Allied Partners Plans 480-Foot Tower at Historic Savoy Hotel Site

• 38 stories and 480 feet: Allied Partners is proposing a major new tower at the historic Savoy Hotel site on Ocean Drive.
• 90 condos and 60 workforce rentals: The project would also include a 76-room hotel, bringing a significant residential and hospitality component to South of Fifth.
• Historic elements retained: The redevelopment would preserve the Savoy's original lobby and a portion of its Ocean Drive facade while replacing most of the existing low-rise property.

What Allied Partners Is Planning For The Savoy Site

Allied Partners is proposing a 38-story, approximately 480-foot mixed-use tower at 425 Ocean Drive in Miami Beach's South of Fifth neighborhood.

Designed by Arquitectonica, the project would replace most of the existing Savoy and Arlington hotel structures with a new development combining luxury condominiums, hotel rooms and workforce housing. Current reporting puts the residential program at 90 condos and 60 workforce rental units, alongside 76 hotel rooms.

The scale would be a dramatic change for a stretch of Ocean Drive known for its predominantly low-rise Art Deco and historic architecture.

What Will Happen To The Historic Savoy

The redevelopment is not a complete erasure of the existing property.

The Savoy Hotel dates to 1937, while the neighboring Arlington structure was built in 1941. Under the current proposal, the Arlington would be demolished, while portions of the Savoy would be incorporated into the new development.

The project's plans call for retaining the historic Savoy lobby and a portion of its Ocean Drive facade, allowing elements of the original building to remain part of the new street presence.

That approach creates a significant architectural contrast: a preserved piece of Miami Beach's historic fabric at the base of a tower nearly half a thousand feet tall.

What The Live Local Act Has To Do With It

The proposed height and density are tied to Florida's Live Local Act, which allows qualifying developments to receive significant zoning advantages when they meet specific affordable and workforce housing requirements.

The proposed Savoy project includes 60 workforce rental units, representing 40% of the 150 total residential units. Those units are part of the strategy that allows the project to pursue substantially greater height and density than traditional Miami Beach zoning would permit.

For South Florida developers, the project is another example of how the Live Local Act is changing the development equation for sites that previously faced much tighter local height restrictions.

What The New Tower Would Add

Beyond the residences and hotel, the project is expected to include a beach club, retail, pools and additional lifestyle amenities.

The combination is designed to create a mixed-use destination rather than simply a condominium tower. That is particularly relevant on Ocean Drive, where hospitality, tourism and residential uses compete for limited development sites.

The property is also directly across from the Atlantic and sits within the South of Fifth neighborhood, one of Miami Beach's most valuable residential submarkets.

What The Redevelopment Means For Ocean Drive

The proposal comes at a complicated moment for Miami Beach's historic core.

The Savoy has operated as a low-rise oceanfront hotel for decades, and its existing website describes the property as a historic Art Deco building dating to 1935.

At the same time, state laws have significantly changed how the city can regulate redevelopment and demolition of certain properties. Local officials and preservation advocates have raised concerns about the potential loss of historic structures, while state legislation has created new pathways for development.

For investors and developers, the Savoy site demonstrates the value of rare Ocean Drive land and the potential development upside created by new state-level housing legislation.

What The Project Means For South Of Fifth

If approved and built as proposed, the new Savoy would introduce one of the tallest buildings ever contemplated for this part of Miami Beach.

The project would also put luxury condos, workforce housing and hotel rooms on the same Ocean Drive site, creating a development model that combines market-rate residential demand with required workforce housing.

For Allied Partners, the challenge is balancing that scale with one of Miami Beach's most recognizable architectural streetscapes. For the broader market, the proposal shows how quickly development economics can change when scarce land, state housing policy and luxury demand converge.