‘It is hallowed ground’: After Florida's Surfside condo collapse, a developer snatched up the land at a bargain price. Now it can't sell a single unit

Instead, the developer hasn’t yet sold a unit, construction has stalled and questions remain about whether building an ultra-luxury residence on the site of the deadly 2021 Champlain Towers South collapse was a mistake.

“Any development on this site will always carry a weight that goes beyond bricks and mortar,” Surfside Mayor Shlomo Danzinger told Moneywise. “It is hallowed ground for the families who lost loved ones and for our entire community.”

Joelle Oiknine, a Miami real estate agent who sold a listing in the Champlain Towers South right before the collapse, told Moneywise that she believes the developer overlooked the “profound historical significance” of the site.

“Nearly everyone (in the community) knows someone who was killed in the Champlain Towers collapse and we all participated in the aftermath through search, rescue and volunteering efforts,” she added, noting that a “thoughtful, beautiful “ memorial could have helped with “acknowledging the weight of this location and showing respect for the community.”

When a community’s desire to remember meets a developer’s desire to build

A spokesperson for the developer told Moneywise that “the court-mandated sale ordered that no memorial component be included on the property itself” in order to preserve its market value, and that the Delmore’s development team “has been an active, engaged, and good-faith participant in the memorial process since the moment the site was acquired” — including committing $1.5 million toward infrastructure for a memorial near the site.

That memorial, on 88th street, is also one that Mayor Danziner noted is a town priority, “so that our residents, family members and survivors have a permanent place to reflect and remember.”

Still, the scars within the community following the condo tower tragedy run deep.

The Champlain Towers South building collapsed in the early morning of June 24, 2021, killing 98 people. A National Institute of Standards and Technology report found the collapse likely began in the pool deck before progressing to the rest of the structure.

In 2022, the Dubai-based luxury real estate firm Damac International’s $120 million offer proved to be the only bid on the property, which it won for its $1.6 billion development.

The Delmore, which Damac announced last year, will boast 37 mansions over 12 floors, as well as a “flow-through canyon with sky views” and a “lush, oceanside meditation garden.”

But according to the Wall Street Journal, the inability to finalize plans for an on-site memorial to the Champlain Towers South victims — along with an attitude, as one former town representative put it, of “‘we’re here, we’re going to get what we want, we’re going to do what we want’” — drove a wedge between the developer and the community.

Damac’s spokesperson disagreed, telling Moneywise that a “record exists in writing” of correspondence and meetings over 18 months in which the company “engaged consistently and in good faith” and “proposed an easement that was declined.”

Danzinger added that Damac “reworked their designs to accommodate concerns raised by the families, demonstrating a genuine willingness to listen” and his belief that “they would remain open and amenable to continued dialogue.” The spokesperson agreed.

Construction on the development halted in February, though Damac’s rep said that it “continues to move forward” with the finalization of various requirements related to insurance, a master building permit and hiring a partner to manage operations and local sales and marketing. While nothing has been finalized, they say the project’s completion “remains on track for 2029.”

The larger challenge remains, however, that Damac hasn’t sold any units in the building more than a year after announcing the development.

Why no one is buying what Damac is selling

While it’s unclear if the past tragedy on the site has played any factor in the lack of Delmore units sold, Oiknine believes pricing has been a major obstacle.

Units were listed between roughly $15 million and $150 million — averaging around $40 million — while the average asking price for luxury condos in Surfside as of the second quarter of 2026 is just over $9 million.

“While an ultra-luxury price point is not unheard of in this market, those figures are typically reserved for beautiful condos and penthouses with expansive, panoramic views,” Oiknine said. “The entry-level units at The Delmore offered inferior views yet were still priced at a premium.”

Oiknine added her belief that Damac “did not have a strong grasp of this market” and may have been better off partnering with a local developer “who understood the community, the location’s significance and what buyers in this market are truly looking for, as they are now looking to do.”