2,084-unit Sky Town begins vertical construction on first apartments in St. Pete
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Vertical construction has commenced on the first phase of apartments at Sky Town, a planned $800 million mixed-use development at 3201 34th Street South in the Skyway Marina District.
The 34.2-acre site, once home to the Ceridian office campus, is being redeveloped in six phases to include 2,084 apartments, 69,000 square feet of retail anchored by a 23,000-square-foot Sprouts Farmers Market, and 120,000 square feet of self-storage.
It is the largest project currently in development in St. Pete, based on acreage and number of units.
The Sprouts Farmers Market, now nearing completion, sits along the east side of the property and will serve as the gateway to the future redevelopment. A 4,500-square-foot retail outparcel fronting 34th Street South is also under construction.
The main Ceridian office building will be converted into a self-storage facility.
Meanwhile, Sky Town’s first phase of apartments, which consist of 401 units, has started to come out of the ground.
“We aren’t building luxury. We want the middle of the market,” landowner and developer Frank Guerra, founder and principal of Altis Cardinal, said in a conversation with St. Pete Rising.
The Coral Gables-based developer purchased the property in 2021 for $40 million.
“We started site work in June and just started to go vertical. The first set of units will come online by the second quarter of 2027,” Guerra said.
The site work for the first phase of apartments at sky town | st. pete rising
Out of the 401 apartments in the first phase, 121 will be designated as affordable.
Of those, 61 units will be reserved for households earning up to 120% of the area median income (AMI), currently $103,200 for a family of three, while the remaining 60 units will be set aside for those earning up to 80% of AMI, or $68,800 for a family of three.
In January, Pinellas County allocated $5.5 million of Penny for Pinellas funds for the first phase of construction. The City of St. Pete followed in April, approving a $4.5 million forgivable loan from the Housing Capital Improvement Fund.
The funding agreements require a 30-year affordability period on the 121 affordable housing units.
The other 280 units in the first phase will be rented at market rates.
site plan of sky town | city of st. petersburg documents
The apartments will include studios, one-, two-, and three-bedroom residences, ranging from 562 to 1,370 square feet, and residential amenities such as a rooftop lounge, pool, and ground-floor retail.
The development team will host a groundbreaking ceremony on October 15th, formally celebrating the start of the multifamily construction.
Jacksonville-based Summit Contracting Group is building the multifamily project, while Tarpon Springs-based Hawkins Construction is constructing the Sprouts and outparcel retail buildings.
The first phase of the project is scheduled to welcome residents in the second quarter of 2027.
The nine-story ceridian office building remains on the property and will be converted for future offices and amenity offerings | st. pete rising
