$50 Million Expansion of The Rivani Heads to Miami Beach Voters

A major expansion planned for one of South Beach’s most prominent office properties is moving closer to reality, but Miami Beach voters will have the final say.

The Miami Beach City Commission voted 6-1 to advance amendments to the ground lease for The Rivani, a luxury office and retail building located at 1691 Michigan Avenue, just north of Lincoln Road. Because the building sits on city-owned land, the proposed lease changes must be approved by voters during a special referendum scheduled for November 3, 2026.

Developer Robert Rivani is proposing an approximately $50 million expansion that would transform portions of the property’s existing parking garage into new office, dining and recreational space.

The plans call for approximately 36,000 square feet of additional Class A office space, a roughly 6,000-square-foot rooftop restaurant and three rooftop padel courts. The project would remove the garage’s sixth level and eliminate approximately 250 parking spaces. However, the 100 spaces currently reserved for public use during business hours would remain available. Project filings indicate the property would still exceed its minimum parking requirement after the changes.

The proposed expansion is connected to a significant extension of the property’s ground lease. The current agreement expires in 2052 and includes two 20-year renewal options. The amendment would add two more 20-year extensions, potentially allowing the lease to continue through 2132.

In exchange for the longer lease term, the city would receive increased rental revenue and other financial benefits. Beginning in 2033, the annual base rent would increase by at least $500,000. Miami Beach’s share of the building’s gross revenue would also rise from 2.5% to 3%.

The agreement includes approximately $1.3 million in public-benefit contributions. Those funds would support projects and programs such as improvements and public art along Lincoln Road, the 17th Street master plan and several community initiatives. City documents estimate that the lease amendments could generate more than $13 million in additional revenue for Miami Beach over the agreement’s term.

Rivani acquired the building and its ground lease for approximately $62.5 million in 2024. The property contains about 119,000 square feet of office space and more than 43,000 square feet of retail. Rivani has already invested heavily in repositioning the building as a hospitality-inspired workplace destination featuring premium fitness, wellness, dining and concierge amenities.

The building has attracted several high-profile tenants, including Playboy, which leased approximately 20,000 square feet for its headquarters and plans to relocate employees from Los Angeles to Miami Beach.

The upcoming referendum places voters at the center of an important decision involving city-owned land, additional municipal revenue, reduced parking and continued commercial investment near Lincoln Road.

Whether voters approve the lease extension or reject it, the proposal demonstrates how Miami Beach’s commercial real estate market is evolving. Developers are increasingly focused on creating office environments that combine traditional workspaces with restaurants, wellness facilities, recreation and luxury hospitality-style services.

The November vote will ultimately determine whether The Rivani can move forward with its ambitious rooftop expansion and remain on the city-owned property well into the next century.