On Paper, Not on Land: South Florida’s Delayed Mega-Projects

In South Florida, numerous large-scale real estate developments have been planned with grand visions, from towering skyscrapers to sprawling retail and entertainment complexes. However, many of these ventures have seen significant delays, facing various legal, financial, and logistical challenges. While some projects are currently stalled, others are slowly progressing, and a few have even been revived. Here, we explore several of these luxury real estate projects and the factors affecting their timelines.

1. American Dream Miami: Still Waiting to Become Reality

The American Dream Miami project by the Ghermezian family’s Triple Five Group, which also owns the Mall of America and American Dream New Jersey, was intended to be one of the largest mall-anchored developments in the U.S. This 6.2 million-square-foot endeavor was to include up to 3.5 million square feet of retail space, a theme park, hotel rooms, and a performing arts center. Despite securing rezoning approvals in 2018, construction has yet to start on the northwest Miami-Dade site.

The project has been hindered by a combination of legal and financial obstacles, including a prohibition on receiving county subsidies. Triple Five has sought to overturn this restriction but has faced resistance from competing malls and ongoing negotiations with county officials. Legal disputes, such as a recent lawsuit over a 63-acre land sale, have also delayed progress. Triple Five’s representatives indicate that they hope construction could start within the next few years, but real estate investors remain cautious about its viability.

2. City on Stilts: Miami Produce Center

Developer Robert Wennett’s Miami Produce Center in Allapattah is a unique project designed to pay homage to the area’s produce wholesale history. The 1.4 million-square-foot complex would feature buildings on three-story stilts, creating a distinctive architectural style. Approved in 2019, the plan includes residential, office, hotel, educational, and civic spaces.

Despite initial excitement, the project has stalled, with no construction notices filed since its approval. The Miami Produce Center faces challenges common to large, innovative urban developments, including concerns over the feasibility of such architectural designs and securing enough support for a project that aims to blend the past with a futuristic design.

3. Sabal Palm Village in Little Haiti: Stalled Amid Opposition

In Little Haiti, the Sabal Palm Village development by SPV Realty seeks to transform the Design Place apartment complex into a 3,000-apartment community. The project would also feature hotel rooms, office space, commercial space, and a central plaza to celebrate Caribbean art and culture. However, community opposition due to concerns over gentrification has stalled the project, with voting deferred multiple times over the last several years.

SPV Realty has promised to accommodate current renters at the same rates, aiming to ease some opposition. Yet, progress remains at a standstill, demonstrating the delicate balance that developers must navigate when working in culturally significant neighborhoods. This project’s prolonged delays underscore the importance of community engagement and the complexities of developing in diverse urban areas.

4. Metropica: A Decades-Long Journey Near the Everglades

Metropica in Sunrise, a massive mixed-use project on 65 acres near the Florida Everglades, is the brainchild of developer Joseph Kavana. After more than a decade of planning and only one tower completed, the project may finally be gaining momentum. Recently, Sunrise city officials approved a density boost, allowing more residential units and potential cost-sharing, which could expedite development.

With plans for residential towers, office space, commercial zones, and parks, Metropica is a blueprint for future South Florida real estate investing near suburban areas as the demand for suburban mixed-use communities grows.

5. Magic City Innovation District: A Vision for Little Haiti

The Magic City Innovation District, an 8.5 million-square-foot complex in Miami’s Little Haiti neighborhood, was intended to become a hub for tech and creative firms. Despite initial excitement and promises to bring innovation and growth to the area, construction on the first tower has yet to start. The project faced a lawsuit in 2019 that delayed approvals, although it eventually moved forward.

Current plans include adapting old warehouses for temporary use while building new infrastructure to attract future tenants. Developers now aim to construct two or three residential buildings before considering an office tower, acknowledging that remote work trends have reshaped office space demand. This adaptive approach could be valuable for other real estate agencies navigating changing market conditions.

6. Moishe Mana’s “Ecosystems” in Wynwood and Downtown Miami

Developer Moishe Mana envisions two transformative projects in Miami: one in the Wynwood Arts District and another in downtown. Unlike conventional developments, Mana’s vision is to create interconnected “ecosystems” that facilitate collaboration and cultural exchange. Despite being approved in 2016, construction has yet to start on these projects, largely due to Mana’s ambitious goals for establishing a “legacy” rather than focusing solely on profitability.

In Wynwood, Mana’s project includes the Wynwood Incubator and various mixed-use buildings, expected to start construction in 2026. In downtown, Mana plans to renovate historic structures before expanding with new towers. These delayed projects reflect the challenges real estate developers face in balancing visionary goals with the realities of construction timelines, financial backing, and regulatory approvals.

7. Miami Beach Convention Center Hotel: A Revived Proposal

The Miami Beach Convention Center Hotel is a long-awaited addition to South Beach’s hospitality landscape. Originally approved by voters in 2018, the 800-room hotel stalled due to rising construction costs. However, a recent public funding approval has renewed optimism for the project, which developers now expect to open by 2027.

This project highlights how critical real estate marketing and public-private partnerships can be in driving forward stalled developments. With an ideal location next to the Miami Beach Convention Center, the hotel is expected to benefit from strong demand, especially during events.

8. Bahia Mar in Fort Lauderdale: A New Era with St. Regis

The redevelopment of Bahia Mar in Fort Lauderdale has experienced multiple setbacks over the years. Yet, in 2023, the project gained momentum with the introduction of Related Group as a development partner. Plans now call for luxury residences branded as St. Regis, a high-end hotel, and condo towers starting at $4.4 million.

This waterfront project, which will include condos, hotel rooms, and retail space, exemplifies the high-stakes investments in luxury real estate across South Florida. Its planned luxury amenities and exclusive beach club have the potential to make Bahia Mar a sought-after address, reinforcing Fort Lauderdale’s growing appeal within the region.

9. Faena Residences on the Miami River: A Revival of One River Point

Initially envisioned as One River Point, the now-branded Faena Residences on the Miami River aims to transform a prominent location with luxury condominiums. After delays in financing and the passing of the project’s original architect, Rafael Viñoly, the development has been revived through a partnership between KAR Properties and Fortune International Group.

The Faena District will feature wellness facilities, a marina, and upscale residences with prices starting at $1 million. The revival of this project reflects Realtors’ understanding of high-net-worth buyers' evolving demands for wellness-oriented, exclusive living spaces.

Despite delays, these projects illustrate the ambition within South Florida real estate. For more information on real estate opportunities or investment insights, contact The Mastropieri Group at (561) 544-7000 for expert guidance on navigating the South Florida real estate landscape.