Officials at the City of Miami Planning Department are planning to reduce the minimum residential unit size to 275 square feet from 400 square feet.
The Miami 21 zoning plan of 2009 currently limits the residential units to no less than 400 square feet. This resolution would create a new category –the micro-unit. This is being done keeping in mind the growing demographic of single-person households that prefer smaller spaces.
The city resolution cited a study by the Urban Land Institute, which said that micro-unit houses have stronger occupancy rates than typical apartments because residents are willing to sacrifice large living spaces for lower rent and proximity to public transit.
Small units with less than 600 square feet were the top performers in recently finished developments of 2014, they have noticeably higher occupancy of 91.3%, as compared to that of 89.6% for mid-sized units from 600 to 1000 square feet, and the 89.3% of large units of more than 1,000 square feet.
One of the major advantages of this resolution is that smaller units would allow developers to offer lower prices. For example, the average rent for a studio apartment in downtown Miami in the second quarter was $2.99 a square foot or $1,906 according to a study by Integra Realty Resources for the Miami Downtown Development Authority. On the other hand, a 275 square foot micro-unit would rent for $822, at the same rate.
However, it would require a creative design to fit bathrooms, kitchens, and other components of a typical home into a 275 square feet area. The city resolution requires that these micro-units include a bathroom and a kitchen, and not communal bathrooms like those found in some New York apartments.
It would also require one parking space per micro-unit although the parking requirements could be significantly reduced for those within 500 square feet of public transit. Any site zoned for 65 to 150 units per acre can have micro-units. For properties zoned for over 150 units an acre, micro-units would be allowed only in a transit-oriented development area.
The city commission unanimously voted on the commission on Thursday in favor of this resolution. Supported by several prominent developers in neighborhoods like Wynwood and downtown Miami, the legislation will allow them to build units using a smaller footprint.
Some developers are working on projects that will offer apartments in the 400 square foot range, such as Wynwood 25, will have 289 residential micro-units, under development by the Related Group and East End Capital.
Related is also partnering with Tony Cho’s Metro 1 to develop Wynwood 29, which would see the coming up of towers at the intersection of the Northwest First Avenue and 28th Street. One of the buildings, a 12-storey tower, is set to have 182 micro condos, whose sizes will vary from 416 square feet to 900 square feet. Other developers include Moishe Mana, Jeff Greene, and Property Markets Group.