A New Model for Workforce Housing in Miami Beach
Miami Beach is making headlines with the completion of a groundbreaking workforce housing development called Anamar at Collins Park. This innovative project, located near 23rd Street and Collins Avenue, marks a significant shift in how cities can address housing challenges through strategic partnerships. The building was officially inaugurated on May 22nd and is already being recognized as a model for sustainable and affordable housing solutions.
A Unique Approach to Affordable Living
Anamar at Collins Park is a seven-story complex featuring 80 units designed to meet the needs of a diverse group of residents. Five floors are dedicated to apartment units for individuals and families earning up to 120% of the Area Median Income (AMI). These units provide much-needed affordability in an area where housing costs have traditionally been high. In addition, one entire floor is reserved for residence hall units specifically for dancers and students of the Miami City Ballet, a world-renowned institution that plays a vital role in the city’s cultural landscape.
This project stands out from traditional housing developments because it is owned and operated by a 501(c)(3) nonprofit organization. Unlike many private developments that control public land for extended periods and retain most of the rental income, this model ensures that all surplus revenue generated by the building is passed on to the City of Miami Beach. Once the initial debt is repaid, the city will become the sole owner of the building, securing long-term benefits for the community.
Long-Term Financial Benefits for the City
The financial impact of the Anamar project is expected to be substantial. Over the next 50 years, the project is projected to generate over $100 million in revenue for the City of Miami Beach. In the early years, this revenue will help reimburse the city’s initial capital investment in the project. After that, the funds will be used to subsidize the Miami City Ballet’s rent, further supporting the arts and culture sector in the community.
This model represents a first-of-its-kind approach in the United States. It is believed to be the nation’s first privately-financed workforce housing project built on public land where the municipal government retains full control over the land, the building, and the cash flow. This structure ensures that the public continues to benefit from the project long after construction is complete.
Addressing the Housing Crisis Through Innovation
As one of the leading firms in workforce and student housing development, Servitas has been at the forefront of creating innovative housing solutions across the country. Cities in all 50 states are actively seeking ways to utilize public land more effectively while ensuring that housing remains affordable and accessible. The partnership between Servitas and Miami Beach exemplifies how such models can work successfully.
In areas where the cost of construction is high and the supply of new rental units is limited, projects like Anamar offer a viable solution. The Anamar project is one of only two large apartment rental developments built in South Beach since 2010 and the only new multifamily project offering attainable rents. The rental rates at Anamar are comparable to those in nearby buildings that are 50 to 90 years old, making it a more attractive option for the city’s workforce and younger residents.
Servitas is also exploring additional move-in specials to encourage potential tenants to take advantage of the affordable housing options available at the Anamar.
A Leadership Example for Other Cities
Miami Beach is emerging as a leader in leveraging public-private partnerships to create housing solutions that the private market has struggled to deliver. The success of the Anamar project highlights the potential for similar models to be replicated in other cities facing similar housing challenges.
Servitas is proud to have played a key role in this initiative and looks forward to continuing its work through innovative partnerships that prioritize community benefit and long-term sustainability. The Anamar at Collins Park serves as a powerful example of what can be achieved when cities and developers collaborate to address pressing social and economic issues.
