OFFERING MEMORANDUM - Your Investment and Commercial … · Marcus & Millichap is proud to present 1700 NE 164th Street, a 1.16 acre (50,475 square foot) parcel of land located in

OFFERING MEMORANDUM

1700 NE 164TH STREETDEVELOPMENT OPPORTUNITY

North Miami Beach , FL 33162

N O N - E N D O R S E M E N T A N D D I S C L A I M E R N O T I C E

Confidentiality and DisclaimerThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap Real

Estate Investment Services of Florida, Inc. ("Marcus & Millichap") and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This

Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property.

The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation,

with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements,

the presence or absence of contaminating substances, PCB's or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the

financial condition or business prospects of any tenant, or any tenant's plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing

Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has

Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information

provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate

Investment Services, Inc. © 2018 Marcus & Millichap. All rights reserved.

Non-Endorsement NoticeMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation's logo or

name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product,

service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY.

PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

1700 NE 164TH STREET

North Miami Beach , FL

ACT ID Y0390829

2

TABLE OF CONTENTS

SECTION

INVESTMENT OVERVIEW 01Offering Summary

Regional Map

Local Map

Aerial Photo

FINANCIAL ANALYSIS 02

Pricing Detail

MARKET COMPARABLES 03

Sales Comparables

Lease Comparables

MARKET OVERVIEW 04

Market Analysis

Demographic Analysis

3

1700 NE 164th STREET

4

INVESTMENT

OVERVIEW


PROPERTY OVERVIEW

PROPERTY OVERVIEW

Marcus & Millichap is proud to present 1700 NE 164th Street, a 1.16 acre (50,475 square foot) parcel of land located in North Miami Beach, Florida. The property is located

one block North of 163rd Street, which has high traffic counts of over 58,000 vehicles per day (VPD), and few blocks West of Biscayne Blvd (US-1), which has high traffic

counts of 64,500 VPD. This location provides easy access to I-95 (Interstate 95), Florida’s Turnpike, Aventura, Sunny Isles, Miami Beach and Biscayne Boulevard. The subject

property is located in a well established, mixed-use, area within the City of North Miami Beach.

Plenty of high-rise buildings and mixed-use projects have been surging in the North Miami Beach area due to the new zoning code on and around Biscayne Boulevard, which

allows for higher density projects. There are numerous condo and presale units in the planning and presale phase of development on and around the stretch of Northeast

151st Street and Northeast 176th Street. Over the past ten years the population of the city of North Miami Beach as well as the surrounding neighborhood has grown younger

as families with children have moved to the area.

1700 NE 163rd Street is zoned within the Core Sub-Area of MU/TC district, the highest density and intensity within MU/TC, which allows for dense mixed-use development.

The zoning allows for mixed-use developments with a maximum height of 30 stories or 375 feet, whichever is less. The attractive zoning, strong demographics, and rapid

increase in redevelopment provides an investor with the opportunity to purchase an asset with great economic potential.

PROPERTY OVERVIEW

▪ Great Exposure With Excellent Visibility

▪ Zoned MU/TC ( Mixed-Use Town Center District)

▪ Located Just Off NE 163rd Street, Which has High Traffic Counts of Over 58,000

Vehicles per Day

▪ Strong Retail and Residential Presence in the Surrounding Area

▪ Rapid Growth of High-Rise Buildings and Mixed-Use Projects in the Area

▪ Close Proximity to I-95 (Interstate 95) and FL-826

5


PROPOSED PROJECT RENDERINGS

6


The subject property has proposed site plans for a possible mixed-use project. The plans include a twenty three story mixed-use building with retail on the ground level and 349 residential units above. The ground level includes 25 parking spaces and 14,609 square feet of retail including a lobby and a café. Levels 2-6 include a parking garage and 40 residential units. Levels 7-23 include 309 residential units with amenities and a pool deck on the seventh floor, totaling over 330,000 square feet of rentable area.

7


DEVELOPMENT PROJECT IN NMB

NEW NORTH TOWN CENTER

8


The North Miami Beach City Commission unanimously approved a 2.5-million-square-foot mixed-use project on Tuesday that will be designed as a “micro-city,” along the lines of Midtown Miami.Called New North Town Center, the project will be constructed on an 18-acre site that North Miami Beach officials call the TECO Gas Site, a brownfield that has been undergoing environmental remediation since the late 1980s.New North Town Center, at 15530 West Dixie Highway, will include up to 1,650 residential units, 260,000 square feet of office space, 175,000 square feet of retail space, a 175-room hotel and a 120,000-square-foot school. Height limits will range between three stories near the single-family Allen Park area to as high as 20 stories near Northeast 159th Street and West Dixie Highway.

New North Equities bought the bulk of the 18 acres for the project in January 2017 for $21 million. The land has been largely vacant for years, in part, because its former owner, People’s Gas, which still owns land on the east side of the street, left the site contaminated, according to Proffitt and Florencia Montecchiarini, project director for the development. At this point, it has been remediated as much as it can be. When the developers start construction, more work will be done to complete the remediation, Montecchiarini said.

https://therealdeal.com/miami/2018/03/26/major-mixed-use-project-planned-for-north-miami-beachs-west-dixie-highway/

9


UPTOWN BISCAYNE

In North Miami, the property at the corner of 163rd Street and Biscayne Boulevard has been given the green light for a mixed-use project.Now known as Uptown Biscayne, it will include:•170,000 square feet of retail, including a national grocer, and an edible garden, 35,000 square feet of office , 16-story, 245-unit residential rental tower, and 40-thousand square foot vertical garden.Once complete, Uptown will include more than 170,000 square feet of retail space, including numerous eateries, lifestyle tenants, a full-service spa and fitness club, a national grocer, and an edible garden. The project’s commercial component will be rounded out by 35,000 square feet of office space. The property will also feature a “main street,” a broad, pedestrian-friendly thoroughfare featuring ample sidewalks shaded by tropical trees and foliage designed to encourage outdoor dining and communal gathering. The images also show-off Uptown’s massive 40-thousand square foot vertical garden, which envelops the exterior façade of the property’s main structure and provides a sharp contrast with the predominantly asphalt-covered surroundings. The structure also features diverse retail facades, and vibrant signage murals, meant to highlight tenants’ unique personalities and convey the feeling of a traditional, organic development. “North Miami Beach, Aventura and Sunny Isles have had tremendous growth over the past few years, but residents are still very limited in terms of local lifestyle and shopping destinations. Retail vacancies throughout these neighborhoods are among the lowest in the county, which makes us bullish about the potential of a retail-driven property such as Uptown Biscayne,” said Alberto Kamhazi, Principal of CKP.

10


NOMA APARTMENTS

The developers of a mixed-use apartment project in North Miami Beach have secured a $51.24 million construction loan.North MB Owner, a group led by Jay Massirman, Jay Jacobson and Hunt Companies, are building the 347-unit, eight-story building at 2145 Northeast 164th Street. Records show JPMorgan Chase is providing the financing.The developers paid $10.23 million for the 2.57-acre site at the end of 2015, which came with approvals for the 638,855-square-foot project. That also includes about 10,500 square feet of retail space and parking.

https://therealdeal.com/miami/2015/12/03/rivergate-picks-up-north-miami-beach-land-for-10m/

11


NOMA APARTMENTS

Transamerican Development paid $13.4 million to acquire a North Miami Beach property it eventually plans to redevelop. Records show Transamerican principal Albert Benalloun in February entered into an agreement with the seller, Biscayne Cove LLC, to buy the property at 16375 Biscayne Boulevard. The February agreement also includes the adjacent 16395 Biscayne Boulevard, which was not part of the $13.4 million sale. Benalloun could not immediately be reached for comment.The 8,569-square-foot building, constructed in 2000, sits on a large, roughly 93,000-square-foot lot. The seller, managed by Enrique Puig, paid $8.3 million for both sites in 2005.Just east on Northeast 165th Terrace is the Harbour development site, a twin-tower, 425-unit luxury condo project on the water. Developers 13th Floor Investments and Key International paid about $31 million for the land, a 5-acre site at 16385 Biscayne Boulevard, in August and broke ground in February.Transamerican’s new property is also near CK Prive‘s planned mixed-use development on the southeast corner at 16301 Biscayne Boulevard –currently Dean’s Gold strip club and an ABC Fine Wine & Spirits.

https://therealdeal.com/miami/2016/04/14/13th-floor-key-international-score-95m-loan-for-the-harbour/

https://therealdeal.com/miami/2015/08/26/developers-close-30-5m-land-deal-for-the-harbour

https://therealdeal.com/miami/2016/03/21/ck-prive-adds-to-north-miami-beach-development-site-12-6m/

https://therealdeal.com/miami/2015/09/21/sex-sells-strip-club-to-become-mixed-use-project/

REGIONAL MAP

12


LOCAL MAP

13


14

AERIAL PHOTO


1700 NE 164th Street

OLETA RIVER STATE PARK

SUNNY ISLES BEACH

FIU BISCAYNE CAMPUS

BAL HARBOR

Biscayne Blvd – 64,500 VPD

15

AERIAL PHOTO


1700 NE 164th Street

AERIAL PHOTO

16


AERIAL PHOTO

17


PROPERTY PHOTO

18


19

FINANCIAL

ANALYSIS


FINANCIAL ANALYSISPRICING DETAIL

20

Summary

Price $4,950,000

Down Payment $4,950,000 100%

Lot Size (SF) 50,475

Price/SF $98.07

Lot Size (Acres) 1.16

Price/Acre $4,271,857

Number of Lots 1

Price/Lot $4,950,000

Type of Ownership Fee Simple

Site Description

Assessor’s Parcel Number 07-2217-003-0900

Zoning MU/TC

Frontage NE 164th Street

Financing

Loan Type All Cash


21

MARKET

COMPARABLES



SALES COMPARABLES MAP

22


(SUBJECT)

16375 Biscayne Blvd

2101 NE 163rd St

2261 NE 164th St

NoMa Apartments

16395 Biscayne Blvd

The Harbour

SALES COMPARABLES

1

2

3

4

5

6

23

PROPERTY NAME1700 NE 164th STREET

SALES COMPARABLES

$0.00

$20.00

$40.00

$60.00

$80.00

$100.00

$120.00

$140.00

$160.00

$180.00

$200.00

16375

Biscayne

Blvd

2101 NE

163rd St

2261 NE

164th St

NoMa Apartments 16395

Biscayne

Blvd

The Harbour

Average Price Per Square Foot

Avg. $129.80

SALES COMPARABLES SALES COMPS AVG

PROPERTY NAME

MARKETING TEAM


SALES COMPARABLES

rentpropertyname1

rentpropertyaddress1

rentpropertyname1


rentpropertyname1


24

SALES COMPARABLES

NOTES

Buyer plans to develop 730 residential units, 32,30, & 18 story buildings,

177 hotel rooms and 9,178 square feet of commercial space. Portion of

project sold to new owner

1

Close of Escrow 6/24/2016

Sales Price $13,400,000

Zoning MU/SW

Price/SF $167.19



16375 BISCAYNE BLVD16375 Biscayne Blvd, Aventura, FL, 33160

2



Zoning MU/TC

Price/SF $102.26



NOTES

Buyer plans on building a 10,000 square foot retail building

2101 NE 163RD ST2101 NE 163rd St, North Miami Beach, FL, 33162

3



Zoning MU/TC

Price/SF $97.22



NOTES

a 400 unit proposed class B multi-family apartment building to begin

construction 12/2018

2261 NE 164TH ST2261 NE 164th St, Aventura, FL, 33160

PROPERTY NAME

MARKETING TEAM


SALES COMPARABLES

rentpropertyname1


rentpropertyname1


rentpropertyname1


25

SALES COMPARABLES

NOTES

An 8-story mixed-used development including 349 units and 11,000

square feet of commercial space is currently under construction

4



Zoning MU/TC

Price/SF $91.38



NOMA APARTMENTS2145 NE 164th St, North Miami Beach, FL, 33162

5



Zoning MU/SW

Price/SF $161.97



16395 BISCAYNE BLVD16395 Biscayne Blvd, Aventura, FL, 33160

6



Zoning MU/SW

Price/SF $158.77



NOTES

Buyer plans to develop two residential towers with a total of 425 units.

THE HARBOUR16385 Biscayne Blvd, Aventura, FL, 33160

NOTES

Buyer plans to develop 730 residential units, 32,30, & 18 story buildings,

177 hotel rooms and 9,178 square feet of commercial space. Portion of

project sold to new owner


26

MARKET

OVERVIEW

MARKET OVERVIEW

MIAMI-DADEOVERVIEW

Miami-Dade County includes 35 incorporated towns and cities and

many unincorporated areas. The 2,400-square-mile county extends

from the Florida Everglades east to the Atlantic Ocean. It is bordered

to the north by Broward County and to the south by Monroe County.

The main portion of the city of Miami lies on the shores of Biscayne

Bay and is separated from the Atlantic Ocean by barrier islands, the

largest of which holds the city of Miami Beach. The metro, with a

population of roughly 2.7 million, is located entirely within Miami-Dade

County. Miami is the most populous city, with slightly more than

400,000 residents, followed by Hialeah and Miami Gardens.

MARKET OVERVIEW

METRO HIGHLIGHTS

BUSINESS-FRIENDLY ENVIRONMENT

The metro has no local business or personal income

taxes, which attracts businesses and residents to

the area.

INFRASTRUCTURE GATEWAY

Miami is a gateway for international trading activities

and immigration, connecting to ports to the south

and beyond.

MEDICAL COMMUNITY

The county contains the largest concentration of

medical facilities in Florida, drawing residents

needing services throughout the state.


27

MARKET OVERVIEW

ECONOMY▪ Various industries provide a diverse economy. Trade, international finance, healthcare and

entertainment have become major segments in the local business community.

▪ A strong tourism industry has developed, with ties to Latin America and the Caribbean.

▪ Tourism and trade depend on a large transportation sector. PortMiami and Miami

International Airport are both major contributors to employment and the economy.

▪ The Miami metro gross metropolitan product (GMP) expansion is expected to outpace the

U.S. GDP in 2017 and retail sales for the county are also rising.

SHARE OF 2016 TOTAL EMPLOYMENT

MAJOR AREA EMPLOYERS

Baptist Health South Florida

University of Miami

American Airlines

Precisions Response Corp.

Publix Supermarkets

Winn-Dixie Stores

Florida Power & Light Co.

Carnival Cruise Lines

AT&T

Mount Sinai Medical Center* Forecast

MANUFACTURING

3%GOVERNMENT

HEALTH SERVICES

EDUCATION AND

+

OTHER SERVICES

5%

LEISURE AND HOSPITALITY FINANCIAL ACTIVITIES

26%

AND UTILITIES

TRADE, TRANSPORTATION CONSTRUCTION

PROFESSIONAL AND

BUSINESS SERVICES

2%INFORMATION

15%

4%

12% 12% 7%

15%


28

MARKET OVERVIEW

DEMOGRAPHICS

SPORTS

EDUCATION

ARTS & ENTERTAINMENT

▪ The metro is expected to add nearly 140,000 people through 2021. During the same

period, approximately 50,000 households will be formed, generating demand for

housing.

▪ The homeownership rate of 54 percent is below the national rate of 64 percent,

maintaining a strong rental market.

▪ The cohort of 20- to 34-year-olds composes 21 percent of the population.

Miami-Dade County has developed into a cosmopolitan urban area offering a vibrant

business and cultural community. The metro has an abundance of popular attractions.

Miami hosts the Capital One Orange Bowl and is home to several professional sports

teams, including the Miami Dolphins, the Miami Marlins and the Miami Heat. The county

has a broad array of cultural attractions, historic sites and parks. These include the

Adrienne Arsht Center for the Performing Arts, Zoo Miami and Everglades National Park.

The region is home to a vibrant and diverse culture, family-friendly neighborhoods, a

plethora of shops and restaurants, and beautiful weather and beaches. It also offers easy

access to Latin America and the Caribbean.

39.3

2016MEDIAN AGE:

U.S. Median:

37.7

$43,900

2016 MEDIAN HOUSEHOLD INCOME:

U.S. Median:

$54,500

2.7M

2016POPULATION:

Growth2016-2021*:

5%

933K

2016HOUSEHOLDS:

5.6%

Growth2016-2021*:

QUALITY OF LIFE

2016 Population by Age

0-4 YEARS

6%5-19 YEARS

17%20-24 YEARS

7%25-44 YEARS

28%45-64 YEARS

27%65+ YEARS

15%

* Forecast

Sources: Marcus & Millichap Research Services; BLS; Bureau of Economic Analysis; Experian; Fortune; Moody’s

Analytics; U.S. Census Bureau


29

PROPERTY NAME

MARKETING TEAM


DEMOGRAPHICS

Source: © 2016 Experian

Created on August 2017

POPULATION 1 Miles 3 Miles 5 Miles

▪ 2021 Projection

Total Population 25,562 216,743 470,465

▪ 2016 Estimate


▪ 2010 Census


▪ 2000 Census


▪ Daytime Population

2016 Estimate 26,149 181,300 384,351

HOUSEHOLDS 1 Miles 3 Miles 5 Miles

▪ 2021 Projection

Total Households 8,485 82,628 175,629

▪ 2016 Estimate


Average (Mean) Household Size 2.97 2.58 2.63

▪ 2010 Census


▪ 2000 Census


HOUSEHOLDS BY INCOME 1 Miles 3 Miles 5 Miles

▪ 2016 Estimate

$250,000 or More 0.71% 2.17% 2.51%

$200,000 - $249,999 0.49% 1.17% 1.38%

$150,000 - $199,999 1.61% 2.84% 2.88%

$125,000 - $149,999 1.29% 2.48% 2.77%

$100,000 - $124,999 4.27% 5.92% 5.94%

$75,000 - $99,999 6.93% 9.25% 9.80%

$50,000 - $74,999 17.20% 17.38% 17.24%

$35,000 - $49,999 16.85% 15.82% 15.03%

$25,000 - $34,999 13.97% 11.79% 11.42%

$15,000 - $24,999 18.14% 13.90% 13.83%

Under $15,000 18.55% 17.28% 17.20%

Average Household Income $47,303 $62,400 $65,071

Median Household Income $34,497 $41,007 $42,107

Per Capita Income $15,798 $23,771 $24,262

30

PROPERTY NAME

MARKETING TEAM


DEMOGRAPHICS


Created on August 2017

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

▪ Population by Age

0 to 4 Years 6.61% 6.15% 6.15%

5 to 14 Years 12.66% 11.20% 11.49%

15 to 17 Years 4.22% 3.43% 3.52%

18 to 19 Years 2.52% 2.37% 2.38%

20 to 24 Years 7.53% 7.12% 6.86%

25 to 29 Years 8.27% 7.70% 7.28%

30 to 34 Years 7.26% 7.09% 6.83%

35 to 39 Years 6.23% 6.47% 6.36%

40 to 49 Years 13.11% 13.41% 13.31%

50 to 59 Years 14.31% 14.10% 14.10%

60 to 64 Years 5.32% 5.77% 5.86%

65 to 69 Years 3.80% 4.60% 4.77%

70 to 74 Years 2.93% 3.44% 3.64%

75 to 79 Years 2.19% 2.70% 2.83%

80 to 84 Years 1.44% 2.04% 2.13%

Age 85+ 1.60% 2.43% 2.45%

Median Age 35.71 38.83 39.31

POPULATION PROFILE 1 Miles 3 Miles 5 Miles

▪ Population 25+ by Education Level

2016 Estimate Population Age 25+ 16,930 144,559 315,545

Elementary (0-8) 7.32% 5.44% 6.13%

Some High School (9-11) 10.97% 8.40% 8.52%

High School Graduate (12) 32.74% 28.06% 29.24%

Some College (13-15) 20.45% 19.97% 19.15%

Associate Degree Only 9.95% 9.05% 8.37%

Bachelors Degree Only 11.48% 15.88% 15.79%

Graduate Degree 5.16% 11.22% 10.74%

31

Income

In 2016, the median household income for your selected geography is

$34,497, compare this to the US average which is currently $54,505.

The median household income for your area has changed by 25.41%

since 2000. It is estimated that the median household income in your

area will be $39,094 five years from now, which represents a change

of 13.33% from the current year.

The current year per capita income in your area is $15,798, compare

this to the US average, which is $29,962. The current year average

household income in your area is $47,303, compare this to the US

average which is $78,425.

Population

In 2016, the population in your selected geography is 25,476. The

population has changed by 5.14% since 2000. It is estimated that the

population in your area will be 25,562.00 five years from now, which

represents a change of 0.34% from the current year. The current

population is 47.47% male and 52.53% female. The median age of

the population in your area is 35.71, compare this to the US average

which is 37.68. The population density in your area is 8,121.42 people

per square mile.

Households

There are currently 8,447 households in your selected geography. The

number of households has changed by 1.21% since 2000. It is

estimated that the number of households in your area will be 8,485

five years from now, which represents a change of 0.45% from the

current year. The average household size in your area is 2.97 persons.

Employment

In 2016, there are 12,667 employees in your selected area, this is also

known as the daytime population. The 2000 Census revealed that

51.06% of employees are employed in white-collar occupations in

this geography, and 49.69% are employed in blue-collar occupations.

In 2016, unemployment in this area is 8.05%. In 2000, the average

time traveled to work was 33.00 minutes.

Race and Ethnicity

The current year racial makeup of your selected area is as follows:

39.75% White, 48.05% Black, 0.05% Native American and 3.68%

Asian/Pacific Islander. Compare these to US averages which are:

70.77% White, 12.80% Black, 0.19% Native American and 5.36%

Asian/Pacific Islander. People of Hispanic origin are counted

independently of race.

People of Hispanic origin make up 34.82% of the current year

population in your selected area. Compare this to the US average of

17.65%.

PROPERTY NAME

MARKETING TEAM


Housing

The median housing value in your area was $163,584 in 2016,

compare this to the US average of $187,181. In 2000, there were

4,371 owner occupied housing units in your area and there were

3,974 renter occupied housing units in your area. The median rent at

the time was $551.


DEMOGRAPHICS

32

8


DEMOGRAPHICS

33

Documents

OFFERING MEMORANDUM - Your Investment and Commercial … · Marcus & Millichap is proud to present 1700 NE 164th Street, a 1.16 acre (50,475 square foot) parcel of land located in