Miami 2024"In the upgrades we implement in various projects we integrate residential elements"
Miami 2024
"In the upgrades we implement in various projects we integrate residential elements"
Members of the real estate company G City gave a special tour to the guests of the Calcalist conference in the Brickell neighborhood, known as the "Manhattan of Miami", and told about the rapid growth of the area, about the rental housing project that the company is establishing there and the potential that still lies in it.
In recent years, and particularly since the outbreak of the pandemic, Florida has become a highly sought-after residential destination, significantly boosting the state’s real estate market—especially in Miami. G City, one of Israel’s leading real estate companies, has been active in Florida for nearly 30 years through its subsidiary Gazit Horizons, led by CEO Zvi Gordon.
During a special tour organized by G City for attendees of the Calcalist and Bank Leumi conference in Miami, representatives from G City and Gazit Horizons introduced guests to the vibrant local real estate market. They shared insights about current trends and why they anticipate significant further development in the area.
According to Gordon, "Gazit Horizons operates similarly to G City’s activities worldwide, including in Israel, Brazil, and Europe. We focus on central areas—urban centers with strong populations and substantial growth potential. We acquire and enhance various properties, including commercial and rental housing, through effective management and the expertise of our experienced team. In the U.S., we are primarily focused on the East Coast, with properties in New York, Boston, and Miami."
Gordon highlighted what makes Miami's real estate market unique: "It’s a market benefiting from strong immigration, population growth, and a robust business environment. We are seeing a trend of rising rents. The significant wave of positive immigration began during the pandemic, driving property values up. For example, our property in Brickell, often referred to as the ‘Manhattan of Miami,’ has seen a 50% rent increase in just four years. Rent here accounts for only about 25% of tenants’ income, indicating the financial stability of the population and the stability of rental prices."
Keren Kalifa, CEO of G City Israel and Deputy CEO of G City Global, discussed a project the conference guests toured—a rental residential project called Maizon, located in Brickell. "The area is known as the ‘Manhattan of Miami.’ Maizon is a luxury rental residence and one of our flagship projects in Miami. Another similar project opened about six months ago in Tampa. These are high-end residential buildings offering extensive services."
Kalifa also elaborated on G City’s activities in Israel and globally, including rental housing developments. "In Poland, we are also developing rental housing projects, with several currently under construction. Rental housing currently accounts for about 4% of G City’s portfolio. By 2028, we expect this to double and eventually grow to 17%. In Israel, we have projects under the government’s ‘Apartment for Rent’ program. Beyond that, in the upgrades we implement in various projects—including existing ones—we integrate residential elements. For instance, in Beit Cal in Givatayim, a 90,000 square meter project, 11,000 square meters will be dedicated to residential rentals. While retail remains our primary focus, the rental housing sector is expanding rapidly. Projects like Maizon in Brickell are unmatched in Israel, offering comprehensive services as part of the rent, and they are in high demand. We continue to see rental prices rise."
Kalifa also spoke about the activity in Israel, which also includes residential activity, and about the company's global activity. "In Poland we also have rental housing projects. We are in the construction stages of additional projects. Rental housing makes up about 4% of G City's portfolio. In 2028 this rate will double and later reach up to 17%. In Israel we have projects under the government program 'apartment for rent', but beyond that, in all the improvements we promote as part of various projects, including existing projects, we also incorporate an element of residence. For example, in Beit Cal in Givatayim, this is a 90 thousand square meter project, of which 11 thousand square meters will be residential for rent. We are a retail company in terms of our focus, but the field of residential rental is growing and growing with us. Projects like our project in Brickell cannot be seen in Israel. The rent includes all the services you get here, and these projects are in great demand. And we see the rent increase."
Brian Gaswirth, managing partner at JLL, which operates, among other things, in the field of property management and real estate around the world, told about the collaboration with Gazit Horizons: "Gazit Horizons is our client. We represent them in a long series of transactions of various types, including raising debt and capital, and selling the company's assets. We have a great relationship with them. We also work with them in Florida and Miami."
Brian Gaswirth, managing partner at JLL, which specializes in property management and global real estate, commented on JLL’s collaboration with Gazit Horizons: "Gazit Horizons is a valued client. We represent them in a wide range of transactions, including raising debt and capital and selling assets. Our relationship with them is excellent, and we also work together in Florida and Miami."
Gaswirth added, "From a real estate perspective, now is the time to invest in Florida’s market, which is my area of focus. Growth here is tremendous, driven by low taxes and significant immigration. Miami has undergone dramatic positive changes in recent years and still has significant room to grow. Looking ahead, I envision the market becoming even more dynamic and exciting than it is today."
