Related Group seeks to purchase the remaining Champlain buildings in Surfside – Commercial Observer
A heavyweight from the condo makes a play for the Champlain towers left standing in Surfside, Florida.
Associated group, one of Miami’s largest condominium developers, is looking to buy sister properties from Champlain Tours South, which collapsed in June and left 98 people dead, Miami Herald reported.
Champlain Towers South was part of a three-building condominium community built in the 1980s and 1990s. Champlain Tours East and North are located at 8855 and 8877 Collins Avenue, one block north of the collapse site. Together, the remaining buildings hold 222 units, according to property records.
Residents continued to live in both properties. But questions remain as to their safety, in particular that of the North building, given its structure and age similar to those of Champlain South. The East Tower was built in 1994, more than a decade after the other buildings, and with a different design. Although the source of the Champlain-Sud collapse is unclear, experts have pointed to the Champlain-Sud collapse poor quality design as a possible cause.
Miami-based Related Group, led by the father-son duo Jorge and JP Perez, seeks to buy out the owners of the two buildings in a process known as condominium termination, and then demolish them. Related will only terminate the North building if more than 95 percent of the owners agree to sell, according to the Miami Herald. It is not known if Related would apply the same rule to the East building.
Some residents have already declined Related’s offer, the Herald reported.
Representatives for Related did not respond to a request for comment.
Related’s move is part of a growing trend among developers. Since the collapse, Miami’s residential market has continued to soar as buyers shy away from decades-old buildings in favor of newer products. The developers are seizing the opportunity, seizing the decaying seaside properties to build new ones.
This is also not Related’s first termination agreement. The company is already in the process of buying a condo tower in Bal Harbor, built in 1956, for $ 130 million, according to The real deal.
The site of the collapse is likely to fall into the hands of developers as well. Based in Dubai Properties of Damac has offered $ 120 million for the land, which is expected to be sold at a final auction next spring.