Kasumigaseki Capital, a company based in Tokyo, purchased a development site at Miami Worldcenter for $88.8 million, according to records and real estate database Vizzda on March 23. The site, located at the southwest corner of Northeast 10th Street and Northeast Second Avenue in Miami, was previously intended for a branded condo-hotel tower.
The purchase includes seller financing of $45 million and equates to approximately $2,912 per square foot. The selling entity is connected to Art Falcone’s Boca Raton-based Falcone Group, which co-develops the Miami Worldcenter complex with Nitin Motwani and CIM Group from Los Angeles. However, an unnamed source familiar with the property said that an investment group led by Marc Roberts acquired interest in the entity about five years ago.
Roberts is known as co-founder of E11even Miami nightclub and has been involved in branded condo projects in downtown Miami. The previous owner’s proposal from earlier this year included plans for a 53-story tower featuring 351 condominiums, a hotel with 280 rooms, nearly 10,000 square feet of retail space, and almost 4,000 square feet of open space. Although it was set to be a branded project managed by Falcone Group as development manager for the ownership group, no brand had been announced.
It remains unclear whether Kasumigaseki will proceed with these plans or if there will be collaboration between the seller and buyer on future projects at this location. Construction costs remain high due to elevated interest rates and insurance premiums; however, labor and material costs have stabilized somewhat despite still being above average levels.
The market for branded condos in Miami appears saturated as several new projects have been announced recently—including PMG’s Delano-branded supertall downtown—and nationwide trends show that the U.S., particularly Miami, dominates global pipelines for such developments according to Knight Frank reports cited late last year.
Kasumigaseki Capital is led by CEO Koshiro Komoto and operates as both fund manager and real estate developer listed on the Tokyo stock exchange. While its portfolio spans health care facilities as well as logistics spaces across Asia and the Middle East—including recent expansions into Indonesia, Thailand,and United Arab Emirates—there are no other known investments by Kasumigaseki in the United States.
