Miami River Spilling Over With New Development

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Edge, Sushi Samba, River Oyster Bar and Fox Hole Marketplace and Deli —  are just some of the planned new eateries banking on the Miami River.

 New restaurants, retail and increased public access along the Miami River were among the highlights of a development boat tour of the five-mile-long waterfront district on Thursday.

Renderings of River Landing Project

Renderings of River Landing Project

Developers and real estate professionals toured the river as part of an Urban Land Institute and NAIOP partnership. Brett Bibeau, managing director of the Miami River Commission, said that popular restaurants Seaspice (formerly Sea Salt and Pepper), Garcia’s Seafood and Casablanca have brought business to the area.

Among the restaurants awaiting permits or under construction are Sushi Samba, at 40 Southwest North River Drive; Edge at 39 to 55 Southwest Miami Avenue Road; a new location for the River Oyster Bar at 350 Flagler Street, and Fox Hole Marketplace and Deli at Latitude on the River, 615 Southwest Second Avenue.

River Landing rendering and Andrew Hellinger

River Landing rendering and Andrew Hellinger

The Miami River has increasingly drawn interest from developers who are embracing the river lifestyle. “It’s a place that people don’t have to see as up and coming. It exists,” said Andy Hellinger, developer of the River Landing project, a massive nine-acre development that will include apartments, retail and a linear park along the riverwalk.

River Landing’s retail component will include a five-story vertical shopping center, with a different theme for each floor. Among them: restaurants and supermarkets, sporting goods and entertainment. Two acres of the project are dedicated to parks and pathways. Hellinger compared the linear park, with a 50-foot setback, to the Highline in New York.

River Landing recently applied for a seawall permit, and digging for the foundation will be complete in a few weeks, Hellinger told The Real Deal.

Cleaning up the water and building the riverwalk are both key to the area’s success. Bibeau said his organization, the Miami River Commission, sends clean-up crews to pick up trash, pressure clean and paint over graffiti. “If the riverwalk is not maintained,” Bibeau said, “it will not live up to its potential.”

 

Source: The Real Deal

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‘Floating’ Parking Garage, 352 Residential Units, Proposed Above Historic Biscayne Boulevard Church

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Architect ADD Inc has prepared a creative plan to preserve the historic church at 1836 Biscayne Boulevard, while adding 352 residential units and a parking garage.

1836 Biscayne Boulevard - 2Under a proposal scheduled to be reviewed by Miami’s Historic and Environmental Preservation Board, the church would be restored and retrofitted to become hurricane-resistant. Instead of a place of worship, a grocer would occupy the space.

A 34-story residential tower would be built next to the church. ‘Floating’ above the former church would be a parking garage. In total, up to 480 parking spaces are planned.

Developer Fifteen Group paid $14.25 million for the property last year. R.J. Heisenbottle Architects is working alongside ADD Inc for the developer as a historic preservation consultant.

The church is directly across the street from Atlas Capital Group’s newly proposed 429-unit residential tower at 1900 Biscayne.

 

Source: The Next Miami

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Retail Development Site In Miami’s Edgewater Sells For $64M

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A retail development site in Miami’s Edgewater neighborhood traded for $64 million, or $200 per square foot, to a well-known businessman.

The 7.35-acre site at the northwest corner of Northeast 17th Street and Northeast Second Ave. was previously approved as Bayview Market with 653,659 square feet of retail, a 2,047-square-foot gym/spa and 24 apartments. The seller obtained approval in 2009 but didn’t start construction.

EdgewaterMiamiBayviewMarketBDB Miami LLC and 110 Avon, a partnership between Atlanta-based BDB Realty and Redwood Capital Investments, sold the property to Rebuild Miami-Edgewater, which is headed by Richard Meruelo. The deal included $34 million of seller financing.

Meruelo was the co-founder and chairman of EVOQ Properties, which was sold in 2014 to Atlas Capital Group and Square Mile Capital Management. EVOQ was one of the largest property owners in downtown Los Angeles. He’s also part of the Cuban American Meruelo family, which has owned the Deauville Beach Resort in Miami Beach for many years.

The deal was brokered by CBRE’s Gerard Yetming, Robert Given, Zachary Sackley, Casey Rosen, Dennis Carson and Tim Gifford.

CBRE said the site could be zoned for up to 3 million square feet of development. Edgewater has a host of new condo towers rising along Biscayne Bay.

“BDB Miami is the perfect canvas for a visionary developer,” Yetming said in a news release. “Population growth for the one-mile radius around this site is forecast at nearly 10 percent over the next five years. With this acquisition, the buyer has an opportunity to capitalize on all of the new energy associated with Miami’s most transformative commercial real estate development projects.”

 

Source: SFBJ

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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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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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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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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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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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Miami Real Estate Market Keeps Rolling

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The performance of the Miami real estate market remains consistent with record activity in 2013 due to strong demand despite increased existing and new construction supply.

Median and average sales prices continue to rise, according to the latest statistics from the Miami Association of Realtors.In the third quarter, the median sales price for homes in Miami-Dade County was $250,000, an increase of 8.7% compared to last year while the median sale price for condominiums rose 3.5% to $189,900. These third quarter price increases mark 11 consecutive quarters of growth for both single family homes and condominiums.

‘The Miami real estate market continues to attract the attention of both domestic and foreign buyers, fueling solid growth and creating opportunities for both buyers and sellers, said Liza Mendez, chairman of the association’s board. ‘While there is more supply available than a year ago, there is still strong demand, and the growth of supply, new listings, sales and prices is more moderate, resulting in a more balanced market,’ she added.

In Florida the state wide median sales price for single family existing homes in the third quarter was $182,000, up 4% from the same quarter a year ago, according to the latest housing data released by Florida Realtor. The median sales price for condominiums in Florida was up 6.9% compared to the same quarter last year at $139,000. Compared to last year, the average sales prices for single family homes and condominiums in Miami-Dade County increased 14.9% to $438,431 and 3.8% to $341,927, respectively.

There were 7,632 homes and condos sold in Miami-Dade County during the third quarter of 2014, a decrease of 5% compared to the third quarter of 2013, when there was record sales activity. Sales of single family homes increased 0.2% to 3,552, while condominium sales decreased 9% to 4,080 compared with the same period in 2013.

‘In Miami, market performance continues to vary greatly depending on location, property type, price range and other factors,’ said Franciso Angulo, residential president of the Miami Association of Realtors. ‘While in most cases, increased supply is offering buyers more choices and less pressure, others are still experiencing significant competition and bidding wars,’ he explained.

He pointed out that the Miami Association’s initiatives to increase inventory and focus on assisting members to get more listings has proven successful along with some additional distressed properties coming on the market. In addition, the fact that sales remain at historically strong levels while inventory is growing points to seller confidence. Sellers are listing properties for sale because they have confidence in the market, according to Angulo.

Home and condominium listings also increased in the second quarter but by narrower margins. There were 6,237 new single family home listings during the third quarter, a growth of 5.1% relative to the same period last year. New condominium listings increased by only 1% from 8,282 in the third quarter of 2013 to 8,366 this year.

At the current sales pace, current inventory represents 5.7 months of inventory for single family homes and 8.1 for condominiums. Compared to the third quarter of 2013, months supply of inventory for single family homes and condominiums increased 13.5% and 33.6% respectively. A balanced market between buyers and sellers offers between six and nine months supply of inventory.

The median days on the market of single family home listings during the third quarter was 45 days compared to 37 days during the same period last year, an increase of 21.6%. Similarly, the median days on the market for condominium listings were 57 days compared to 46 last year, an increase of 23.9%. In the third quarter some 55% of closed sales were all cash compared to 59.2% a year ago. All cash sales were 40.4% of single family home closings and 67.5% of all condominium sales.

Since nearly 90% of foreign buyers pay cash, the association says this reflects Miami’s position as a top market for foreign buyers. Miami has a significant percentage of international buyers, generating more than double the cash transactions than the national average.

 

Source: NuWire Investor

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