THE REAL
S TAT E of real estate
no season is off season
no season is off season The time when developers, agents and all those working in real estate could take a few months off during summer is now a thing of the past. Summer is here in Miami and real estate activity is running full throttle. Construction in the smoldering heat has not dwindled, calls from foreign investors and local alike are non-stop and showing schedules are packed. Miami officially has no slow season and we are grateful for it, not just because of business but because our city deserves its time in the spotlight. Strap on your seatbelt and hold on tight, because summer is here and the Magic City’s real estate has hit the ground running.
Foreign investors are hungry and Miami satisfies their diverse tastes While at a sales party for his 1 Hotel & Homes South Beach, Developer Richard LeFrak shared a few words that unveiled only a fraction of the puzzle about why there’s such a downpour of foreign investors in Miami. When challenged by the press with a sort of pessimistic outlook on the Miami real estate market, LeFrak responded by saying “I’d be worried if interest rates go up and consumer confidence drops, but the U.S. economy is doing well and the stock market is high.” After bouncing back financially in record breaking time and showing only promise of a stronger currency and more opportunities for foreign money, there are many pros for the United States, but Miami is paradise - who wouldn’t want their own piece of it? Always labeled as the gateway to Latin America, Miami invites and retains loyal investors. The recent market strategy from big name developers in Miami extending their reach to the Far East only exemplifies that Miami is now serving a variety of appealing opportunities.
Snowbirds fly south, specifically in private jets and first class With real estate prices exceeding well beyond tens of millions of dollars, Miami still remains competitive in the grand scheme of things. The stronger economy has been a healthy dose of great luck for both sellers and investors all year long in the Magic City. The days of Miami being a ghost town from June to September is now an old wives’ tale. Reid Boren, partner at Eastview Development, said,
“In Miami, you can buy a unit for a third of the price and the cost of living is half of what it is in New York. Miami has also grown culturally and has infrastructure in place that didn’t exist in the last cycle, making it a more attractive place to live.” With accolades like those, there’s no question Miami is becoming the stomping grounds of all northeastern bon vivants.
Sunshine is currency With the seemingly endless summer in Miami, it’s only natural to assume the value of sunshine to others buried up to their brows in snow is on the rise. At the beginning of the year, Cranespotters announced the 300th condo being built for this real estate cycle. With investors from all over snagging parcels of land to build on, it seems safe to assume Miami will own that first place in the development race. The last cycle from 2003 to 2010 yielded fewer than 250 new buildings. Press release after press release shares news of bigger and “badder” architectural gems in the works and slated to house Miami’s locals and visitors in the very near future, solidifying that our sunshine is a very hot commodity.
OIR keeps up with its city Imagine being up 24 hours a day, 7 days a week. The thought alone will exhaust most, but our city requires a team that can keep up with it. That’s what we do at Opulence International Realty. Whether it’s July or December, we are along for the ride year-round, working at full speed to satisfy the needs of buyers and sellers - local or foreign – who are equally entranced by Miami. Season is now and will be in the next 5 months. There’s no off-season in this major world destination, so we have no off-season either. Whether it’s pre-construction, assemblage of parcels of land, bulk purchases, listing your home for the first time, the experienced agents at OIR work diligently, knowing there is only “go time”. Through the use of customized marketing, cutting edge technology, strong social media, and a team that works around the clock, we are fully prepared to meet any client’s needs.
real estate market highlights: Miami-Dade County, Q2 2015 Median sale prices for condos and single family homes rose by double digits year-over-year in May 2015. Single family home prices rose 12.8%; condos increased 11.1% - marking the 47th consecutive month of growth for the condo sector. Miami’s home prices were 8.5 percent higher in April compared to the same month last year and the fourth highest among the top 25 markets in the country.
1 Arvida Parkway, Gables Estates
TOP 5 SALES IN MIAMI-DADE: APRIL 1 - JUNE 30 5800 North Bay Road, Miami Beach $33,000,000 14 La Gorce Circle, Miami Beach $19,700,000 101 20 Street #3307, Miami Beach $16,150,000 5161 Fisher Island Drive, Fisher Island $13,750,000 3310 Devon Court, Coconut Grove $12,850,000 Luxury development The Surf Club Four Seasons in Surfside celebrated its topping off at the beginning of June. The building is already 75-80% sold, including all 9 of its penthouses, one of which closed for $35M.
Image courtesy of The Surf Club Four Seasons, Surfside
In May, a single Russian buyer paid nearly $15M for two waterfront homes on prestigious Hibiscus Island in Miami Beach. Billionaire Mike Fernandez, founder and chairman of MBF Helathcare Partners, bought a 1.23 acre waterfront lot for $9.5M in June. The lot sits adjacent to his sprawling 5.38 acre waterfront estate at 1 Arvida Parkway. Sources: Miami Association of Realtors, The Real Deal, SEF Regional MLS
305.615.1376 opulenceinternationalrealty.com 2060 N Bayshore Drive Miami, FL 33137