While advancing a large-scale merger with Equity Residential, AvalonBay Communities' executive team continues to bolster its pipeline of large apartment development projects.

According to a press release from Cushman & Wakefield provided to Multifamily Dive, the Arlington, Virginia-based real estate investment trust (REIT) acquired a roughly 1.18-acre full-block development site in downtown South Miami through an off-market transaction from long-time holder Robins Plaza LLC, with a base purchase price of $22 million.

With the site in hand, AVB plans to launch its second project in South Miami—Avalon South Miami II. According to the press release, the project is a 16-story mixed-use community featuring 251 apartments (ranging from studios to three-bedrooms), approximately 17,713 square feet of ground-floor retail space, a six-level pool, a rooftop lounge, and 394 parking spaces.

Cushman & Wakefield stated that the site's price of approximately $90,000 per unit sets a new record for development land in South Miami. The site boasts 300 feet of frontage along U.S. Highway 1 and offers convenient access to the South Miami Metrorail station, the University of Miami, and Sunset Place shopping center.

"This is one of the last true full-block development opportunities in downtown South Miami, and its transit-oriented, walkable location is exactly what institutional capital is seeking today," said Virgilio Fernandez, managing director at Cushman & Wakefield, who represented AVB, in the press release.

A historic corner building at 5900-5904 Sunset Drive is not included in the transaction and will be retained and renovated by the seller to serve as the new home for Deli Lane Café & Sunset Tavern.

The South Miami II project follows the Avalon South Miami project. According to AVB's earnings reports, the latter broke ground in the third quarter of 2023, includes 290 residences, and has a total cost of $186 million, with an average monthly rent per unit of $4,535 at that time.

During AVB's first-quarter earnings call in April, Chief Investment Officer Matthew Birenbaum said that the Avalon South Miami project, along with a project in New Jersey, contributed the majority of the REIT's development net operating income.

"South Florida has ample supply, but locations like South Miami are different—the community sits above a brand-new Fresh Market supermarket on the south/east side of U.S. Highway 1," Birenbaum said. "All competing projects are in other neighborhoods that don't offer the same walkability and school district advantages."

During the fourth-quarter 2025 earnings call, AVB executives said Southeast Florida was the strongest performing region among its expansion markets, with revenue growth of approximately 1.5%.