Willing to bank on real estate in Wynwood? Investors may have their chance.
The Brickell-based development firm Rilea Group has launched a $20 million crowdfunding campaign through the Los Angeles-based investment firm RealtyMogul for the apartment rental project Mohawk at Wynwood, according to the firm’s president Diego Ojeda.
The 12-story Mohawk at Wynwood would deliver 225 units at 28-84 NE 29th St. and 59-79 NE 28th St. by 2025. The site includes the neighborhood hot spot Morgans restaurant, Art Miami headquarters, JanLife exotic car rental headquarters and Crossfit Wynwood.
Morgans will relocate in the neighborhood, according to Barclay Graebner, the restaurant’s owner. Representatives for Art Miami and JanLife declined to comment on relocation plans. Crossfit Wynwood did not immediately respond to comment.
The Rilea Group is expected to acquire the land from 29th Street Warehouse LLC in July for $22 million.
Sitting on 1.5 acres, the building would have retail and restaurant space on the ground floor. Amenities would include shared work spaces, a communal chef’s dining room and rooftop pool.
Investors are expected to put at least $35,000 into the project, Ojeda said by email. Rilea Group aims to raise $40 million in private capital, half of which will come from investors with RealtyMogul and others through individuals and families the development firm knows. The firm would return capital to their investors in about five years, after it undergoes the permitting, construction and the leasing process.
So far, RealtyMogul raised $10 million in April, Ojeda said.
“Some investors will unfortunately get left out if they don’t move fast,” he said. “Investors are coming from all over the country. Miami is on fire and they want a piece of it.”
Rilea Group has 40 years of developing projects in South Florida, including J.P. Morgan’s headquarters at 1450 Brickell and the condominiums The Bond at 1080 Brickell Ave. and One Broadway at 1451 S. Miami Ave. Mohawk at Wynwood will be its first project in the neighborhood.
“We are at the crossroads of Wynwood and Midtown. We are a straight shot to Miami Design District and all that our neighborhood has to offer,” Ojeda said. “We are one block away from the recently announced Trader Joe’s to the north and one block away from the 90% approved Wynwood Brightline train station, which is going to be a game changer for the area.”
Other development firms have turned to crowdfunding campaigns for its projects, including ArborCrowd for its Biscayne 112 in North Miami.