Miami a Top City for Airbnb Investment
Ironically, while Miami is an ideal location for Airbnb investment property, Airbnb has not exactly encountered a welcome committee, particularly in Miami Beach, where the local hotel industry wields lots of power and influence. In fact, the city of Miami Beach and Airbnb had been in litigation for several years.
Property owners have been fined as much as $20,000 for listing their properties on short-term rental sites such as Airbnb.com, booking.com, and others. However, in late 2019, the courts ruled that the City’s fine is in conflict with state law and therefore unenforceable. Miami Beach appealed the ruling, and in October of 2020, an Appeals Court struck a compromise between the two sides — Miami Beach’s short-term rental law will be allowed to stand, but without the steep fines. Any fines levied must be in accordance with State laws. However, Airbnb rentals are allowed in Miami Beach, just in certain areas.
New Miami Condo Projects are Airbnb-Approved
Luckily, Miami is known for its brilliant and versatile development solutions. In fact, several new Airbnb-approved condo projects are currently under construction or in pre-sales, providing a Airbnb rental investment strategy for interested buyers looking to buy a piece of this market by purchasing one or more short-term rental investment properties.
Here is a list of Miami’s latest condo projects that are approved for short-term vacation rentals, where you can get a great deal by paying pre-construction prices.
E11even Hotel & Residences
E11even Hotel & Residences – Bringing Miami’s first-ever “24/11 residential entertainment” concept to Downtown is the developer team of PMG and E11even Partners, the people behind one of Miami’s most notorious nightclubs, E11even Miami. The sleek condo-hotel features architecture by Miami’s award-winning Sieger Suarez, and is planned to rise 65 stories, housing 400 luxury condos, with interiors curated by the New York-based AvroKo Hospitality Group. Owners will have the option to enroll in the condo-hotel’s short-term rental program.
Featuring an unparalleled lineup of statement amenities, including a 20,000-square-foot, multi-level E11even Day Club and Pool to a casino-style sports lounge, and wellness guru Deepak Chopra’s world-renowned spa experiences, E11even Hotel & Residences has seen incredible sales, and was 90% sold as of April.
Construction is expected to begin in late summer 2021. Units range from studios to one- and two-bedroom residences – all fully furnished. Prices for Studios start at $272,000, one-bedroom condos begin at $708,000, and two-bedroom residences start at $1,235,905.
Smart Brickell is Miami’s first totally Smart development, featuring three towers, and inspired in a smart living philosophy that integrates technology with contemporary design and versatile usage. Designed for young working professionals, condo units start at 538 square feet and prices start in the low $300,000’s.
Only two blocks from Brickell City Centre, Smart Brickell provides plenty of pedestrian-friendly access to Miami’s top dining and shopping options. Properties are approved for short-term rental, incorporating a new Airbnb platform designed to simplify the rental process for investors, and even include custom furniture. At the time of this post, the developer has announced that the first tower is sold out and the second tower is 80% sold. The project’s first tower is almost complete.
Yotelpad has taken investors by storm, with 100% of its 231 residential units sold, making it one of the fastest selling projects in Miami history (according to them). The 31-story project will also include 222 hotel rooms up to the 15th floor, and is set to open this year.
With easy access to Wynwood, the Downtown Arts District, and Brickell, Yotelpad is optimally located. Buyers will have no restrictions on rental of their units, including short-term rentals on a daily, weekly, and monthly basis, through sites such as Airbnb, booking.com, and others. Unit owners may also rent out their units, which range in size from 417 to 708 square feet, on a short-term basis through the building’s hotel rental program.
Based on the success of pre-construction sales of YotelPad, developer Aria Group has launched sales for a second condo tower called 501 First. Designed by Revuelta Architects and with interiors by Miami-based interior design firm Shim Projects, the tower will feature 448 condos ranging from studios to two bedrooms.
Like YotelPad, it will not have a parking garage. Aria plans to offer furnished units that will be allowed to be rented on a short-term basis. The project is expected to be completed in the beginning of 2023, and prices start in the $300,000s.