Harry Macklowe Closes Co-Op Buyout, Part of North Bay Village Assemblage
Harry Macklowe completed the buyout of a waterfront co-op building in North Bay Village, the first major purchase for a larger assemblage in the island town between Miami and Miami Beach.
The New York-based developer paid $47.7 million for the Biscayne Sea Club, a 51-unit property between 8000 and 8020 East Drive, at the northern end of Harbor Island, property records show. Kawa Capital, based in Hallandale Beach, provided a $32 million acquisition loan.
The sale came under scrutiny. Last year, owners of 18 units at the Biscayne Sea Club sued its co-op board in Miami-Dade County’s 11th Judicial Circuit over a $15 million cut to the original $55 million sale price. The suit is now settled, and the deal closed at the current price, which represents a $7.3 million cut.
Macklowe Properties is also in the process of buying out the next-door condo building, the Majestic Isle Condominium, which houses 36 units. The developer bought two units for a combined $820,200 last year, according to property records.
Macklowe, one of the most prominent figures in New York real estate, has partnered with Related Group to develop the site, likely into a luxury condo complex, according to The Real Deal, which reported the impending deals earlier this month. Representatives for both developers did not immediately respond to requests for comment.
Last year, commissioners in North Bay Village voted to nearly double the permitted buildable height on the northern portion of the town to 650 feet.
Since the deadly collapse of the Champlain Towers South building two years ago, developers have also been buying up aging properties, often along water, as condo owners associations struggle to meet new safety standards.
Both the Biscayne Sea Club and the Majestic Isle Condominium were constructed in the 1950s. In April, city officials ordered residents of Majestic Isle to evacuate over safety concerns.
Julia Echikson can be reached at email@example.com.