Aimco Lands $228M for Luxury Miami Project
Two major investment firms are providing equity and construction financing for this waterfront tower.
Aimco has secured $228 million in financing for the development of Hamilton House, a luxury waterfront community in Miami. By partnering with the developer, Sixth Street provided $56 million in preferred equity, while affiliates of Apollo issued a senior construction loan of $172 million.
Initial plans called for a 60-story tower, a representative of Aimco told The Next Miami. However, following revisions, the building will rise 38 levels and comprise 114 luxury units averaging more than 2,500 square feet. Amenities are slated to feature 9- to 10-foot ceilings, private terraces and roughly 7,000 square feet of ground-floor retail space.
Bearing the address 560-640 NE 34th St., the project will be across the street from Aimco’s redevelopment of The Hamilton—which was featured in Multi-Housing News’ 2023 Excellence Awards for best value-add renovation. The community will take shape overlooking Biscayne Bay while downtown Miami will be roughly 3 miles away.
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As of June 2024, Aimco’s under-construction project pipeline included 1,039 units, with another 6,000 in the planning and permitting stages, according to the company’s latest investor presentation. The total costs for the underway developments rose to $648 million.
In Miami, the company is also planning One Edgewater, a 43-story, 204-unit community, adjacent to Hamilton House. Aimco expects to break ground on the project in 2026. Additionally, the same block contains a site zoned for a 1.5 million-square-foot development comprising three buildings with a maximum height of 41 stories. Aimco and Beitel own the land, however, the latter listed the 12-lot site with an asking price of $75 million in March.
Miami’s resilient multifamily pipeline
Greater Miami’s supply pipeline held more than 41,300 units under construction as of September, according to Yardi Matrix data. Developers had upward of 278,200 units in the planning and permitting stages.
During the first eight months of the year, construction began on north of 5,700 units throughout the metro—less than half of last year’s starts which clocked in at more than 12,200 apartments during the same period—the data provider shows.
A supply glut likely tempered further development as upward of 17,600 units debuted last year and another 14,700 came online in 2022, the same source shows. In 2024, Yardi Matrix expects Greater Miami’s inventory to expand by more than 14,200 apartments.
Despite developers delivering 4.1 percent of total inventory on a trailing 12-month basis as of August, Greater Miami’s advertised asking rents grew by 1.2 percent year-over-year, a Yardi Matrix report shows. Furthermore, the data provider’s advertised rental market forecast predicts a 2.4 percent increase by year’s end.
