Revamping Miami’s Shopping Malls into Residential Spaces: A Solution to Housing Shortages

Miami’s housing inventory remains significantly below historical averages, leaving many residents struggling to find affordable living accommodations. However, a new trend is emerging in the real estate industry that may provide a solution to this housing crisis – repurposing shopping malls into mixed-use residential spaces.

According to a report by Norada Real Estate Investments, Miami’s housing inventory currently sits at around 37% below the region’s historical average. With the demand for housing on the rise, developers are looking for innovative ways to create more living space for residents.

One such solution involves transforming under-utilized shopping malls into vibrant mixed-use communities. In South Miami, Sunset Place, once a bustling mall, now sits empty and desolate. However, plans are in motion to redevelop the site into a mixed-use space that will include residential units, food and beverage offerings, and more.

Similarly, in Cutler Bay, Southland Mall is being redeveloped into Southplace City Center. The project will feature 4,000 residential units, retail and dining options, a hotel, medical offices, and an amphitheater. The project is expected to create thousands of jobs and provide much-needed housing options for residents in the area.

Realtor Bryan Gorrita, who has been following these developments closely, believes that repurposing shopping malls for residential use is the way of the future. With the rise of online shopping leading to the decline of traditional retail spaces, converting these malls into mixed-use developments makes sense.

Dr. Eli Beracha, Director of Hollo’s School of Real Estate at Florida International University, explains that while repurposing shopping malls for residential use can be challenging, the prime location of these sites makes them ideal for mixed-use developments. Incentives such as creating a ‘mini city’ or ‘destination’ within these sites aim to attract residents looking for a convenient and all-encompassing living experience.

While the cost of living in these new residential units may be high initially, initiatives like the Live Local Act aim to create more workforce and affordable housing options in these redeveloped spaces. As Miami continues to grow and develop, repurposing shopping malls into mixed-use communities may be the key to addressing the city’s housing needs.