Rivani to Spend Another $50M Adding Office, Restaurant Space to Miami Beach Building

Robert Rivani wants to expand his mixed-use, Miami Beach building near Lincoln Road by converting the garage into more leasable space. 

The proposal would add between 36,000 and 40,000 square feet of office space and a 6,000-square-foot rooftop restaurant at 1691 Michigan Avenue, a block north of Lincoln Road, facing 17th Street, according to an application to the Miami Beach Planning Board. The project is expected to cost $50 million. 

In 2024, Rivani paid $63 million for the six-story asset, which includes 119,000 square feet of office space and over 43,000 square feet of retail space. The building sits on a ground lease on land owned by the City of Miami Beach. 

Rivani already completed a $50 million renovation at the property last year. Playboy inked a 20,000-square-foot lease to move its headquarters from Los Angeles, and the H.wood Group, the hospitality group behind L.A. celebrity hot spot Delilah, is set to open a 2,000-square-foot Japanese-style cocktail lounge. 

The property is 80 percent leased, per the application. To make room for the addition, Rivani wants to reduce the amount of parking spots from 712, of which 100 are available to the public, down to 387. 

The Planning Board is scheduled to hear the application on May 5. A representative for Rivani did not immediately respond to a request for comment.

Rents for Miami Beach offices have risen since the pandemic as billionaires and wealthy executives seek bases near their homes. Miami Beach’s Class A rents average about $75 a square foot, according to data from Colliers. 

Other recent Class A office developments include Sumaida + Khurana and Bizzi + Bilgili’s The Fifth Miami Beach, which counts Google’s former billionaire CEO Eric Schmidt as an investor. Sumaida + Khurana have launched a second project, which has yet to break ground. 

Julia Echikson can be reached at jechikson@commercialobserver.com.