MIAMI—Related Group, 13th Floor Investments, and Key International have teamed up to acquire a 2.4-acre waterfront site in a foreclosure auction. The real estate firms formed a joint venture to buy the site, which is right across the street from Related's Apogee Beach and Hyde Resort & Residences.

The JV plans to develop a mixed-use condo-hotel project on the lot at 4000 South Ocean Drive along the Intracoastal Waterway and across the street from the Atlantic Ocean. Construction is set to begin in the second half of 2015.

“As the condo market continues to expand northward, from Sunny Isles and Bal Harbour, we are seeing great appreciation in our Hallandale and Hollywood developments…,” says Carlos Rosso, president of Related's condominium division. As he sees it, Hallandale and Hollywood are “on track to become the place to be, on the sand north of Sunny Isles.”

“In today's competitive real estate market, creating partnerships with credible, like-minded firms is a great method for acquiring trophy assets and building world-class developments,” says 13th Floor Investments managing principal Arnaud Karsenti. The 4000 South Ocean Drive project is the first partnership among the firms. 13th Floor and Key have collaborated to develop 400 Sunny Isles in Sunny Isles Beach and 1010 Brickell in Downtown Miami, among other projects.

Beyond its waterfront location, the JV sees several benefits of the 4000 South Ocean Drive site. It's close to regional destinations like Downtown Hollywood, Aventura Mall, Bal Harbour and Miami Beach. Miami International and Fort Lauderdale-Hollywood International both serve the area.