Page Aiken Randall Moody
Welcome!
About the cover….
Thank you for taking a few minutes to read our Sea Island Market Report. Randall and I hope you find it informative and that you will consider our team the next time you sell or buy real estate on Sea Island.
Cottage 481, a Tuscan style brick home located on a large marsh front lot on 40th Street (with dock) and remodeled in 2008. Offered by DeLoach Sotheby’s International Realty.
DeLoach Sotheby’s International Realty is the world’s leading Luxury Real Estate firm. Through our over 800 worldwide offices in Atlanta, Miami, New York and beyond, Randall and I have the ability to market your Sea Island home to the world. As a Sotheby’s team, we have made great headway in 2015 and look forward to 2016. We are committed to bringing you market information that will enable you as the decision maker to make informed decisions. Happy reading!
W. Page Aiken
Executive Summary: Sea Island homes sales are off 10% relative to preceding year’s figures.
Randall Moody
Inflated pricing strategies and long days on market (DOM) are leading some Sea Island cottage owners to sell at prices below market. Sales are averaging 84% of list price. Cottages that are newly renovated and/or closer to the Beach and Hotel continue to achieve higher values. Achieving value through positioning (and/or renovation), a well-planned pricing strategy and a well-executed marketing plan is critical to maximizing value
Page Aiken Randall Moody
SEA ISLAND REAL ESTATE Cottage Report We know Sea Island and what drives real estate values is linked to the people who have loved coming here for generations. Sea Island vacationers and home owners come from all over the United States and the world to enjoy the 5 Diamond amenities of the Cloister Hotel. Demand An analysis of Sea Island homeowners shows that nearly 25% (over 220) of all Sea Island homeowners live in Atlanta when they are not vacationing on Sea Island. Families from towns throughout Georgia including: Macon (25), Augusta (11), Columbus (6), Gainesville (6), Rome (4), Sandersville (4), Thomasville (4), Dublin (3), Newnan (2), and Savannah (3) among others have homes on Sea Island. Outside of Georgia, families come from NY (36), NC (34), TN (26), TX (24), IL (23), CT (22), VA (22), OH (20), FL (19) and over 28 other states and countries.
Beach Club Amenities Supply There are approximately 560 Sea Island Cottages and 110 Ocean Forest Cottages and over 200 Townhomes, Villas and Suites on Sea Island. Every Sea Island Cottage is unique. To better understand sales trends, we categorize each property by its View. There are three basic types of views – Ocean Front, Marsh/Lake Front and Garden View. Additionally, we break Sea Island into three Areas based on proximity to the Beach Club and the Cloister Hotel: 4th to 18th Street, 19th to 36th Street and 37th to 56th Street.
View South along Sea Island Beach
Page Aiken Randall Moody
Market Data The following chart illustrates key market data for Available and Sold Cottages grouped by View and Area on Sea Island:
Note: The data reflects currently listed cottages for sale and all cottages sold over the last 12 months. Teardowns and transactions that were not arms length were not included. DeLoach Sotheby’s provides a comprehensive valuation analysis for every cottage we represent.
Page Aiken Randall Moody
Ocean Front Today, there are 7 ocean front cottages available for sale ranging from a 6,065 SF (Cottage 6) on 35th Street at $5,950,000 ($981/SF) to a 9,000 SF (Cottage 32) on 22nd street at $8,950,000 ($994/SF). Historically, Ocean Front has commanded a significant premium selling for between $900 and $1,200 per SF.
Cottage 75 on 18th Street is available for $15,750,000; this oceanfront home is on 3.1 acres and is ideal for redevelopment. Cottage 32, a Mediterranean and Moroccan style oceanfront home is 9,000 SF, 7 BR, 8.5 BA located on the ocean at 22nd Street offered for sale by DeLoach Sotheby’s International Realty at $8,950,000 ($994/SF). See below.
Ocean lots are three to five million per acre on average. Cottages on larger ocean front lots are being assembled for redevelopment.
Cottage 32
Page Aiken Randall Moody
Marsh Front There are currently 21 marsh front cottages available for sale. There have been 9 marsh front cottages sold since 2012 and 4 sold in the last 12 months representing a 5 year supply of marsh front homes for sale. Marsh Front cottages have sold on average for $500 per SF to $650 per SF. Newer renovated cottages bring the most value and cottages with Deep Water access (Docks with a minimum of 6’ water at low tide) are in demand. Renovated in 2008, Cottage 481 (on the cover) is a 4BR, 4.5 BA (4,775 SF) Tuscan Style brick home that offers elegant Sea Island living with exquisite marsh views and a dock. Offered by DeLoach Sotheby’s
Cottage 481 interior
International Realty at $3,495,000 ($839/SF).
Marsh Views into the setting western sun are spectacular at Cottage 481.
Page Aiken Randall Moody
Interior - Garden View There are 51 Garden View cottages currently listed for sale from $1.2 million and up.
value. Consequently, location is an important factor when considering pricing strategy.
The 10 cottages available for sale between 4th Street and 18th street have an average asking price of $604 per SF.
There have been 58 Garden View cottages sold since 2012 and 19 Garden View cottages sold in the last 12 months this represents approximately 3 years of current supply.
The 31 cottages available for sale between 19th street and 36th street have an average asking price of $492 per SF. The 8 cottages available for sale between 36th and 56th street have an average asking price of $409 per SF. There is a correlation between proximity to the Hotel and Beach Club amenities and
Garden View homes located one off the ocean offer ocean breezes and close proximity to the beach. Cottage 95 (below) is located at 20th street one off the ocean and is offered for sale by DeLoach Sotheby’s International Realty at 1.9 million ($493/SF).
Cottage 95 is one lot off the beach at 20th Street. Offered by DeLoach Sotheby’s International Realty.
Page Aiken Randall Moody
Supply and Pricing Trends Supply has increased in 2015 and is at an all-time high and the number of sales is down approximately 10% over the last 12 months. This is in contrast to St. Simons and the surrounding markets where an increase in the number of sales has brought housing inventories to all time lows.
There are currently 36 cottages that have been on the market for 400 days or longer with 16 being on the market for over 800 days or longer. The high number of Days on Market (DOM) is an indicator that many of Sea Island’s homes are overpriced.
We anticipate that pricing will continue to adjust downward into 2016 for marsh and garden cottages that need renovation and/or are located north island. A limited supply of newly renovated cottages will bring a premium in all locations.
Sea Island, St. Simons and surrounding areas... Working as a team and utilizing the extensive marketing resources of Sotheby's International and its offices throughout the US, Europe, Middle East and Asia, Page Aiken and Randall Moody
Page Aiken Randall Moody
leverage experience and resources to provide the best possible marketing solution for every client they represent. Contact Page Aiken at 404-754-2030 (cell) or Randall Moody at 912-230-4653 (cell)
About Page Aiken
About Randall Moody
Page is a seventh generation native of Sea Island and St. Simons Island. Having grown up on Sea Island and St. Simons, Page has a love and appreciation for the amenities and lifestyle Sea Island offers.
Randall grew up in South Georgia and moved to St. Simons Island in 1994 with his wife Sheila, they live in Island Club on St. Simons Island and have three beautiful children, Taylor, Ansley and Merritt.
His international real estate career began in 1987 with Royal LePage, a Canadian based International Real Estate firm. In 1993, he founded the Moscow, Russia office of Colliers International where he provided corporate housing solutions for multinational companies such as Price Waterhouse, Colgate and Nestles, among others
Randall’s combined passion for people and for the heritage and lifestyle of the Golden Isles gives him the knowledge that only time and experience can provide. Randall is highly knowledgeable about the local market and is a seasoned professional when it comes to negotiations. Randall is a lifetime member of the Golden Isles Association of Realtors Circle of Excellence and proud recipient of the Oglethorpe Award.
Page is passionate about giving back to the community and is a member at Wesley UMC where he serves as Discipleship Chair and serves with the Cub Scouts as the Chartered Representative for Pack 227. He serves on the boards of Centered for Life and the Christian Ministries Foundation.
Randall has consistently ranked among the top producers in the Golden Isles; Randall was honored to be the top selling agent in the DeLoach Sotheby’s International Realty office on St. Simons Island for 2013.
Page Aiken Randall Moody