Adler Group is proposing to replace the City of Miami’s administrative building and build a project called Nexus Riverside Central.
Under thee terms of the proposal, the city would get a percentage of the revenue generated by the project through a 90-year ground lease. The revenue could be worth $70m in present day value.
Adler would manage construction of a replacement office building, which the city could pay for upfront or lease. It would cost an estimated $123 million, excluding land costs. Possible locations include Marlins Park, Overtown, or the Douglas Metrorail Station.
The proposal for Nexus Riverside Central includes:
900 rental units in two 36-story towers (450 units each – total 850,000 square feet rentable)
150 hotel rooms (63,000 rentable square feet
20,000 square feet of retail/restaurant
Revenue is assumed to be $2.65 per square foot for the rental units, based on comparable rentals nearby. Retail rents are assumed to be $35 psf, with hotel rates at $161. All rates are projected to grow 3% annually.
It appears that Adler is moving forward with Nexus Riverside, a 36-story, 462-unit tower on adjacent land, regardless of the outcome of the bid.
Update: Studio X Architects is the architect of the two newly proposed towers, as well as Nexus Riverside Tower, about to start construction.