MIAMI—When only few developers were building market-rate rental buildings, Melo Group was laying down the foundation for the construction of 22 Skyview in Miami’s East Edgewater neighborhood. The 32-story contemporary rental project, located at 425 NE 22nd Street, has become one of the first new class A multifamily buildings to be completed in the greater Downtown Miami area in decades.
Now that Miami’s housing market is hot and the demand for multifamily rental units in the urban core is swelling, Melo is seeing the fruit of its labors. The firm has already rented out 80% of the building’s 280 units, many of which have unobstructed views of Biscayne Bay.
22 Skyview is located in the heart of East Edgewater, a residential area just north of Downtown Miami, and caters to the area’s young professionals who are looking for reasonably-priced multifamily rentals closer to their jobs. Other developers would like to tap into the rental market in the bustling neighborhood, but rising land values are pricing rental projects out of the of the East Edgewater market.
“The development of 22 Skyview wasn’t about timing the market,” says Carlos Melo, a principal of Melo. “It was about filling a void in the market at the right time. We always knew this area was underserved when it comes to class A apartments. People working in Brickell, Downtown Miami, and even in the Health district, want to rent close to where they work. Yet, until now, that was very challenging due to the lack of affordable, quality inventory.”
The demand for quality multifamily, especially for professionals working nearby, has generated leases at a speed rarely seen before in a rental building. Rental rates for 22 Skyview’s one-, two- and three-bedroom units range from approximately $1,500 to $2,800 a month.
22 Skyview is one of several residential projects Melo is building or has completed in the up-and-coming East Edgewater neighborhood, now at the center of Miami’s newest wave of real estate development. Bay House, a 165-unit luxury condominium project located at 600 NE 27th Street, will be the firm’s 10th project in the neighborhood since 2003.