560 Michigan Ave

This money making property includes two renovated building in Miami Beach, offering a furnished one and two bedrooms apartments, licensed for short term rentals. The remodeled nine units offer fully equipped kitchens and bathrooms. Each unit is individually equipped with central AC unit. This property is located in a double corner lot at 6th Street and Michigan Avenue. It is strategically located close to 5th Street Mall (Publix Supermarket, Target, Ross, TJ Max and Best Buy to name national retail tenants) and the new Five Park Residential Tower. The property offer faced private parking, laundry room, office. The zoning is CPS2 commercial - residential mix used - FAR 2, which allow further development up to 20,000 Sq/Ft. The beach of Ocean Drive is only 10 minutes walking2 lots.
10,000 sf land
5,524 sf building
9 residential units, fully furnished, licensed for short-term rental Zoning CPS 2 general mixed-use commercial, maximum FAR of 2.0 Maximum building height 75’
Permitted uses include residential, lodging and general commercial
Current use / income
The entire property is currently leased to a company operatng the property as short-term rental units. Current lease term expires August 31st, 2026.
Tenant option to renew by one additional 3-year term.
Owner may terminate lease at any time with 90 days’ no7ce against a $60,000 termination fee in case of a sale of property and a $100,000 fee for any other reason.
The amount of rent is fixed, not subject to performance of the short-term rental operation. 3% annual rent escalation.
Current annual NOI approximately $222,000.
Potential use income
Terminate or ride out current lease and operate short-term rental business under own management. Based on current operators’ income / expense figures this will likely result in annual net revenue of approximately $320,000 after property tax, property insurance and all operating expenses.
Potential development
Significantly increase sellable / rentable space up to 20,000 sf by adding new construction space to existing buildings. Current revenue can remain in place during planning and permitting process.