A $50 million affordable housing complex is coming to Naranja, and more is planned
An affordable housing community is in the works in South Miami-Dade’s Naranja neighborhood, catering to the growing need for lower-priced homes.
Madison Point has been under construction since early May, said JQ Group Chief Operating Officer Luis Riquezes. The Brickell development firm JQ Group partnered with the Miami lender Absolut Financial Resources to develop the 4.8-acre project on an empty lot at 26210 Parker Ave.
Four buildings, each four stories high, will deliver 263 rental units. Madison Point will have 14 retail and restaurant spaces, a barbecue area, computer lab, event space, gym, playground and pool.
Layouts will range from a one-bedroom, one-bathroom unit spanning 600 square feet for $750 per month, to a three-bedroom, two-bathroom unit covering 1,200 square feet for $1,050 per month. People who earn less than 60% of the area median income will qualify to live at Madison Point.
The Miami, Miami Beach and Kendall metro area has a median income of $61,000 for a family of four, according to 2021 data from HUD.
Developers are replacing agricultural fields in Naranja, named after the orange groves that once populated the area, with attainable and affordable housing projects. First-time home buyers often gravitate to the area and nearby Princeton and Homestead for their prices. Homestead had a median sales price of $300,000 during the first three quarters of 2020. New projects in Naranja include The Faith Group’s Paradise Gardens townhouse community.
“We believe the area has a big future in filling the needs of affordable housing for residents,” Riquezes said. “Naranja is one of the areas that has empty lots that are switching from agricultural use to residential or multifamily use and allow for high density area and have easy access to public transportation. It’s easy to keep [project] costs down and create housing for residents.”
The $50 million project is anticipated to open by fall 2022.
More is on the way, Riquezes said. JQ Group and Absolut Financial Resources are searching for other project sites in Naranja to partner on a second affordable housing project.
“We came across news about how the county fell short on these types of [affordable housing] units,” Riquezes said. “We are doing a small contribution to overcome that shortfall. We expect to continue doing more.”
South Florida faced a housing crisis long before the pandemic, with locals often competing and losing bids against Latin American buyers. The Tax Cuts and Jobs Act of 2017 drove many tax refugees to move to Miami, adding another layer of competition for housing. More relocated from the Northeast and West Coast during the pandemic, with employers allowing many to work remotely.
Wannabe local buyers often turn to rentals with rising prices and limited supply. Renters face similar challenges, including an increasing average asking rent. Miami’s average rent is $1,768 per month, according to RentCafé’s apartment rent report published in May.
Affordable housing can alleviate the burden associated with housing costs in South Florida, experts say. Seeing demand, developers are delivering more affordable housing and mixed-income projects across Miami, including in Brickell, Coconut Grove and Opa-locka.
Madison Point is the first affordable housing project for JQ Group and Absolut Financial Resources. Established in 2010, JQ Group has built a handful of high-rises, including the condominiums Brickell House in 2014 and Quint Collection in 2020.
This story was originally published June 3, 2021 at 7:00 AM.
