoy our lifestyle and the number of businesses looking to move down here. I’ve been in this town since 1992 and I’ve never seen movement like this.”

Newgard also plans to build more housing between next year and 2026 on adjacent sites it owns.

A report earlier this month by a Florida Atlantic University South Florida real estate expert said short-term rentals are straining the pricey, tight regional housing market. But Hernandez and real estate expert Analytics Miami Founder Ana Bozovic say buyers want the flexibility with their residences.

“Anyone who is going to rent a unit on a six-month minimum is a different person than who wants to rent for a day or week,” Bozovic said. The developers, she said, “are catering to a different market. If anything, short-term rentals overlap with the hotel market. I don’t think it’s straining the housing market.”