Tag Archive for: land rezoning

Former Kmart Could Be Redeveloped Into Apartments

redevelopment on a post it note_149519455_s

Multifamily giant Morgan Group could redevelop a former Kmart store in Lantana into an apartment complex.

The Town Council will consider the rezoning and site plan on the evening of July 11 for the 18.6-acre site at 1201 and 1301 S. Dixie Highway, plus 457 Greynolds Circle. It currently has a vacant 84,350-square-foot retail box that Kmart left in 2019, a 68,836-square-foot retail building anchored by Winn-Dixie and 11,765 square feet of retail for multiple tenants.

The property was acquired by Lantana SDC LLC, an affiliate of Miami-based Saglo Development Corp., for $10.2 million in 2017. However, the application states the Kmart parcel at 1201 S. Dixie Highway is under contract to Houston-based Morgan Group and is slated for redevelopment. The other two retail buildings would remain, as Winn-Dixie and some other tenants have long-term leases, according to the application.

The property was approved for “mixed use” zoning in 2019 with the potential for 279 apartments. But now that it’s clear only the Kmart parcel could be redeveloped, the property owner wants the zoning changed to permit 231 apartments on just that part of the land.

Lantana Village would have five buildings of four stories each, plus a clubhouse and a pool. There would be 442 surface parking spaces. The entrance would be from Greynolds Circle. The developer said the project would cost about $65 million to build.

With 157,413 square feet of leasable space, the units would range from 585 to 1,242 square feet. There would be 51 studio apartments, 105 one-bedroom apartments, and 74 two-bedroom apartments. In addition, the developer said it would perform renovations and façade improvements to the remaining shopping center.

“Placing a residential development within walking distance to commercial uses that conveniently serve the surrounding neighborhood, such as a grocery store, restaurants, retail, and personal services, creates a sense of community and will retain the ‘small town’ character that Lantana is known for,” the developer stated in the application.

Fort Lauderdale-based attorney Cushla Talbut, who represents the developer in the application, couldn’t be reached for comment. Miami-based MSA Architects designed the project.

While the retail market in South Florida has outperformed much of the nation, it can still be difficult to replace a big-box retailer like Kmart. Apartment rents are rising rapidly, so the land is likely worth more as multifamily than retail.

Click here to view a slideshow of the proposed Lantana Village Apartments project.

 

Source: SFBJ

Golf Courses Reborn As Warehouse Centers In E-Commerce Rush

Aerial photograph of forest and golf course with lake

The pandemic-driven surge in demand for e-commerce has attracted warehouse developers to an unlikely business prospect: turning old golf courses into distribution centers.

Since the mid-2000s, golf has been suffering from fewer players and more course closures. The pandemic has giving the sport a boost because it offers both outdoor entertainment and social distancing. But as other leisure activities resume, many expect the sport’s headwinds to pick up again.

That’s caught the attention of investors seeking to cash in on the warehouse boom. In New York, Tennessee, Pennsylvania and other states,warehouses are rising on parcels of land formerly occupied by golf courses. And among the tenants developers have drawn to these sites are Amazon and UPS.

Online shopping during the pandemic has made warehouses one of the hottest corners of commercial real estate. The industrial market had its strongest year on record in 2020, and big money managers like Blackstone, Cerberus and KKR have all snapped up logistics centers since last March.

“Finally our asset class is the most popular in the world,” says Jack Fraker, head of industrial investments for CBRE.

Still, converting a golf course to a warehouse is no chip shot. Developers often have to contend with the rezoning process and the ire of nearby residents who oppose the increased traffic and noise.

But it can be tough for local leaders to say no when Amazon offers millions in investment and hundreds of jobs. In May, Onondaga County in New York announced the e-commerce giant would build a $350 million, 3.8-million-square-foot distribution center on land formerly occupied by a golf course in the town of Clay.

“With golf you’re just limited to the income of the ongoing business concern,” says Keith Cubba, national director of Colliers’ Golf Course Advisory Services. “There’s going to be a much higher yield on 200 acres of residential or commercial.”

 

Source: Bloomberg