SKN | Construction Tops Out on 142-Unit Affordable Senior Housing Project in South Miami Heights

Construction has reached the topping-out stage at Caribbean Isles, an eight-story affordable senior housing development in South Miami Heights that will add 142 income-restricted apartments to South Florida’s housing supply.

The $68 million project is being developed by Pinnacle and South Miami Heights Community Development Corporation on county-owned land at 19755 SW 110th Court in Miami-Dade County. Designed by Behar Font & Partners, the development is being built by PC Building, Pinnacle’s in-house construction division.

Affordable Housing for Seniors

Caribbean Isles is designed for residents ages 62 and older, with all 142 apartments reserved for households earning up to 60% of the Area Median Income.

The project will include 90 one-bedroom apartments and 52 two-bedroom units, providing additional housing options for seniors facing South Florida’s increasingly high housing costs.

“Affordable senior housing is one of the most pressing challenges facing South Florida today,” said David O. Deutch, co-founder and president of Pinnacle. He said the project is intended to allow seniors to remain in the communities where they have established their lives while providing safer and more affordable housing.

The development is located near Caribbean Boulevard and U.S. 1, adjacent to Miami-Dade County’s South Dade Bus Rapid Transit Corridor. The location is intended to give residents convenient access to public transportation along the U.S. 1 corridor.

Second Phase of a Larger Community

Caribbean Isles represents the second phase of an affordable senior housing development in South Miami Heights.

The first phase, Caribbean Village, delivered 123 affordable senior apartments in 2019. Caribbean Isles will add another 142 residences on an adjacent site, expanding the broader community to 265 affordable senior housing units.

The transit-oriented design also incorporates parking and transportation infrastructure. A 256-space parking garage was completed earlier this year, with 150 spaces designated for transit riders and 106 spaces reserved for residents.

Planned amenities at Caribbean Isles include a community room, fitness center, computer lab and covered outdoor gathering areas.

Complex Financing Structure

The project is being financed through a combination of public funding, private lending and tax credit equity.

The financing includes a $34 million construction loan and $27.6 million in tax credit equity from Bank of America, a $27 million conventional first mortgage from Chase Bank and $10 million from Miami-Dade County through Community Development Block Grant and Surtax funding.

These financing components are part of the project’s overall capital structure and should not be added together as a direct representation of the $68 million development cost.

The financing model reflects the range of public and private resources often required to make income-restricted housing projects financially viable in high-cost markets such as South Florida.

South Florida’s Affordable Housing Challenge

The completion of the structural phase comes as South Florida continues to face significant pressure on affordable housing availability, particularly for older residents living on fixed or limited incomes.

Projects such as Caribbean Isles are increasingly being developed around transportation corridors, allowing affordable housing to be combined with access to employment, services, shopping and public transportation.

The project’s proximity to the South Dade Bus Rapid Transit Corridor is therefore an important component of its design. For senior residents, access to public transportation can reduce reliance on private vehicles while improving access to essential services.

A Growing Development Pipeline

Caribbean Isles also illustrates how partnerships between developers, local government, financial institutions and community organizations can expand affordable housing supply on publicly controlled land.

With construction now topped out, the project has moved closer to delivering its 142 apartments to South Miami Heights seniors. Once completed, it will build on the earlier Caribbean Village development and create a larger affordable senior housing community along the U.S. 1 corridor.

As South Florida continues to experience high housing costs, the delivery of income-restricted projects such as Caribbean Isles could become increasingly important to preserving housing options for longtime residents and seniors who may otherwise face pressure to leave the communities where they have lived for years.