Bay Harbor Islands, a two-island town in Biscayne Bay with fewer than 5,800 residents, seems like an unlikely setting for a development boom.

Yet residential developers are lining up to start projects on the 150-acre East Island close to Bal Harbour. At least 10 projects are in the town’s development pipeline. If completed, they would bring 200 to 300 new units to the island, which allows multifamily development, while the town’s West Island is restricted to single-family construction.