The luxury of LifeTime’s apartments might just be the new norm for Coral Gables. Swanky apartment complexes seem to be popping up across the city — fantastic news for the well off. But renting rates have never been higher and these new developments don’t help. Miami’s housing crisis has hit Coral Gables hard, and affordable housing is in a great shortage. Local residents are forced to leave their homes and UM students are trapped between steep-off campus prices and limited on-campus options.
If you were to browse through a typical UM student’s social media feed, expect photos of luxurious penthouses in Brickell, massive beach mansions in Miami Beach, and contemporary apartments from Coconut Grove to Merrick Park. To the average lurker, this is an Instagram-worthy paradise! But let’s be real … living in these properties can be insanely expensive.
Despite the University of Miami having a beautiful urban campus, most students can’t afford UM’s high-rate housing. Now, Miami housing is more expensive than ever, including Coral Gables. How are people, especially students, supposed to survive Miami’s biggest housing crisis yet?
Miami has consistently been an expensive place to lease an apartment, especially as a global hotspot. In October 2018, Miami’s median rent was $2,095 according to a report by Florida International University. This was the eighth-highest in the nation, not much less than New York. Since May 2021, average rents have risen about 50 percent, according to a Realtor.com report.
Stacker, a media company, compiled 50 of the most expensive zip codes in Florida from Zillow. Coral Gables is within the top 10, having a staggering home value of more than $1 million—272.4 percent above the typical home value in Florida.
Miami-Dade County declared its housing crisis a public emergency in late March 2022. Funding was set aside to secure housing for lower-income populations in the area; but, the solution only put a band-aid on it.
Though Miami’s housing rates hasn’t surpassed other metropolitan areas like Seattle, New York and Los Angeles, the median income is lower. Miami’s residents can’t afford the steep rates as well because of comparatively lower salaries, especially in lower-income communities. FIU’s Housing Report detailed that Miami’s situation was dire due to the difference. Majority of Miami’s workforce are in retail, food, and other ‘low-skill’ industries. This is the population that is struggling.
Additionally, Florida has become the great escape for those experiencing strict COVID-19 guidelines and high property. These out-of-state residents typically retain their high-paying careers and are able to afford rent, increasing Miami’s demand for expensive housing, pushing longtime residents out.
Coral Gables is experiencing the same shortage of lower-income housing. Recently, MG Developers announced a new project in which it has acquired an entire city
block northeast of UM’s campus. What was originally 13 small apartment buildings and 52 units will transform into a $50 million luxury townhome and condo development with 48 units. It’s called Gables Village. The project is inspired after George Merrick’s vision of Coral Gables, according to Diego Torrealba, Real Estate Development associate for MG Developers.
“Gables Village will embellish the city as it will offer four Glorietas inspired by the Glorietas of Seville, that will promote artful living to the neighborhood and residents,” said Torrealba. “In addition, the intention of the project is to support inspired living through bespoke spaces accomplished through a thoughtful architecture and design that incorporates a range of unit types.”
Gables Village is truly an aesthetic masterpiece. However, it deprives the working class of some of the only affordable Coral Gables. Elizabeth Peñas, a senior at FIU, lived in one of these units and was asked to leave along with other residents by July 1.
“We found out back in March [that we had to move out]… in the beginning it was sad because we decorated this place, we painted the walls, did murals on the walls, and we were expecting to at least stay there for a year,” said Peñas. “Our neighbors were cool. We were just so used to the place. It was home.”
Peñas was paying $700 to share a one- bedroom with her friend, totaling $1,400 for the unit. Many residents in Peñas’ building lived there for over two decades, claiming their rent had not been raised since they moved in. Looking for affordable housing in Coral Gables and the Greater Miami area can be quite the headache, especially since most of the current housing are new developments. According to the FIU housing report, workforce-based housing isn’t being produced despite being in such high demand.
This is a disgusting reality for many UM students, whom, on top of paying for a hefty price for an education, are struggling to find a place to rest their heads. Jamie Karen, UM senior and resident at the THesis Hotel across from campus, experienced a massive rent increase. Living in a one-bedroom apartment, her rent was $2,900 last year. This year, rent jumped to $3,900, a whopping 34.5% increase.
“The price went up a ridiculous amount, so much that my parents asked me if I wanted to move out because it was so expensive. Luckily, I was fortunate enough to be able to say no,” said Karen.
Menendez also emphasized UM’s commitment to keeping on campus housing affordable, despite the high demand and limited supply. Additionally, there will soon be a full-time staff member dedicated to helping students with off-campus housing.
Luckily, the mass increase in housing prices across the county are steadily flattening. But residents are stuck with the aftermath for the time being. Coral Gables remains a majority-luxurious city, especially with projects similar to those of MG Developers. For students, this means paying up, sharing living space, or moving far from campus. Homestead is another nearby option, and has more affordable prices than apartments on campus, but it also means a longer commute. No matter what, housing is never easy.
“It was a crazy increase. I don’t understand how students are supposed to be paying for that since a lot of people pay for their own rent,” said Karen.
Miami’s housing crisis can be daunting for students and native residents. Next time you’re walking through the UM neighborhood, keep an eye out for the new, beautiful Spanish architecture — it’ll be eye-catching. Just don’t get too excited – it’ll be hard to swing on a student’s budget.