In my last post on real estate statistics for Miami Beach condos in South Beach, A LOT was revealed by comparing 2007 to 2008 data for condos in the South of 5th / SoFi neighborhood. And now, here’s more information from the Southeast Florida Regional MLS that indicates this area has performed amazingly, especially considering the market.
In the stats below, you’ll notice two sets of numbers for 2008. The first set shows the year-over-year increase in sales and condo transactions for the same eight SoFi properties. The second set reflects the addition of two buildings opened in 2008 (Continuum North and Apogee South Beach) that weren’t part of the 07 South Beach-South of 5th condo index. That index is now comprised of ten luxury, waterfront high-rises.
I believe that, even without the two new buildings, a high percentage of 2008 buyers would likely have purchased a condo in one of the other SoFi buildings. With this in mind, I consider the second set of stats a truer reflection of the overall activity last year in this South Beach neighborhood.
2007-2008 Sales Volume for South Beach-SoFi Condos
- 2007: $171,743,350 – eight South of 5th condos
- 2008: $177,844,388 – same eight condos / 3.6% increase
- 2008: $243,668,138 - two new condos makes ten / 41.9% increase
2007-2008 Number of Transactions for South Beach-SoFi Condos
- 2007: 106 – eight South of 5th condos
- 2008: 131 – same eight condos / 23.6% increase
- 2008: 153 - ten condos / 44.3% increase
The increase in sales and number of units sold for the same eight South of 5th condos is surprising. But with the addition of Continuum North and Apogee South Beach, the respective 41.9% and 44.3% leap in total SoFi real estate activity is a big shock, at least to me.
2007-2008 Average Price Per Unit for a South Beach-SoFi Condo
- 2007: $1,620,000
- 2008: $1,582,261 / 2.3% decrease
It isn’t a surprise that the average price per unit or dollar per square foot went down, but the fact that it decreased 2.3% could stun many – even some local agents. Miami Beach real estate has suffered like every other market, but South Beach’s SoFi neighborhood has weathered the storm handily. I’m unsure, though, about what may be on the horizon as the current supply clearly outweighs the demand.
SoFi’s success has not been random, but to avoid fueling the high winds of the low economy, it’s better to stick to facts than emotions.