Euro’s Slide Generates Concerns For Miami Condo Market

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Will the recent free fall of the Euro hurt sales of new and existing condominium units in Miami?

Miami right now probably feels quite expensive compared to last year for returning international visitors who are armed with euros, the official currency of 19 countries in the European Union.

The current exchange rate to convert euros into U.S. dollars stood at about $1.178 on Thursday, following a steep drop in value resulting from a surprise monetary move this week by the Swiss Central Bank, according to the foreign exchange trading website OANDA.com.

Some currency watchers say Switzerland’s sudden maneuver to protect its currency, the franc, could send Western Europe’s primary currency plummeting against the dollar in the weeks and months ahead.

The current exchange rate is the weakest the euro has been against the dollar on the date of Jan. 15 since back in 2003 when the currency was worth about $1.055. In the more than a decade since the 2003 level, the euro has had a value ranging from between $1.265 and $1.485. A year ago on Jan. 15, 2014, a euro was worth $1.367, according to OANDA.com.

The dramatic drop in the euro means that everything in Miami, from hotel rooms to bottle service at nightclubs, and rental cars to condo purchases, now cost about 14 percent more than a year ago, according to OANDA.com. A deeper weakening of the euro could diminish Miami’s reputation as a cheap, must-see global destination for vacations, shopping sprees and real estate investments with Western European visitors.

For their part, Western Europeans are a key part of the crucial pool of international buyers purchasing real estate in South Florida, according to the 2014 Profile Of International Home Buyers In Florida report released in September by the Florida Realtors.

Buyers from Western Europe purchasing in South Florida accounted for 8 percent of all international sales in the Latin American-dominated Miami area, 18 percent in Fort Lauderdale and 24 percent in the Palm Beach area.

Statewide, the report concludes that buyers from Western Europe paid a mean price of $321,500 per transaction for Florida real estate with some 85 percent of the deals transacting in cash. Price statistics for Western Europeans who purchase in the South Florida region are unknown as the Florida Realtors report does not address that topic.

What is known is that South Florida’s condo market east of Interstate 95 has a growing pool of available inventory that needs buyers, whether they originate from Western Europe, Latin America or the Northeast. An estimated 6,400 new condo units are scheduled to be completed this year east of Interstate 95 in South Florida with an additional 6,700 units slated to be delivered in 2016 and 5,000 more units in 2017, according to the preconstruction condo projects website CraneSpotters.com.(For disclosure, my firm operates the website.)

An additional 12,750 condo units are currently on the resale market east of Interstate 95 in the tri-county South Florida region. The number of condo units currently on the resale market represents nearly nine months of available inventory. Ideally, a healthy market has about six months of supply available for resale. More months of supply suggests a buyer’s market and less months a seller’s market.

The unanswered question going forward is whether South Florida’s current condo boom will be able to maintain its momentum of recent years, if buyers from Western Europe find it more expensive to buy units in the tri-county region.

Thought Of The Week: South Florida Condos “Not Priority” For Russian Investors

At a time when the U.S. currency’s run-up in value is prompting some Wall Street experts to predict the beginning of the next King Dollar era, Russian condo buyers – who have seen their home country’s currency tumble by nearly half in the last year – are reportedly rethinking their necessity to own multiple beachfront condo units in the tri-county region.

“An apartment in Miami, even the most glorious beachfront apartment, is not a priority right now,” New York Attorney Marlen Kruzhkov reportedly said in a recent press report.

This sentiment from Russian investors – a key buying pool in the tri-county region for at least the last two decades – cannot be good news for sellers of new and existing condos in South Florida who are seeking top dollar for their luxury units.

 

Source: The Real Deal

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This Zero-Emission Home Creates Enough Energy To Power An Electric Car For One Year

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This just might just be the most beautiful zero-emission home anyone ever laid eyes on.

Snøhetta, a design firm in Norway, has created the ZEB Multi-Comfort House in Ringdalskogen, Larvik, Norway. The house not only runs solely on solar energy, but collects enough extra solar energy to power an electric car for one year.

ZeroEmissionsHouse2

ZEB took 10 months to build and, according to Kristian Edwards, the lead architect of the project, a very intricate process was employed to ensure that the solar energy would be used at the highest efficiency.

The result? A home with striking features like a tilted roof that is slanted at a 19-degree angle to accommodate the photovoltaic panels (the ones that provide electricity) and the solar thermal panels (the ones that provide heat and hot water). Edwards told The Huffington Post that the roof also provides a dramatic flair to the inside of the home. “It is perhaps the most striking element of the upper floor,” he says. “Relatively small bedrooms gain great volume, hugely beneficial to sleep comfort, light transmission and of course, a certain drama.”

ZeroEmissionsHouse3

In the atrium, Edwards used recovered brickwork from a barn that was being demolished. “The recovered brick serves a thermal mass which passively contributes to balance temperature spikes,” says Edwards.

ZeroEmissionsHouse4There are currently no tenants in the home. However, Edwards says that there are plans in the works to have families occupy the space “in order to realistically test the building and system performance.” Feedback from visitors has been “generally extremely positive,” he adds.

ZeroEmissionsHouse5Despite it’s forward-thinking approach, Edwards says the goal of ZEB was to create a place that is welcoming and comfortable, with energy-saving features that virtually disappear into the background. “Our goal was to ensure that the house, whilst advanced, is predominantly welcoming,” says Edwards. “The outdoor covered atrium with a fireplace gives a welcome extension of the outdoor season that is fundamental to the Norwegian culture. This shows that the steps toward zero carbon housing need not represent a quantum leap in lifestyle, and therefore, makes it simpler and quicker to make the switch.”

ZeroEmissionsHouse6

 

Source: Huffington Post

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Miami Condo King Says Cuba Embargo Must Go

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Miami billionaire Jorge Perez says an end to a U.S. economic embargo on Cuba could help turn Havana into a mecca for real estate investment.

Jorge Perez oversees a global condo empire with $20 billion in assets as chairman of Related Group

Jorge Perez oversees a global condo empire with $20 billion in assets as chairman of Related Group

Perez, who was born in Argentina to Cuban parents, oversees a global condo empire with $20 billion in assets as chairman of Related Group.

The U.S. Agriculture Coalition for Cuba, with more than 25 companies and farm trade associations, was created yesterday in Washington to urge repeal of a 1996 law that placed permanent sanctions on Cuba after Fidel Castro seized power in a communist revolution.

In an interview at his Miami office, Perez said he favors a lifting of the embargo even after Cuban exile groups organized protests in Miami’s Little Havana neighborhood last month to oppose President Barack Obama’s easing of restrictions in place for more than 50 years. “We should’ve opened our eyes a long time ago,” the 65- year-old said. “Opening up trade and the exchange of ideas would further the democratization of Cuba. Demand for second homes will be much bigger than the Bahamas, Puerto Rico or Dominican Republic.”

Obama’s move to end a half century-long estrangement with Cuba raises the prospect that American developers and hotel operators such as Marriott International Inc. and Hilton Worldwide Holdings Inc. may be able to enter the tourism-rich market only 90 miles (145 kilometers) from Florida’s coast. They face a long road of navigating a region with unclear property laws and government control, making it probable they will proceed with caution, Perez said.

Joint Ventures

Tourist arrivals to Cuba rose almost 12 percent year-over- year in October to 187,311 visitors, according to the Cuban National Statistics Office. About 2.9 million tourists visited the island in 2013, almost a third of them from Canada. The second-most visited Caribbean country behind the Dominican Republic, Cuba has about 200 hotels with at least 35,000 hotel rooms, according to Jones Lang LaSalle Inc.’s hotel group.

Perez said he visited the island two years ago, taking a charter flight after he wasn’t able to obtain a U.S. permit to fly his private plane. If an opening occurs, Perez said he’d be interested in creating joint ventures with Cuban companies to help cultivate an entrepreneurial class, teach people how to operate in a free market economy, and encourage them to keep income from the projects in Cuba to help the country grow. He’s also interested in getting involved in the restoration of historic Havana.

‘Condo King’

Perez crashed with the rest of real estate market in 2008. He regained his crown as Florida’s “Condo King” by building new projects with 50 percent deposits from foreign buyers. The Miami Art Museum was recast as the Perez Art Museum Miami before its opening last year after he pledged $35 million in cash and art.

Inside his office, Perez has a coffee mug stamped with Bill Clinton’s name and a photo of him standing next to Obama. Most of the campaign donations Perez and Related Group made in 2012 and 2014 elections went to campaigns of Democratic party members, according to OpenSecrets.org.

Obama last month used the limited flexibility allowed by the law to ease travel, trade and finance with Cuba. Still, the economic embargo, in place since the early 1960s, needs congressional action to remove the restraints. “I don’t think that Raul Castro is going to wake up tomorrow and call free, general elections,” he said. “The lifting of the embargo is going to be a fight, though not impossible. A lot of the farm states are clamoring to lift this thing so we can sell products to Cuba. You’re going to get a lot of economic pressure.”

 

Source: Financial Advisor Magazine

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Green Buildings Save small Businesses BIG Money In Three Ways

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Mike Schoenecker, vice president at Winkelman Building Corp, says green buildings, defined as those that reduce their impact on the environment by being more energy efficient and using fewer natural resources while reducing waste and pollution, save money for business owners three ways.

Increased Efficiency Means Lower Energy Bills

Green buildings cost about 2% more initially, but will save building owners about 30% on their energy bills for heating, cooling and water usage every year for the life of the building. That can add up to a lot of money, which can be used to pay for the initial costs of going green. Once those costs are recaptured, the savings will add to the building owner’s bottom line for the entire useful life of the building.Government Incentives Can Put More Money In Building Owner’s PocketsThe United States government offers rebates, tax credits, and other incentives for businesses who commit to building green and installing sustainable forms of energy like solar, wind, and geothermal technologies. The U.S. Department of Energy (DOE) maintains a public database called DSIRE that is organized by state and lists all of that state’s current incentives and programs. State and local incentives may also be available, so check with your accountant or state resource sites, as well.Long Term Cost SavingsBenefits from using green energy technology like solar and geothermal technology and solar are magnified when a building owner opts for green materials such as energy efficient windows and roofing materials. Those materials also provide an economic advantage because they cost less to maintain and repair. For example, bamboo is a sustainable alternative to hardwoods for floors and interior trim that offers superior durability without sacrificing style.ConclusionMaking a $4 per square foot investment in green now will yield savings of $58 per square foot over a twenty year period. By using recycled glass, drywall, and steel, the savings could be even greater and the benefit to the environment enhanced.

There are other economic benefits to building green, too. A green building will command a higher price when sold. More importantly,  a businesses that shows it cares for the environment will appeal to clients and customers who are looking to do business with responsible companies. Put it all together and going green makes for smart business in more way than just saving money.

 

Source: Green Building Elements

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Brazilian Condo Developer To Make Miami Debut

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Rodolfo Ishak, developer of Krystal Tower PHOTO: Mark Freerks

Rodolfo Ishak, developer of Krystal Tower
PHOTO: Mark Freerks

Rodolfo Ishak has had plenty of opportunities to launch his first condo project in Miami during boom cycles of years past, but he feels now is the perfect time.

Having completed more than 40 projects in his native Brazil, Ishak is making his Miami debut with Krystal Tower, a 35-story, 153-unit project at 530 N.W. First Court. It launched sales in November, starting at $342 a square foot, with an average price of $450 a square foot. It will also include 5,500 square feet of commercial space.

The property currently has a five-story shell of a project that stalled during the recession. Ishak’s company will build atop that structure. He plans to launch construction once presales reach 50 percent, he said.

A rendering of Krystal Tower, planned for 530 N.W. First Court in Miami.

A rendering of Krystal Tower, planned for 530 N.W. First Court in Miami.

Ishak and sales director Roderyck Reiter said his company and his experience has reached a level where he feels comfortable to come to Miami, a market that’s more conductive than in Brazil. His reservations are evenly divided between Brazilians and Venezuelans. Both countries are suffering from economic problems and the weakening of their currencies against the U.S. dollar.

“It has helped us in Miami because of the instability and insecurity of the economy in both countries,” Ishak said. “People who have the capital want to take their capital to a safe market like this. … It’s like a savings account to them. If they keep it in their country, they will lose value on inflation.”

Ishak said his goal with Krystal Tower is to offer the amenities residents would expect at a luxury building at a lower price point. It helps that he paid only $3.5 million for the property, compared to the tens of millions of dollars that other developers paid to obtain land near downtown Miami.

BY THE NUMBERS
  • $108 million – Price paid by Stiles and Prudential Real Estate Investors for New River Center. The 281,713-square-foot office tower is at 200 E. Las Olas Blvd. in Fort Lauderdale.
  • $279 – Price per square foot for KAR Properties’ $12.5 million purchase of a 1.03-acre site in Miami’s Wynwood neighborhood.
  • 57,012 – Square footage of C-G of South Florida’s warehouse at 6865 N.W. 36th Ave. in Miami as it faces a $2.5 million foreclosure lawsuit from Ocean Bank.
  • $11.5 million – Price Origin Behavioral HealthCare paid for the 90-bed Hanley Center, a substance abuse facility in West Palm Beach.

 

Source: SFBJ

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MIA’s New Air Carriers Slated To Fly In $830M For Miami-Dade

Miami International Airport added eight new carriers in 2014, which are expected to create 6,800 direct and indirect jobs in Miami-Dade County and generate business revenues of more than $830 million.

The study, by Martin Associates, assumes that the new carriers – two cargo and six passenger airlines – will operate at MIA for a full year. Finnair and Frontier Airlines, which launched in December, are included in the report.

With the addition of those airlines, the airport has 100 air carriers. Its overall economic impact is $33.5 billion.

 

Source: SFBJ

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Downtown Miami Sees Blockbuster Land Sales

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Just how hot is Downtown Miami’s condo market?

New stats are rolling in that make investors smile and developers move perhaps even more quickly. For starters, Downtown Miami’s condo market has posted two straight years of price appreciation. At the same time, land values are escalating and developer yields are compressing. Overall, land transaction volume is increasing. All this is according to a new study the Miami Downtown Development Authority (DDA) commissioned.

“The demand drivers of an urban lifestyle continue to provide motivation for suburban or Miami Beach residents to reconsider the Downtown Miami area,” says Anthony M. Graziano, senior managing director for Integra Realty Resources in Miami. “As the large-scale projects continue to progress, along with the development of a more transit-oriented metro area, Downtown Miami will benefit from increased downtown housing options.”

Turning to rentals in the urban core, prices are rising. That, in turn, is supporting more end-unit pricing increases and an overarching demand for new multifamily projects. Specifically, rents in Downtown Miami are appreciating by over 5% each year and are on track to experience annualized increases of 8% in 2014.

With such strong demand, new rental construction is moving ahead at a rapid clip. Developers currently building 2,301 multifamily units in five downtown projects. Another 2,742 units are in the planning phase of development to meet the demand, including strong demand from Millenials, who are moving to Downtown Miami in droves.

The third quarter saw some of the biggest blockbuster land sales in history, including the Epic Marina Site in the CBD that sold for $125 million, representing $2,296 per square foot. Ten land sites have either recently sold or are being marketed for sale through July 2014. In addition, there are three additional land transactions all upward of $50 million expected to close by the fourth quarter 2014.

“In 2008 many condos were sitting empty and pundits predicted they would remain dark for years to come,” says Alyce Robertson, executive director of the Miami DDA. “Local job growth, combined with foreign buyers and investors from Europe, South America and Asia have acquired most of the inventory and prices are again increasing even as dozens of new projects are in the works. Downtown Miami is witnessing a metamorphosis and evolving into a true 24/7 city as restaurants and retailers come online in the urban core.”

 

Source: GlobeSt.

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Lights, Camera, Action: Local Leaders Break Ground On Miami Film Studio

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Local leaders broke ground Friday to make way for a new film and television studio in Miami.

Actually, it was more of a demolition ceremony than ground breaking.  A large piece of construction equipment began knocking down an old warehouse to make way for a television and movie production house While it may not be lights, camera, action just yet, the Florida Film & Television Center located at 50 NW 14 Street, is expected to be up and running within the next 15 months.

“The  film industry has always been an important component of the City of Miami’s cutting appeal,” said Mayor Tomas Regalado in a written statement. “The Florida Film & Television Center will continue to move the City forward in the film industry.”

“This will be the very seedling of a very large industry in Miami that will become an oak tree called the film industry,” said City Commissioner Marc Sarnoff at Thursday’s ceremonies. The new studio will house two 15,000 square feet film sound stages with 12,000 square feet of office space, editing suites and accessory rooms.

The lot is meant to hold productions of all sizes including major movies, television series, and independent films. “Domestic and international production companies want to be in Miami and this state-of-the-art facility will go a long way in securing Miami’s status as a top destination for film and television production,” said Commissioner Sarnoff.

EUE/Screen Gems Studios will design, build, operate and manage the studio, which is on a fast-track construction schedule, and expected to be operating within 15 months.  The company will receive some 12 million tax dollars from the Omni Community Redevelopment Agency to finance  construction of the studio.

It is money well spent, according to Omni CRA Director Pieter Bockweg. “From everything that we have researched and studied, the need for film studios is prime right now for this area,” Bockweg said.

Indeed, the groundbreaking comes just a day after a would be studio, set to be near Miami Gardens, won initial approval  for a $10 million grant from Miami-Dade property taxes, according to CBS4 Miami news partner, the Miami Herald.

The spokesman for Miami-Dade Mayor Carlos Gimenez told the paper, the proposed complex, named Miami Ocean Studios  is backed by Gimenez. His administration first recommended $5 million but then upped it to $10 million for the 900,000 square foot facility.

The production and entertainment complex would be on county land  that currently houses three charities — Arc of South Florida, His House, and Center for Family and Child Enrichment. As part of the plan, the county would give money and negotiate a lease for the land located at 20000 47th Ave.  Ocean studios would also have to provide suitable space for the charities on the property or in another spot.

At the ceremonies for the start of the Miami project Thursday, EUE/Screen Gems President Chris Cooney said the message is simple:  Television and movie producers hire lots of people at high salaries and spend lots of money. “They spend the second they hit the ground in the area,” Cooney told CBS4’s Gary Nelson.  “Whether it’s lumber, dry cleaning, caterers, the whole community benefits from that.”

EUE/Screen Gems has a successful track record of operating production houses in New York, Wilmington, NC and Atlanta, GA.  There is a growing trend of producers eschewing high costs in California, and taking their projects to the East and South.

Miami dangled a carrot in front of the production company:  The building. “We provide the facility, they pay the rent, and they pay a management fee as well,” said Sarnoff.  “It’s a win-win for everyone.”

In addition, the company will pay the city 11% of its take.  The CRA’s Bockweg estimates taxpayers could be getting a half million dollars a year within the first few years of the studio’s operation.

Many Shows, True Lies, Scarface, Bad Boys 1 & 2, Bird Cage, CSI Miami and Scarface, to name a few, have been set in Miami but, with the exception of a few scenes, shot and produced in California studios. The last product to be shot and produced entirely in Miami was the now cancelled cable series Burn Notice.

 

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Art Basel Adds To The Skyline — And The Bottom Line

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Since its launch in Miami in 2002, Art Basel has been attracting people from all over the world who appreciate innovation and creativity.

Today, satellite events have spread to Wynwood, Midtown, downtown, Mid-Beach and North Beach, and last year about 75,000 people attended the main fair. The first Basel fair featured 160 galleries from 23 countries, attracted 30,000 visitors and has grown and grown and grown — much like our skyline and real-estate industry. The growth and popularity of the event have bolstered the tourism industry and made us one of the fastest emerging cultural epicenters of the world.

For one week in December, all eyes started looking to Miami, including those of some of the world’s greatest architects and developers. Today, they are creating a skyline that is second to none, while Basel brings buyers appreciative of artistic creations. The burgeoning love affair between Miami and art can be evidenced by two recently announced museums: the Institute of Contemporary Art, Miami, the brainchild of Norman and Irma Braman, and the Latin American Art Museum by Gary Nader. Miami was largely a blank canvas in 2002, and so many have seized the opportunity to fill the space with remarkable buildings that are works of art themselves.

In downtown Miami, Zaha Hadid paired with developers Louis Birdman and Gregg Covin for the grandiose 1000 Museum. What was once the famous Bal Harbour Club will become the spectacular, all-new Oceana Bal Harbour, thanks to Italian architect and interior designer Piero Lissoni and developer Consultatio USA. And then there is Herzog & de Meuron, Richard Meier, Norman Foster and Rem Koolhaas, among the many other great names, with others soon to be announced.

Art Basel is certainly a time for businesses to shine. It provides an instant injection of funds into the economy, and the effects of the fair linger long after it leaves town. This is certainly the case for the real-estate industry, which has benefitted greatly from the influx of discerning art lovers. Amid the week of amazing art and all the accompanying events, the glitterati look up and see Miami as a wonderful place to purchase property. And they have many to choose from, for a relatively affordable budget. All are designed by local and international architectural greats who provide a perfect place to display a new piece or two.

Daniel De La Vega, President of One Sotheby's International Realty

Daniel De La Vega, President of One Sotheby’s International Realty

The past week has seen traffic gridlock, long lines and a shortage of restaurant reservations. But as an enthusiastic collector of Latin American art and a member of the Photography Committee at the Solomon R. Guggenheim Museum, Daniel De La Vega, President of One Sotheby’s International Realty, will be sad to see the sun set on the event so soon. Art Basel will continue to play an important role in the growth of South Florida’s real-estate industry and the development of greater Miami as a whole. As a native Miamian, Mr. De La Vega is grateful for how this fair has moved the city forward in so many ways. As the tents come down and the works are carefully packed away, Miamians can still admire innovative and creative pieces all year-round.

All you have to do is look up to the skyline and thank the increased business to the bottom lines.

 

Source: Miami Herald

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How Art And Real Estate Are Coming Together

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Million-dollar Koons sculptures and designs by Schnabel—it’s all part of the collaboration between art and Miami’s expanding real estate boom.

The art scene in Miami continues to grow at an extraordinary pace, so much so that for many residents living in some of the most high-end buildings in the world, a trip to the museum isn’t always necessary for a daily dose of creativity. Developers are engaging major artists in large-scale collaborations, raising the aesthetic bar at their latest projects and putting installations and one-of-a-kind pieces on display for inhabitants to enjoy.

In these new condo towers, art is a fundamental aspect of the entire project, and not just a colorful wall-hanging picked up at moment’s notice because it matched the drapes; these are big new vertical Xanadus dripping in art. Everyone is trying to outdo one another—Faena House, developed by Alan Faena, will house the Faena Bazaar and an artist-in-residence center by Rem Koolhaas and OMA, while Oceana Bal Harbour will feature two larger-than-life works by Jeff Koons—Pluto and Proserpina and Ballerina, purchased in 2013 for $14 million—both of which will be shared and owned by building tenants. 250 Wynwood—an 11-unit condo developed by Fortis, will feature terrace overhangs decorated with curated graffiti. Not far away, the Filling Station Lofts in Wynwood has enlisted local artist Daniel Fila to create unique works of art for each individual floor, as well as to consult on the building’s aesthetics.

Rendering of the entrance of Muse Residences in Sunny Isles Beach. The building will feature custom artworks by Helidon Xhixha in every unit

Rendering of entrance of Muse Residences in Sunny Isles Beach. Building will feature custom artworks by Helidon Xhixha in every unit

Up in Sunny Isles Beach, Property Markets Group’s Muse Residences—47 stories with 68 units—will deliver a custom $200,000 piece of art by Helidon Xhixha, created after consultation with the owner, into every $4 million-and-up unit. CMC Group is developing Brickell Flatiron on a wedge-shaped site at the convergence of South Miami Avenue and Southeast First Avenue. Besides its shape, the Brickell Flatiron building’s single most distinctive feature is an extensive and very public collaboration with the artist Julian Schnabel. CMC has Schnabel creating the spaces for the general public: the temporary sales center, the lobby, and the exterior, among others. Although not particularly huge, the sales center, built in adjacent Flatiron Park, is as lavish as Miami sales centers get (and that’s saying a lot). Along with filling the interior with his art, Schnabel has modeled the space after his famed home in New York. It’s Miami’s own miniature Palazzo Chupi, and a singular art installation in itself—perhaps Miami’s first “museum-quality” condominium sales center. And if that’s not enough, CMC is sponsoring an actual museum exhibition of Schnabel’s work, at Fort Lauderdale’s NSU Museum of Art, curated by the incomparable Bonnie Clearwater. “The goal is to involve the public,” says Vanessa Grout, president of CMC Real Estate.

Artist Julian Schnabel at work on the Brickell Flatiron Sales and Design Gallery

Artist Julian Schnabel at work on the Brickell Flatiron Sales and Design Gallery

Over at The Related Group, Art Director Patricia Hanna is tasked with creating the art collections that adorn every luxury condominium project that the company builds. And in Miami, they’re all considered luxury. Hanna and Related head Jorge Pérez have fostered a partnership with the National YoungArts Foundation that should blossom in all sorts of interesting ways. YoungArts scholarship recipients will have their work displayed within Related projects, including at the sculpture garden at Icon Bay, a condominium tower near the new YoungArts campus. And an artists-in-residency program will house at least three artists a year in Related condos. Other Related buildings with their own collections include One Ocean, which is currently under construction; Baltus House, which recently topped off; Brickell Heights and SLS Brickell, both of which broke ground earlier this year; and SLS Lux, which features a giant Botero statue in the sales center courtyard.

These developers are obviously considering way more than a return on investment when deciding to do “art.” They’re doing it because it’s good for Miami, but they’re only able to do it because in this economy it’s finally cost effective. “Fortunately Miami is experiencing a newly popular alignment between artistic ambition and financial incentives,” says Grout. “Private money is investing in art, which directly impacts the public good while providing a good return on investment.” Are developers doing it for the money? Not necessarily, but they couldn’t do all this without it.

 

Source: OceanDrive

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