Miami Beach Rejects 38-Story Southgate Towers Redevelopment
Planning officials denied the proposal for 910 West Avenue citing zoning conflicts with state housing legislation.
Updated on Oct. 30, 2026 in Commercial
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City officials in Miami Beach have rejected a redevelopment plan for the Southgate Towers complex, citing its incompatibility with local zoning codes. The proposed 38-story project was submitted under the state's Live Local Act but failed to meet the required criteria for mixed-use development.
Why it matters
The rejection highlights the ongoing tension between local land-use authority and state-level incentives designed to boost affordable housing. Because the site is currently zoned for residential use, officials ruled it ineligible for the density bonuses permitted under the Live Local Act.
The proposed redevelopment for 910 West Avenue included 264 condominiums and 178 workforce rental apartments. The existing complex consists of two 14-story buildings that were originally constructed during the late 1950s and early 1960s.
The players
Southgate Towers LLC
This is the entity that submitted the redevelopment application for the property at 910 West Avenue.
Blackstone Real Estate
This firm acquired Air Communities in 2024, taking ownership of the Southgate Towers property.
Air Communities
This company purchased the Southgate Towers complex and its nearby garage for $250.5 million in 2023.
The details
The application, submitted by Southgate Towers LLC on October 8, aimed to replace the current 495-unit complex with two 38-story towers. City planning officials determined that because the site lacks the necessary industrial, commercial, or mixed-use zoning, it does not qualify for the high-density development provisions outlined in the Live Local Act.
Timeline
The original construction of the Southgate Towers occurred in the late 1950s and early 1960s.
Air Communities purchased the property for $250.5 million in 2023.
The Live Local Act was initially approved in 2023.
Blackstone Real Estate acquired Air Communities in 2024.
Southgate Towers LLC filed the redevelopment application on October 8, 2026.
Culture Shift
The rejection of the Southgate Towers redevelopment marks a local attempt to constrain the scope of the Florida Live Local Act, which is a specific state statute. The city's decision to block the project highlights a direct legal clash over whether the state law can override local zoning classifications for residential-only sites.
Residents currently living in the 495 units at Southgate Towers will see no immediate changes to their housing status due to the denial of the redevelopment plan. The outcome limits the potential for new high-density workforce rentals to be added to the West Avenue area under current city zoning rules.
The takeaway
Property owners looking to utilize state density bonuses must ensure their site zoning aligns with the specific requirements of the Live Local Act. Developers who face administrative rejection still maintain the right to appeal these decisions through local city boards.
Further reading
For more information on the current state of local building projects, visit the Commercial section.
Source note: This article includes information reported by The Real Deal New York.
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