February, 10, 2008

The Orange Bowl, a visible symbol and vibrant part of Miami since 1937, will soon become part of its history. The city will begin demolition of the venerable stadium this month.

What will take its place remains to be seen. But both developers and the stadium's neighbors see the site as vital to an economic reformation of the Little Havana area. Some even see parallels to the renaissance in South Beach.

The plan on the table includes a $525 million, 37,000-seat retractable-roof baseball stadium for the Florida Marlins – part of downtown Miami's $2.9 billion mega-plan – but it hinges on a financing package awaiting a vote by the Miami-Dade commission.

The plan faces a stiff political challenge and at least one lawsuit that argues a public vote should be held before money is spent.

Many real estate professionals and developers in the area believe the baseball stadium will be approved, giving a definite boost to the area. Others are taking a wait-and-see attitude.

All agree the stadium decision – yes or no – will have a vast economic impact on the Orange Bowl's Little Havana neighborhood.

"I am confident the plan will pass," said Hank Klein, executive director of business development for Cushman & Wakefield of Florida. "The Orange Bowl, which is less than a mile and a half from downtown, is key to downtown's redevelopment. The city and county commissions have approved the deal in principle; now the funding needs to be approved."

If the funding is approved, change will follow. One model could be Baltimore's Camden Yards stadium, which has helped its neighborhood become a popular destination touting numerous restaurants, bars and retail shops.

"As a developer, I'd research other stadiums," said Kelly McCammon, managing director of Holly Real Estate Investments in Miami. "The same changes that happened in those cities should happen here over time. That's the best foreshadowing of what would occur once a stadium is built."

The Orange Bowl area isn't the only place in Miami-Dade to face redevelopment and a new identity. South Beach in the 1980s wasn't on anyone's radar, except perhaps as a repository for retirees. It took careful redevelopment and revitalization to turn the southern tip of Miami Beach into SoBe. Decades later, it remains vital, vibrant and a hugely popular destination.

Some professionals believe the Little Havana area has the potential to become another.

"If the stadium is built, we will see a lot of retail and entertainment development," noted Neisen Kasdin, an attorney and chair of the land use department at Akerman Serterfitt, a member of the Downtown Development Authority, and a former commissioner and mayor of Miami Beach. "It will positively affect urban revitalization. The area has a great urban grid, some great old houses and has the potential to become a very interesting neighborhood."

The Orange Bowl, located in the east Little Havana neighborhood, is surrounded by a residential area consisting of single-family homes, duplexes, small businesses, apartments and condominiums. Construction sites dot the neighborhood as new condominiums are developed. One of those developers is Eliu Dreszer, a partner with mFm
Construction.

"The area is very underdeveloped and has a lot of room to grow," said Dreszer, whose firm is developing Morrison, a 395-unit condominium project, a few blocks away. "A new stadium will have a major economic impact in the area and contribute to a lot more growth."

Since the area is so close to downtown, young professionals and others who don't want to spend Brickell Avenue prices for a condo are the target demographic for the area, according to Dreszer.

Other real estate pros aren't quite as optimistic. Anthony Rivas, owner of Rivas Realty of Florida in Little Havana, believes nothing will happen for at least another six months and believes the downturn in the housing market will affect the area for at least another year.

"The stadium could be good for everybody, but it will take time to see what will happen," Rivas explained. "Every so often the market goes down and then moves up again. We don't know when it will come back, but there is no question development will move in if the stadium plan goes through. If it doesn't, nothing much will change."

The stadium is but one component of the downtown Miami megadeal, which is an all-or-nothing proposition. Klein believes the whole package will benefit all of South Florida. More than 200,000 people work in the downtown area, from Omni to Brickell. Many of them will probably find time during baseball season to slip out of the office for a few hours to catch a game; others may use the stadium skyboxes to entertain clients.

The long-term impact of the megadeal has the capacity to dramatically change the city. McCammon believes Miami is going through a major expansion similar to New York City in the 1940s.

"We can't grow out, so we have to go up," he explained. "Little Havana will continue to be transformed because it is so close to downtown and the Brickell area. Additionally, its affordability makes it an attractive option. The stadium would give the area a nice centerpiece, enhance it and speed up the development."

Author: Beverly Bidney