Miami-Dade Advances $438M Redevelopment Fund as South Miami Prepares for Major Transformation

Miami-Dade County is moving forward with a proposed $438.3 million redevelopment trust fund aimed at revitalizing South Miami's urban core, potentially providing a long-term financing mechanism for one of the area's most significant development cycles in decades.

County commissioners approved the ordinance on first reading on October 6, advancing a plan to direct future property tax growth into the South Miami Community Redevelopment Agency (CRA). A second commission vote, scheduled for October 20, is still required before the measure can take effect.

The proposed trust fund would cover approximately 238 acres and capture 95% of eligible increases in property tax revenue over a 30-year period. Estimates project roughly $235.2 million in county contributions and $203.1 million from the city of South Miami.

Commissioner Raquel Regalado sponsored the ordinance.

Sunset Place at the Center of South Miami's Redevelopment

One of the most prominent projects within the proposed redevelopment area is the transformation of the former Shops at Sunset Place, a largely vacant shopping mall at 5701 Sunset Drive.

Midtown Development, which acquired the approximately 10-acre property for $65.5 million in 2020, plans to replace the aging retail complex with a large mixed-use neighborhood.

Designed by Heatherwick Studio in collaboration with ODP Architecture & Design, the redevelopment calls for seven towers ranging from 12 to 33 stories.

Current plans include 1,513 residential units, a 287-room hotel, retail and office space, a 1,300-seat theater, and more than 2,400 parking spaces.

The development represents a shift away from the property's traditional enclosed-mall format toward a denser, pedestrian-oriented district combining housing, hospitality, entertainment and commercial activity.

Separate $149M Infrastructure District Already Approved

The proposed redevelopment trust fund is separate from a $149 million community development district approved by Miami-Dade County in September.

That district is intended to help finance infrastructure associated with the Sunset Place project, including improvements needed to accommodate the planned development.

Demolition of the existing mall is currently targeted for early 2027, following delays from earlier schedules.

The redevelopment is expected to proceed in phases, with the initial phase targeted for completion around 2029 and full buildout potentially extending into the mid-2030s.

A Broader Investment Strategy for South Miami

The proposed CRA funding could also help support redevelopment beyond Sunset Place, including projects around South Miami's civic center and Metrorail station.

Unlike a direct $438 million construction grant, the trust fund would depend on future increases in taxable property values within the district. The projected amount represents anticipated revenue over three decades rather than immediately available funding.

For South Miami, the initiative signals an effort to leverage private development and future tax revenue to finance public improvements and accelerate investment in the city's downtown.

The October 20 vote will determine whether the proposed funding mechanism moves forward.