Miami Developers Secure $172M for Nearly 500 Apartments
Two major multifamily projects in Miami attracted significant construction financing despite regional apartment oversupply concerns. The deals will deliver 478 new units across MiMo and Wynwood neighborhoods by 2028.
Miami developers have secured $171.5 million in construction financing for two residential projects that will bring 478 new apartment units to the market, demonstrating continued investor confidence despite regional oversupply concerns.
New York-based Acre captured the larger portion of the financing, obtaining $123 million from Dallas lender Canyon Partners for its Adela II development. The six-story complex will house 337 units at 645 Northeast 64th Street in the MiMo Biscayne Boulevard Historic District, positioned just south of Legion Park.
The Adela II project represents a four-year development effort that involved extensive community engagement and plan modifications. Miami's planning and zoning board approved crucial changes in 2024, including an upzoning permit for the additional sixth floor and a special exception granted in February. As part of the approval process, Acre committed to providing public parking spaces and contributing $1 million in mitigation payments to District Chair Christine King's area.
The development will occupy an assemblage of 17 contiguous lots, with the city transferring Northeast 64th Terrace to Acre for conversion into a two-way garage entrance. Monthly rental rates are expected to mirror those at Acre's completed 236-unit Adela at MiMo Bay complex, where current listings range from $2,400 to $4,944. The new building will incorporate 20 workforce housing units alongside market-rate apartments.
Meanwhile, North Carolina-based Evolve Companies obtained $48.5 million from Los Angeles lender Genesis Capital for its Wynwood Norte project. The eight-story Evolve Wynwood 35 building will deliver 141 units at 535 Northwest 35th Street, featuring studios and one- and two-bedroom market-rate apartments with completion targeted for 2028.
Evolve acquired the nearly one-acre site for $9.8 million in 2022, with Miami's Urban Development Review Board approving the Kobi Karp-designed structure last year. The building's distinctive multi-colored facade reflects the artistic character of the surrounding Wynwood Norte overlay district, which city officials established in 2021 to balance development growth with affordable housing incentives.
Chris Hammel's Northmarq team facilitated both financing arrangements, working with leadership teams including Acre's Les Menkes, Michael Van Der Poel, Blake Olafson and Daniel Jacobs, plus Evolve's Mike Winstead Jr. and Joe McKinney.
The financing activity occurs amid challenging market conditions for South Florida's apartment sector. Developers completed a record 18,600 units in 2024, exceeding total leasing demand by 20 percent according to CoStar Group data. An additional 12,718 units reached completion last year, contributing to slower lease-up periods, declining rents and extended tenant concessions.
Despite current oversupply pressures, developers initiating construction express confidence that demand will recover by project completion dates. They emphasize strategic submarket selection to avoid oversaturated areas, betting on Miami's continued population and economic growth to absorb new inventory over the next several years.
