The Avenue mixed-use development breaks ground in downtown Naples 

Years in the making to get to its groundbreaking moment Jan. 22, The Avenue mixed-use development still has about two years of construction before completion at the gateway of Naples. Just east of Four Corners along Fifth Avenue South, the luxury development broke ground on property that included the iconic St. George and the Dragon restaurant that operated there for more than 40 years. 

The 4.3-acre project from developer Andy Penev of APREA will span nearly two blocks between the Naples Depot and Tin City historic landmarks. “We’re committed to building something Naples will be proud of for decades to come,” Penev said. 

The Avenue is designed to be a vibrant walkable connection in Naples. “We’re not just adding buildings,” Penev said. “We’re adding fabric to the city. We’re respecting Naples and we’re moving that standard forward.” 

The Avenue will feature 50 luxury residences above more than 75,000 square feet of curated retail, dining and wellness tenants in three-story buildings on either side of 10th Street South. Sales and marketing are being led by Christine Lutz of the Dawn McKenna Group, and DeAngelis Diamond is the project’s general contractor. 

“They’re the right partners to deliver this project at the highest level,” Penev said. 

The groundbreaking came nearly a year behind schedule and after company and concept changes. Initially planned to include a Whole Foods Market and Restorative Hardware stores, the project was revised and redesigned through compromise with the city of Naples. 

“It’s meaningful to stand here together today and mark a development that’s a long time in the making,” Penev said during a groundbreaking ceremony attended by development partners, media representatives and even future tenants of The Avenue. “Today isn’t just a groundbreaking; it’s a commitment — a commitment to Fifth Avenue; it’s a commitment to downtown Naples, and it’s a commitment to building something worthy of this community.” 

Penev recognized the people who were part of the process in getting the project off the ground. He thanked the city of Naples officials and staff for “protecting what makes this city special.” 

“They keep development to a high standard,” he said. “We respect that and we appreciate that and we appreciate the partnership.” 

Penev also showed appreciation for the Fifth Avenue South community. “Great places don’t happen by accident,” he said. “They happen through care and scrutiny and collaboration, and we don’t take your trust for granted.” 

Penev also thanked The Avenue’s planners, engineers and design team, including MHK Architecture for designing a beautiful project that’s timeless and authentic. “It’s a statement,” he said. 

Ironically, MHK’s founding office used to be on the property set for The Avenue. Owner Matthew Kragh relocated his Naples-based architectural firm years ago when it was clear that the acreage would be redeveloped. His former office was demolished last year on the future footprint of The Avenue with a couple of other buildings that once were home to Florida Gulf Coast University Renaissance Academy and a former bank and real estate office. 

“My corner office overlooked this site for years,” Kragh said. “I would say, in my personal opinion, this is my most anticipated job to come to fruition. So, I’m so excited about that. The quality is going to be amazing.” 

The two- to four-bedroom residences on the second and third floors of The Avenue are priced from $3 million to $8 million. Each building in the 900 and 1000 blocks of Fifth Avenue South will feature distinctive amenities, including swimming pools, state-of-the-art fitness centers and five-star, hotel-level concierge services. 

“Our new development is popping off. This project is shooting Naples out of a cannon,” said luxury real estate professional Dawn McKenna, who called the world-class project transformative. 

Lutz of the Dawn McKenna Group said the condominium sales have been outstanding. 

“In the last 30 days, we had the best velocity of sales that we have seen since we launched that project almost a year ago,” McKenna said, adding that one of her sales representatives had $30 million in sales in the last month.   

A public highlight of the project will be Oak Row, the name of the city alley that will bisect The Avenue block between Fifth and Sixth Avenue South. The walkable Oak Row will allow light vehicular traffic and be activated by outdoor dining, coffee shops and boutique retailers. 

High-end retailers and restaurants will anchor spaces on the first floor of the entire development. Exquisite Timepieces, an authorized dealer for the world's finest luxury watch brands, is the only business announced so far as coming to The Avenue. ThreeSixteen Cafe, the new Naples-area coffee shop and bakery that catered the groundbreaking event, also will have a spot in the local development.