E
lectra America and BH Group are poised to launch the first phase of their $1 billion mixed-use project in Cutler Bay after securing a $125 million predevelopment loan from New York-based Tyko Capital. The joint venture plans to transform the existing Southland Mall into a vibrant community with 4,395 apartments, a 150-room hotel, medical office space, retail outparcels, and an amphitheater.

    The development will involve a complete overhaul of the 105-acre site, including the demolition of a big box store. The first phase, approved by the town last year, will feature an eight-story project with 470 apartments, 14,000 square feet of retail, and a parking garage. Construction is expected to begin early next year.

    Electra America's parent company, American Landmark, led by CEO Joe Lubeck, confirmed the financing deal. The joint venture acquired Southland Mall for $100.3 million in 2022 and purchased a shuttered Sears store on the site for $34 million from Seritage Growth Properties.

    This project is part of a growing trend among developers to incorporate apartment components into regional indoor malls in South Florida. Doral-based Easton Group recently paid $17.1 million for a shuttered Sears store at Miami International Mall, planning to redevelop it into a mixed-use complex with 450-500 apartments. In Hialeah, Centennial and Codina Partners are building an 815-apartment project on the site of Westland Mall, which they acquired from Seritage for $16.5 million.