MIAMI—University of Miami President Donna Shalala had a candid conversation with Richard LeFrak, CEO of LeFrak Organization and one of the most prolific and iconic real estate developers of our day, during they keynote presentation at the UM Real Estate Impact 205 conference.

LeFrak is a family-owned property company committed to community development and long-term ownership. LeFrak affiliates own and manage a massive portfolio of real property concentrated in the New York and New Jersey metropolitan area, as well as South Florida, Los Angeles and throughout the West Coast. In fact, the company is one of the largest residential real estate owners in the nation.

The New York real estate industry titan is making a big push in Miami with his $350 million renovation of the 1 Hotel & Homes South Beach and massive redevelopment at Biscayne Landing, formerly known as Oaks at Biscayne Landing, the first phase of mixed-use master-planned community.

Boca Developers constructed the towers in the first phase of what was called Biscayne Landing. The company's lender went under in 2009 and the project went into bankruptcy right behind it. iStar stepped in with millions in property improvements and new amenities.  Under LeFrak's watch, the first project, two condo towers together known as One Fifty One Biscayne, sold out.

As LeFrak sees it, the scarcity of developable land combined with the fact that domestic and foreign buyers want to live in the region make South Florida strategic ground for investment.

“You have great cultural and great culinary, a great beach, a financial sector, and the second busiest airport in the country,” LeFrak told Shalala and conference attendance at the standing room only event. “You are a global city and your market here is the world.”

LeFrak is running ahead of the curve. He's betting his Biscayne Landing project will completely transform the entire region when completed. He also bet plenty to bring the 1 Hotel & Homes project to Miami Beach. LeFrak was involved in of the largest hotel transactions in recent years when partnered with iStar and Invesco to acquire The Perry South Beach—formerly known as the Gansevoort and rebranded as 1 Hotel & Homes—for $230 million in 2012.

With nearly 2 million square feet of improved space, 1 Hotel & Homes will reopen as a hotel and series of oceanfront condominiums under a new eco-luxury brand created by Barry Sternlicht, CEO of Starwood, and founder of Starwood Hotels. The concept is healthy lifestyle living centered around nature and sustainability, living well and living smart with no sacrifice.

The collaboration is spending in more than $100 million to transform the existing 1970s structure into a LEED certified, environmentally conscious structure featuring natural materials and finishes. The project will include 163 residential units and duplexes. The property is located next door to the W South Beach and two blocks from The Setai Hotel and Residences

“People will look back at this time as a transformational period for this city,” LeFrak said. From where LeFrak sits, he's expecting low interest rates will continue fueling commercial real estate development and acquisitions in South Florida.

After all, he said, commercial real estate is still delivering stronger returns on investment than traditional bank accounts in today's market. Latin American investors are faring well by purchasing Miami condos and renting them out for small but safe returns.

LeFrak sees developers branching out as land prices rise in downtown Miami and Brickell. LeFrak owns a site in the Design District, which is seeing plenty of interest from developers. Midtown and Biscayne Boulevard corridor are also turning heads.

“It has frontage on the bay, it's close to the beach, there's a major north-south road, and it's an area with empty land,” LeFrak said. “It's the next ring of development after downtown and the beach.”

Nevertheless, LeFrak warned to expect another down cycle. He said, “There will be some volatility in the market even if people are buying condos and putting 50 percent down … You don't jump in with both feet when everybody is giddy.”

With nearly 2 million square feet of improved space, 1 Hotel & Homes will reopen as a hotel and series of oceanfront condominiums under a new eco-luxury brand created by Barry Sternlicht, CEO of Starwood, and founder of Starwood Hotels. The concept is healthy lifestyle living centered around nature and sustainability, living well and living smart with no sacrifice.

The collaboration is spending in more than $100 million to transform the existing 1970s structure into a LEED certified, environmentally conscious structure featuring natural materials and finishes. The project will include 163 residential units and duplexes. The property is located next door to the W South Beach and two blocks from The Setai Hotel and Residences

“People will look back at this time as a transformational period for this city,” LeFrak said. From where LeFrak sits, he's expecting low interest rates will continue fueling commercial real estate development and acquisitions in South Florida.

After all, he said, commercial real estate is still delivering stronger returns on investment than traditional bank accounts in today's market. Latin American investors are faring well by purchasing Miami condos and renting them out for small but safe returns.

LeFrak sees developers branching out as land prices rise in downtown Miami and Brickell. LeFrak owns a site in the Design District, which is seeing plenty of interest from developers. Midtown and Biscayne Boulevard corridor are also turning heads.

“It has frontage on the bay, it's close to the beach, there's a major north-south road, and it's an area with empty land,” LeFrak said. “It's the next ring of development after downtown and the beach.”

Nevertheless, LeFrak warned to expect another down cycle. He said, “There will be some volatility in the market even if people are buying condos and putting 50 percent down … You don't jump in with both feet when everybody is giddy.”