Banks releasing more distressed real estate in Miami market

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July 21, 2010 – While the majority of the country is experiencing a slowdown in real estate activity, Miami is defying the nation as the sale of existing condos, townhouses and single family residences, continues to increase.

During the first and second quarter of 2010, there was a total of 11,719 properties sold, which represents a 16.7 percent increase over the same period in 2009. In addition to the increase in the sales of existing homes, a recent study published by Condo Vultures stated that “an average of nearly 500 new condos traded per month in Greater Downtown Miami between April and June 2010, representing a 105 percent increase compared to the 241 units per month average in second quarter of 2009.”

Another important factor to pay attention to is the fact that the number of properties being taken back by banks has dramatically increased since the beginning of the year. Therefore, as depicted in the graph below, the banks are now under pressure to release more of their distressed inventory onto the open market -

So will this result in further pressure on prices, and in turn, damper the demand for Miami real estate? That is the question that many are asking right now, and so much so, that I fear that investors may return to the sidelines.

At least for the moment, my experience on the ground tells me otherwise. We are witnessing as many, if not more cash bids, on bank owned “REO” properties.

Are you looking for a Miami or Miami Beach investment property at a deep discount? Are you looking for a discounted short sale or bank owned property? Do you need a professional property manager for your investment property? Ross Milroy of Miami Angel Properties, LLC may be reached at 305-673-5300 or info@miamiangelproperties.com.

* The data used to generate this chart/data is gathered from the Southeast Florida Multiple Listing Service (“MLS”) and the Miami Dade Clerk of the Courts. The data in the MLS is deemed reliable but not guaranteed. This data is for January through June 2010 for single family homes, unless otherwise indicated as condominiums/town homes. The number of listings are the actual bank owned or “REO” single family or condos/townhouses that were published in the MLS as of the date of this post.

July 21, 2010 by Ross · Leave a Comment

Banks and Investors show confidence in Miami Beach real estate

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Since the onset of public auctions moving to an online platform and opening up to global investors earlier this year, we have witnessed a number of changes to the old system of bidding in person at the Clerk of the Court’s office in Miami-Dade County.

The result? Substantially more properties are transferring ownership at public auction and we are witnessing some impressive all cash bids.

First, the number of bidders has changed dramatically. In the past, there would be less then 10 serious bidders at the auction, with up to 20 players on a busy day. Now, there are hundreds of “virtual bidders” bidding against each other from all corners of the globe.

Second, the bank’s representatives provided bidders with just a handful of reserve prices prior to the auction, perhaps less then 10 percent of those properties on the schedule. Now, banks are able to place their reserve price on each property up for auction in advance.

Third, the number of properties that would actually auction off has increased substantially as the online bidding system pushes them through in the thousands instead of the hundreds. For example, in November 2009, a total of 1,043 properties were sold at public auction, versus June 2010, when 4,010 properties were sold at auction via the online platform!

What does this all mean to the average investor? The banks are now having to repossess and place substantially more distressed or foreclosed Miami properties on their books. Therefore, we should expect what has been a trickle of bank foreclosures to increase to a more steady flow. Hopefully, this is going to be the motivation the banks need to diligently work at dealing with their bulging shadow inventories of foreclosed properties.

In addition to the above changes, we are also witnessing the banks having to outbid aggressive investors for certain properties, in particular, properties in high demand locations like Miami Beach. Let’s consider these two recent examples -

(1) 450 Alton Rd, Unit 1801, Miami Beach – This large condo is located in the popular Icon South Beach project in the South of Fifth neighborhood. On May 10, 2010, the property sold at auction to the bank holding the first mortgage for $1,500,100. Therefore, as bids are made in $100 increments, an investor had placed an all-cash bid as high as $1,500,000. This 4,303 SF property is now on the market with an asking price of $2.2 million. The former owner purchased the unit from the developer in June 2005 for $2,725,000.

(2) 6365 Collins Ave, Unit 3608, Miami Beach – An oceanfront 2 bedroom, 2 bathroom condo located in Akoya in mid Miami Beach, this corner unit sold at auction on March 1, 2010, for a price of $460,100. Therefore, an investor was willing to bid as high as $460,000, or $348 per SF, for this oceanfront unit. The bank REO property is on the market with an asking price of $580,000.

As these types of transactions are becoming more commonplace for certain Miami properties, sometimes I think that this supposed “Great Depression” is just an illusion. Not only are investors willing to aggressively bid for condos in Miami Beach at impressive numbers, but the banks are apparently just as, if not more bullish on our real estate.

July 9, 2010 by Ross · Leave a Comment

Miami Developer’s Push To Sell Discounted Luxury Condos

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During the past two years, we have experienced several new twists and turns in the Miami residential real estate market. In particular, the condo market which appeared doomed is now clawing its way back.

In spite of the fact that we have some of the most architecturally appealing and inspirational designed condo projects around the globe, with such unrealistic pricing, I have avoided most new projects like the plague. That is, until recent months.

It has taken massive legal bills, extensive negotiations between banks and developers, and some painful decisions by investors, but we are finally moving on from a holding pattern to selling the unsold inventory of luxury condos. The Icon Brickell is a perfect example, and with the handover from the original developer to the bank, the project is already pushing out inventory at attractive market prices.

Our focus these past few months, both as a company and full time professional in the business, has been on educating ourselves on several condo projects that are now attractively priced. The list includes the likes of the Marquis Miami, 900 Biscayne, Icon Brickell, Epic Miami, Capri South Beach, and the Caribbean Miami Beach.

I have looked at plenty of residential developments in my work and travels, both within the United States, as well as outside the country in Europe, Africa, the Middle East, Latin America, Asia and Australia. Yes, you have some incredible new developments in Dubai, Panama City and Shanghai. But when you combine the lifestyle, weather, events, cuisine, design, quality of life, safety, views, spas, value, beautiful ocean and beaches, there are very few places that compare to Miami.

So what, you may ask? Just more of the same realtor Miami spin? Well, then I invite you to come out and see for yourself. Following your property tour, you tell me if purchasing at $350 per square foot for a full service, luxury condominium in Miami is not an attractive proposition?

Are you looking for a Miami or Miami Beach property at a deep discount? Are you looking for a luxury condo at the Marquis Miami, Icon Brickell, Capri South Beach, Caribbean Miami Beach, Epic Miami or 900 Biscayne? Ross Milroy of Miami Angel Properties, LLC may be reached at 305-673-5300 or info@miamiangelproperties.com.

June 24, 2010 by Ross · Leave a Comment

Is Europe’s Debt Crisis Affecting Miami Real Estate?

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As concerns over Europe’s sovereign-debt crisis spread, the euro currency dropped to levels against the dollar not seen in four years. Many are wondering if this affected the Miami real estate market, in particular the areas where international buyers target, such as Miami Beach and downtown Miami.

Statistics show that if there is to be much fallout, that any damage remains to be seen.

Real estate, much like the equity markets these past two years, is also very much driven by the psychology or sentiment of investors. We are all looking for signs of improving economy with less shocks to the financial system, increasing confidence, lower unemployment, availability of financing, and subsequently a healthy real estate environment.

Unfortunately, with the plus 1,000 point drop in the Dow and fluid situation in European markets these past few weeks, we did lose a number of international clients. Then coupled with the typical slower months of May and June in Miami, it feels like we just fell off the rails.

Before you run-for-the-hills and think that the sky is falling on your head, we should pay attention to the facts. One of the best ways to gauge the market is to look at the available inventory AND pending home sales, which is a lagging demand indicator of what is in contract and yet to close.

According to the data provided by the Southeast Florida Multiple Listing Service, the inventory of properties for sale has been decreasing for the past several months, and the number of pending home sales continues to show steady growth as evidenced below -

These are good signs for our local real estate market and provide clear support that the overall environment continues to improve, albeit a slow and sometimes bumpy ride.

Are you looking for a Miami or Miami Beach investment property at a deep discount? Are you looking for a discounted short sale or bank owned property? Ross Milroy of Miami Angel Properties, LLC may be reached at 305-673-5300 or info@miamiangelproperties.com.

June 10, 2010 by Ross · Leave a Comment

South Beach vs. Brickell? Pricing Trends in Select Miami Condos

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While real estate buyers or investors have the tendency to focus on macro real estate data, they often ignore the micro side of the equation in condominium projects. Are monthly maintenance fees exhorbitant for the size of the building and amenities offered versus the competitive set? Are maintenance fees trending upwards? Have there been any recent major assessments or are any planned in the near future? What is the percentage of distressed sales out of all closed sales?

These are just a few of the many questions that you should be asking your realtor and considering in your investment decision.

When an appraiser determines the market value of a condominium, it is standard practice to obtain two closed sale comparables from within the condo project and one from outside the project. The most weight is given to the most similar recent comparables within the project. Therefore, in addition to learning about the real estate market in general, it is very important to determine the current pricing trends and distressed level of a condo project.

We analyzed the trends within several condominium projects located in the South Beach, Brickell and downtown Miami areas. The following summary is based on the data provided in the local MLS as of the date of this post – to review the more detailed version click here Beach vs Brickell.

Pricing / Distress Trends in select Miami Condo Projects - YR 2009 and YTD 2010

There are certain basic trends in a condo project that are just common sense. The higher the percentage of overall sales that are distressed sales (ie: short sales and foreclosures), the more pressure on pricing which results in price depreciation. Additionally, the lower the percentage of overall sales that are distressed, the less pressure on pricing, which may result in either price appreciation or stabilization.

While the above chart is not always consistent with this analogy, this is where a more macro view is important to consider as well. In properties that are less “affordable” in today’s market, or where the total monthly carrying costs including real estate property taxes and maintenance fees are considered high, there is continued macro pressure on pricing. This is particularly evident in the Floridian and Waverly condo projects.

There are also other trends to pay attention to when analyzing this data. In the Mirador and Club at Brickell Bay condo projects, for example, there is a clear move to the upside in pricing. Why?

At a certain price point buyers or investors will recognize the overall value of purchasing into a condo project, and once this is realized, it will have the affect on setting a floor and pricing may actually begin to turn around.

May 20, 2010 by Ross · Leave a Comment

Hidden Closing Costs in Short Sales

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Recently, I published an overview of what to look out for when purchasing a short sale titled Short Sale Cat and Mouse. There are many moving parts in a short sale, however, when dealing with a condominium or homeowners association pay particular attention to the payoff to the association.

If an owner or seller is behind on making their mortgage payments then they are most likely behind on paying their condo maintenance fees or homeowners association fees as well. So what does this mean for you they buyer? You need to learn as early as possible in the process, and preferably before your deposit becomes non-refundable, the breakdown of the fees to pay off the association.

Why? If the association is to approve you as the new buyer, or approve transfer of the property, then they will be looking to be paid at closing any and all outstanding maintenance fees, special assessments, late charges, penalties, or even legal fees to pursue to the delinquent owner.

In a short sale transaction, all parties to the transaction may have to take a hit and eat humble pie. The bank wants to minimize the damage, the seller and seller’s agent(s) are looking to pass on any fees to the bank and/or buyer, the association wants to be paid in full, and the buyer is looking to cut the best deal possible.

The bank will issue a short sale approval letter, which along with the purchase price and other details, it also lists the approved closing costs to all parties, including real estate commissions, title costs, payoffs to the association and/or second mortgage holder.

If the association has provided a payoff including all late fees, charges, special assessments, deferred interest, legal fees and other charges, and the bank is only willing to pay fifty percent of this total amount at closing, where does this leave you the buyer? It may leave you holding the bag to get the deal closed.

Therefore, it is in your interest as a purchaser of a property in a short sale transaction to pay particular interest to ALL payoffs and closing costs. In practically every short sale transaction that we have closed, we have always negotiated with a condo or homeowner’s association to reduce their total payoff amount.

Remember, you are the hero coming to save the day, so be prepared that the seller’s bank, seller, seller’s agent, condo association and other interested parties are all going to try and pick your pocket!

May 10, 2010 by Ross · Leave a Comment

Short Sale Cat and Mouse

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The Miami residential real estate market is now two years deep into this short sale debacle. Do you know what you are getting into when purchasing a property that is a short sale?

Although the U.S. Government has implemented several incentives and procedures to expedite short sales, closing a short sale transaction requires significant work, patience and extensive negotiations.

With so many moving parts, the game is constantly moving from one party to the next. It’s no wonder that there is so much fraud in the short sale space. Between real estate agents, sellers, mortgage servicing companies, mortgage investors, buyers, condo associations, title companies and attorneys, everyone is trying to get a leg up on each other.

My experience in having worked with several banks on short sale transactions has been extremely inconsistent. In general, the smaller local or regional banks are cooperative, more responsive and follow through, whereas the large national bank is a walking time bomb.

So where is this short sale cat and mouse game played out?

List Price – The property listing is advertised at an attractive price, and very often less than market value to generate buyer interest. The public looks at these listing prices and assumes that this is the real price. Unfortunately, the bank has to determine and approve the market price, and this may take several weeks to months.

Outstanding condominium association or maintenance fees – In most cases, if the seller is not paying their mortgage then they are not paying their monthly association fees either. As such, the bank will look to minimize the settlement costs and pass on as much of the closing costs to the buyer as possible. On the other hand, the seller may look to play bait and switch with you. Yes, they will accept the price offered, but you may end up having to pay all or a portion of their outstanding dues, fees and late charges.

Outstanding condominium special assessments – In order for the condo association to approve the transfer or sale of the unit, they will require ALL outstanding fees and assessments to be paid at closing. Herein lies so many unknowns, including default interest, late charges, attorneys fees etc. The bank wants to minimize the settlement costs and the condo association and their attorneys want to recoup as much as possible at closing as well.

Second mortgage lien holders – If there is a second mortgage in place, and very often it will be owned by a different investor to that of the first mortgage lien holder, the second lien has to be satisfied and released prior to closing. As such, the seller, first and second mortgage lien holder will have to negotiate an amicable settlement, if one may be reached at all.

Legally, the second lien holder cannot request the seller to pay any sum OUTSIDE of the closing to settle the debt. However, based on my experience, and as reported months ago by Diana Olick on CNBC.com, this is very often not the case.

Another common tactic is that the first or second mortgage lien holder comes in at the eleventh hour and requires the seller to sign a promissory note at closing. This is very often the case if the property that is being transferred is not the seller’s primary residence.

I have even experienced a bank that actually pulled a seller’s credit report prior to closing to see if they had ANY credit lines available. Fortunately for the seller, they had no available credit on any credit cards and were legitimately unemployed so we proceeded to closing.

Short sale negotiators or mitigators- If the seller hired a title company, short sale “mitigator” or attorney to process and negotiate the short sale, which is very common in the Miami market, they may attempt to pass on the fees to you the buyer. This is typically done in a very sneaky and roundabout fashion. It may not be disclosed to you upfront, as they claim it to be unknown at the time of contract, but any settlement charges to the seller, including title charges, transfer taxes, attorney’s fees, and outstanding real estate taxes and condo fees, are all included in the final equation.

It’s simple, when the bank issues a written approval of the short sale, they will dictate the total settlement charges that may be paid out of the seller’s side at closing. For example, the bank approves a purchase price of $175,000 and total settlement charges of $15,000, with a required net to the bank of $160,000 at closing. However, the actual settlement charges that the seller should pay is $20,000, so where is the additional $5,000 going to come from?

Property condition – If the property has any deferred maintenance or other issues, which party is going to be responsible for correcting these problems. Generally, the bank will require an “As-Is” contract, which will relieve them of any obligations to either credit you the cost to correct these issues at closing. So be prepared that if you plan to purchase a property that needs repairs, whether cosmetic, structural, plumbing, electrical or other issue, that the bank is not going to pick up the tab.

Real estate taxes- If the seller is in default on paying their annual real estate taxes then you need to pay attention to this factor as well. Outstanding real estate taxes, interest and late fees, can amount to several thousand dollars. In order for you to obtain free and clear title at closing, any and all outstanding real estate taxes have to be paid. As such, if the seller is also in default on their real estate taxes, be prepared that the bank will take this into consideration in the total “approved” settlement charges as well.

Short sales are not for the feint of heart. In Miami, they represent over 50 percent of all properties for sale. You need to be prepared and have all the facts before pulling the trigger.

March 20, 2010 by Ross · Leave a Comment

Shanghai’s Real Estate Exuberance mimicks Miami’s Boom

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Miami aka "Crane City" in 2007

Miami’s incredible real estate boom and subsequent bust during the past decade has many similarities with China’s current hyper-development.

Developers are touting the same old “lifestyle” story and a buying frenzy has taken over Shanghai. Just as buyers camped out for days to purchase condos at the Mirador in South Beach, so to are long waiting lists the norm in Shanghai’s new developments.

According to a recent article published in the New York Times “prices in Shanghai have risen more than 150 percent since 2003, pushing the price of a typical 1,100 square foot apartment up to $200,000.” This is painfully similar to Miami’s boom to bust in the past decade.

Real estate prices in Miami have been artificially inflated several times in our history. It was not that long ago that we experienced a massive boom during the years of that the “Cocaine Cowboys” in the 1980’s. As black market cash needed to be washed, new buildings sprouted up on Brickell Avenue and Miami Beach like mushrooms. The end result was that we had a glut of condominiums in the late eighties that would take several years to be absorbed and prices subsequently tanked.

The next wave that began just a few years ago labeled Miami as “Crane City.” Our skyline was literally dotted with construction cranes, and at one point, there were over fifty of them in downtown Miami alone. Developers touted living the “downtown Miami lifestyle.” Domestic and international buyers rushed in and bankers offered easy money to just about anyone. Developers hosted several introductory and opening parties to the public, champagne flowed, models danced on tables, real estate agents were dizzy with commissions, and everyone bought into the illusion of getting rich while living the new Miami lifestyle.

The problem was that no-one was paying attention to the local demographics and facts. Our “developer friendly” local government, which is the understatement of the decade, allowed developers to take over the city. The average annual income of a family in Miami is ridiculously low compared to the cost of living. For the average resident, annual incomes barely cover maintenance fees and real estate taxes to live in a one bedroom condo. Just as speculators bought into the illusion that real estate prices in five to seven years would be even higher in Miami, they are now repeating the same pattern in Shanghai.

The average income of a Shanghai resident is less than $5,000 per year. The average income of a Miami resident is less than $30,000 per year. You do the math.

March 8, 2010 by Ross · Leave a Comment

Miami Real Estate – January 2010

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Miami Real Estate Market Summary – January 2010

For the month of January 2010 versus December 2009, the total number of closed sales decreased to 233 in January 2010 from 384 in December 2009, which represents a decrease of 40 percent. The drop in closed sales is somewhat typical for this time of the year, in particular, with the banks looking to clean up their balance sheets before year end.

In the Miami Beach condominium market, we witnessed a positive turn in the tide in the less than $500,000 price range. The total number of distressed properties for sale, including bank owned foreclosures and short sales, continues to diminish and currently represents 28 percent of properties for sale. Additionally, the number of distressed properties that sold in January 2010 represented 39 percent of the total closed sales. These improving numbers are significantly less than in other areas of Miami and indicate that the condo market is stabilizing at the lower end in Miami Beach.

Conversely, in the downtown Miami / Brickell area, the number of distressed sales accounted for 60 percent of total sales in January 2010. This high percentage of distressed properties is consistent with the past years performance in the Brickell district and downtown Miami area. Unfortunately, due to such an extensive supply of new condominiums as well as a large number of foreclosures, this area will continue feel downward pressure on property values.

The luxury condo segment remains void of any significant number of short sales or bank owned foreclosures. However, there was a significant number of new listings of luxury condominiums in Miami Beach placed on the market in January 2010, in particular at the Murano Grande, Icon Miami Beach, Il Villagio and Continuum North [23 out of 27 new listings are developer units].

It is also important to note that the number of condos closing with financing is increasing. In the Brickell area, for example, almost 40 percent of new purchases were acquired with conventional financing in January. This trend is likely to increase as Fannie Mae recently provided “special approval designation” for several downtown Miami condominium projects, including Cite, Isola, Latitude on the River, NEO Vertika, and the Club at Brickell Bay.

January 2010 Featured Closed Sales:

6662 Windsor Lane, Miami Beach

This luxury single family residence is situated on La Gorce Island, a private island community in the mid Miami Beach area. This enormous home with almost 7,000 square feet of living area, four bedroom and five bathrooms, was listed for $2.99 million and sold for $2,665,000 to a cash buyer. The seller, Windsor Lane LLC, purchased the vacant lot in 1999 for $550,000 and developed the property in 2003. Based on recent comparable sales in this Miami Beach neighborhood, the buyers acquired the property at an attractive price of only $383 per square foot.

829 Medina Ave, Coral Gables

A 1,724 square foot home with three bedrooms and two bathroom that was originally built in 1947. Fully renovated with Brazilian cherry wood floors, new kitchen and appliances and several other upgrades, this property traded twice in the past three months. It was acquired at public auction for $214,000 in November 2009 and then immediately flipped by the investor to a cash buyer for $385,000 in January 2010. Prior to the purchase at auction, the former owner attempted to sell the property as a short sale for several months. Purchasing this fully renovated Coral Gables home at auction for $124 per square foot and then reselling the property within 90 days is a prime example of the opportunities in our market.

Are you looking for a Miami or Miami Beach property at a deep discount? Are you looking for a discounted short sale or bank owned property? Ross Milroy of Miami Angel Properties, LLC may be reached at 305-673-5300 or info@miamiangelproperties.com.

* The data used to generate this chart/data is gathered from the Southeast Florida Multiple Listing Service (“MLS”) and the Miami Dade Clerk of the Courts. The data in the MLS is deemed reliable but not guaranteed. This data is for January 2010 for single family homes, unless otherwise indicated as condominiums/town homes. The prices are the actual sales prices of all single family or condos/town homes that closed during the month of January 2010 and are published in the MLS as of the date of this post.

March 1, 2010 by Ross · Leave a Comment

South Beach’s Neighborhoods

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CLICK TO ENLARGE MAP

South Beach, an area no larger than three square miles, consists of several residential neighborhoods each with their own distinct style, charm, history and green space. The Flamingo Park area or Historic District, for example, consists mostly of boutique art deco buildings that were developed in the 1930’s and 1940’s. Whereas, the South of Fifth neighborhood, features most of the upscale, luxury condo projects in South Beach.

It is important to recognize is that the tourist areas of South Beach are generally separate from the residential neighborhoods. Additionally, the primary four residential areas, as indicated on the map, have several differences ranging from architecture, property size, and price, to the mix of permanent versus part time residents.

The four main residential neighborhoods of South Beach are best described as follows:

Cultural Arts District

The Collins Park neighborhood of South Beach, now referred to as “CANDO” or the Cultural Arts Neighborhood District Overlay, is an often neglected residential and arts district. This entire neighborhood, which includes the Miami City Ballet, Miami Beach Public Library, New World Symphony and Bass Musuem of Art, has undergone a complete transformation.

This area includes some of our finest examples of Miami Art Deco with historic buildings such as the Governor Hotel, designed by Henry Hohauser in 1937, and the former Princeton Hotel, which now houses the New World Symphony, which was designed by Siskelwicz in 1939.

Several of South Beaches hippest condo hotels and new residential developments are home to this district, including the new W Hotel South Beach and Residences, the Setai Hotel and Residences, Parc Place Residences and ArteCity Miami Beach, an upscale residential village with 202 condos, townhouses and junior suites.

Flamingo Park District

The Historic or Flamingo Park District of South Beach is bordered to the south by Fifth Street, to the north by the Miami Beach Convention Center, to the east by the beach, and to the west by Alton Road. This approximately one square mile district contains over 1,200 historic designated buildings that are either Art Deco or Spanish / Mediterranean.

The central attractions in this area include Flamingo Park, Espanola Way and Lincoln Road Mall. In general, properties located within close walking distance to the Lincoln Road Mall are higher in demand, and therefore, demand a premium in price or rent. Additionally, one has to recognize the implications of owning a condominium in an art deco or historic building.

Historic properties are protected, and as such, property owners or developers are severely restricted in making any changes to the external facade and other design features, such as terrazzo floors. Therefore, one has to keep in mind that while owning a historic property adds value as they cannot be duplicated, replaced or demolished, ownership does come with certain inherent redevelopment constraints and costs.

South of Fifth Neighborhood

As with many of Miami’s old neighborhoods, the South of Fifth “SoFi” neighborhood in Miami Beach enjoyed its heydays in the 1950’s. Miami Beach had a reputation as the “American Riviera” with its beaches, hotels, tropical weather, mobsters and star power. However, the area was ethnically divided with SoFi as home to a thriving, mostly Jewish community, while the areas to the north and even some hotels had little tolerance for diversity.

Then in the 1980’s an investor from Germany, Thomas Kramer, descended on South Beach and in a short time purchased over 11 acres of oceanfront property in the South of Fifth neighborhood. Over the following twenty years Kramer, along with Jorge Perez of the Related Group, developed some of the most successful luxury condo projects in Miami Beach. These luxury developments included the Apogee, Icon South Beach, Murano at Portofino, Murano Grande, Portofino Tower, Continuum North, Continuum South, and the Yacht Club at Portofino.

In recent years the South of Fifth neighborhood developed the reputation as the most exclusive area to own and live in South Beach. Even during this challenging real estate market, it is not uncommon for luxury condominiums to trade at prices over $1,200 per square foot, or over $110 per square meter.

West Avenue Area

The West Avenue area comprises of several mid to high rise condominium buildings that face Biscayne Bay and downtown Miami. Although this area was partially developed during the early years of development in South Beach, the majority of the buildings were developed from the 1960’s onwards.

In general, full time residents reside in the West Avenue area, and this is also a very successful area for investment properties. There are several condo projects located on West Avenue, including the Mirador, Waverly, Bentley Bay, Floridian and Flamingo, that are favored by renters in the South Beach market.

West Avenue is easily accessed from downtown Miami via I-395 or the Venetian Causeway. It is also close to several supermarkets, stores and restaurants, as well as within walking distance of the Lincoln Road Mall and Flamingo Park.

February 15, 2010 by Ross · Leave a Comment