Category Archives: Continuum North

Miami Beach Real Estate: 2012 South of Fifth Condo Stats

What a year it’s been. Sorry for the lag on this report.

Miami Beach real estate, Continuum South Beach, South Beach real estate

2012 was a crazy time for Miami luxury real estate, homes and condos alike. In 2011, this South of Fifth (SoFi) condo index added a new luxury building, Ocean House, an ultra-posh, low-rise, 28-unit property in the completely renovated Walburne Hotel. It’s located at 125 Ocean Drive and was originally built in 1946.

The South of Fifth condo index is comprised of ten buildings, including Ocean House: Apogee, Continuum North, Continuum South, ICON South Beach, Murano at Portofino, Murano Grande, Portofino Tower, South Pointe Tower and Yacht Club at Portofino.

 

Number of Miami Beach Condos Sold in 2012

Miami Beach real estate

 

2012 set a record for the number of Miami Beach luxury condos sold. 241 units were traded, up from 198 condos in 2011, which broke a record as well. Here’s how the last five years look:

  • 2012: 241
  • 2011: 198
  • 2010: 149
  • 2009: 129 (nadir)
  • 2008: 153

 

South of Fifth Condos: Average Days on Market in 2012

Miami Beach Condos. Days on market 2012

As a Miami Beach Realtor for 20 years +/-, my thought is that unless a property is really special in some way, good or bad (floor plan, location, condition, etc.), if it shows well and is priced right, there is really no reason for it to be on the market more than 120 days.

Buildings such as Murano Grande have come back very strong from an oversupply of units – in this case, practically since the building was finished in 2003. The backstory on Murano Grande is that it’s a perfect example of the condo investor frenzy in Miami. The condos sold out very quickly… all to investors. When the building went to close on the units, almost every one was put back on the market as a resale. That’s pretty hard to snap back from.

Further hampering the absorption, the Miami Beach real estate market started to downturn in 2005. Up until now, Murano Grande has always had an oversupply of units. Then in 2008, the financial crisis came. As of today, there are only 14 units available for sale at Murano Grande, which is about 5% of the building. I’ve mentioned before that a balanced market (neither a buyers’ nor sellers’ market) happens when about 10% of the total number of units in a building are for sale. So for the first time in ten years, Murano Grande is enjoying a sellers’ market.

 

South Beach – SoFi Condos:
Average 2012 List Price / Sale Price

Miami Beach and South Beach real estat

 

CONDO 2010 2011 2012
Apogee $1,303 $1,779 $2,080
Continuum South $832 $1,081 $1,331
Continuum North $1,009 $1,157 $1,254
ICON South Beach $510 $615 $816
Murano at Portofino $756 $761 $863
Murano Grande $573 $548 $641
Ocean House N/A N/A $1,272
Portofino Tower $567 $590 $741
South Pointe Tower $580 $582 $624
Yacht Club $452 $502 $575

 

I could do a compare and contrast analysis, but I believe the trend is pretty clear. I’m a numbers guy, so I’m going to let the data speak for itself.

What’s interesting about 2012 is the extraordinary number of ultra-luxury, mega real estate sales:

 

Sale Price Date
ICON South Beach PH 2 $20,963,054 12/31/2012
Apogee #1504 $10,500,000 12/27/2012
Continuum North PH 2 $11,152,500 12/27/2012
Continuum South PH 3 $15,750,000 6/12/2012
Continuum South PH 1 $25,000,000 5/18/2012
Continuum North PH 1 $16,200,000 2/17/2012

 

Miami Beach Condo Sales Volume Skyrockets

  • 2012 – $513,282,638
  • 2011 – $333,517,200
  • 2010 – $231,130,331
  • 2009 – $215,988,310
  • 2008 – $243,668,138

Inventory is at an all-time low, and buyers are just hovering. It’s unnerving, actually. Miami Beach has already had a few huge, record-breaking sales in 2013. I will cover those in my next post.

Related Reading:

The Quick-Change Artist [The New York Times]

Stratosphere: 2012 Miami Beach Waterfront Real Estate Sales Soar to Heights Unseen-UPDATED [SBCB]

Miami Beach Real Estate: 2011 South Beach-South of Fifth Condo Market Index [SBCB]

Miami Beach Real Estate: 2011 South Beach-South of Fifth Condo Market Index

I know, I know. I’m sorry. It’s time for mid-year stats, and here I am just getting to last year’s analysis! It’s been crazy, crazy, crazy here.

Continuum South Beach

“The Music Started Playing Again” – Peter Zalewski

Last year was totally nuts. I could write a lot in hindsight, but that wouldn’t really be fair, so I’ll just give you the Miami Beach condo stats for luxury real estate in the South of Fifth (SoFi) neighborhood. I’ll also do some analysis, and compare and contrast numbers from prior years.

This Miami Beach real estate index is comprised of nine (soon to be 10) buildings in the SoFi neighborhood of South Beach. The index is very stable and is also a good representation of the luxury condo market in Miami Beach for the following reasons:

1. The condos are all in the same neighborhood.

2. They were all built during the same period (1998-2008).

3. They are all waterfront properties.

Miami Beach luxury condos

So, here’s how 2011 fared. As I provide the info, I realize that I have yet to see this analysis elsewhere (whew!) and am quite surprised by the numbers.

Number of Miami Beach Condos Sold

2008: 153

2009: 129 (bottom of the market for Miami Beach)

2010: 149

2011: 198

In terms of number of units sold in 2011, we are up 33% from 2010 and 53% from 2009 (market bottom)!

south beach real estate condo statistics

Usually this is the most boring chart of the analysis. Not this time. Continuum North and Continuum South are nailing it. Inventory is at an all-time low, and units are selling very quickly. The Days on Market (DOM) for both Continuum North and South are way down.

In 2010, the DOM for Continuum South was 242 and Continuum North was 252. Additionally, Portofino Tower, which had been lagging, has moved some units (2010: seven units sold; 2011: 19 units sold), and DOM has dropped DRAMATICALLY from 284 to 139! BAM!

Apogee South Beach: $PSF Up 37% Y-O-Y

Luxury South Beach condos

Below you have 2010’s average SOLD $PSF vs. 2011’s. The information reflects what the market at large is saying:  the biggest gains are in the ultra-luxury niche. The $PSF at Apogee is up 37%. Other notable movement: Continuum South is up 30%, and Continuum North is up 15%.

CONDO 2010 2011
APOGEE $1,303 $1,779
Continuum South $832 $1,081
Continuum North $1,009 $1,157
ICON South Beach $510 $615
Murano at Portofino $756 $761
Murano Grande $573 $548
Portofino Tower $567 $590
South Pointe Tower $580 $582
Yacht Club $452 $502

 

Here is a Video from CNBC’s Diana Olick from March

(I know, not fair… but it’s my blog)

That’s it. I’m done. I’m sorry it took so long. Even six months later, I was surprised by the insight I gained writing this post.

Related Reading:

Super-Flip: Apogee South Beach Penthouse Re-listed for $13.5M MORE Than $11.5M Paid. South Beach Penthouse Report

The Apogee Penthouse, 800 S. Pointe Drive, PH #A, has been listed almost a year to the day of last year’s purchase for an astounding $25,000,000.

From my knowledge of being the original listing agent, and the pictures on the MLS,  the owner has not improved the property from when it was purchased.  Um, ok.

Follow the travails of this Apogee Penthouse here:

*Update*  I never just do a basic, simple post.  I tried to get away with it tonight, but my “content integrity” radar conscience wouldn’t let me just “post and run.”

Miami Beach Penthouse Report

The Miami Beach real estate market is FLOODED with luxury Penthouses like NEVER before.  There are about 20 to 22 units in South Beach that could command the title of a true Penthouse.  There are 15 Penthouses on the market for a total list price of $234,109,000.

 

  • Two of the three penthouses at Continuum South AND #3603 (which qualifies as one of the most important pieces of real estate on Miami Beach) are on the market.
#3603 – $35M
#PH 2 – $35M
#PH 3 – $19.5M
List price total: $89,500,000 (zeros used for emphasis).  O.M.G.

 

#4003 – $6.495M
#4005 – $7.9M
#4006 – $4.5M
#PH 1 – $11.75M

 

  • South Pointe Tower, 400 S. Pointe Drive, has #2408 on the market for $3.899M
  • List price total: $33,900,000
Zipping north and back east over to the ocean to 1500 Ocean Drive, 1500 Ocean Drive has a monster of a Penthouse listed for $25,000,000.

 

Leaving South Beach and heading north to The Bath Club for a special offering, though not a Penthouse, it is unique, much like #3603 in Continuum South.  The Bath Club, 5959 Collins Avenue, Villa #3006 for $7,700,000 makes the cut because of the rarity of such a product.  In Miami-Dade County, we do not have oceanfront homes, except for the few in Golden Beach at the Miami-Dade/Broward County line, so as one of only six direct oceanfront villas in Miami Beach proper, this is special and deserves inclusion.

 

Kevin Tomlinson’s (me) analysis:
  • Best real estate:  Continuum South Beach #3603
  • Best all-around:  Continuum South Beach #PH 3
  • Best floor plan:  ICON South Beach #PH 1.  This PH has a “wow” factor in its DNA. Jaw-dropper AND good floor plan.
  • Best outdoor/rooftop space: 1500 Ocean Drive #T1.  Since 1500 Ocean Drive is only a 16-story bulding, the rooftop is actually usable and is stunningly designed.
  • Best value:  ICON South Beach #PH 1.  “Moderately” priced at just under $1800 PSF, this Penthouse has its own private rooftop pool, private parking garage spaces for up to seven cars and a separate two-bedroom guest/staff apartment on the same floor.
  • Which Penthouse would Kevin buy?  If available, Apogee #PH C — but it’s not, so I must get over it.  It is truly a toss-up between Continuum #PH 3 and ICON South Beach #PH 1.  #PH 3 is so elegant and luxe, but ICON #PH 1 is “WOW” for much less dough and much more real estate.  It just has the drawback of being in a building that can’t *easily* command a $15M unit.  Unit prices in ICON start in the $600k range.  When Apogee #PH C comes to market, I’ll tell you why I know it truly is one of the “Top Ten” pieces of real estate south of New York City.
Dream, Buy:
Check out all our luxury $5M+ condos available in Miami Beach

 

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Miami Beach Condos: Mid-Year Luxury South Beach Condo Market Report

Miami Beach Real Estate Roars Back

Apogee South Beach

I knew this was a really good year, but it wasn’t until I started to pull the stats that I realized HOW good a year it’s been – and continues to be.  We regularly track nine condos in South Beach’s South of Fifth (SoFi) neighborhood for a few reasons:

  • Location
  • Types of buildings
  • Buyer profile

These to me are the most important factors for really gauging the luxury condo market here in Miami Beach.

South Beach-South of Fifth Condos We Track

“I Have a Friend, and He Told Me…”

I’ve had many (oodles) clients during the last few years who wanted “deals.”  Of course, because I do these stats regularly, I know the numbers in my sleep.  (For the record, I’ve encouraged them ALL to pull the trigger.)  I’ve had to explain, ad nauseam, that Miami proper is NOT Miami Beach/South Beach.  I would liken Miami proper to Los Angeles and the Miami Beach/South Beach luxury condo market to, say, Beverly Hills.

You Want a “Deal?” It May Be Too Late.

Some bought, some didn’t.  It was ALWAYS their choice.  I must admit, I do get a certain sense of satisfaction knowing that my clients are making smart moves.

Okay… on to the stats.

Number of Miami Beach/South Beach Condos Sold

  • 2008: 153
  • 2009: 129
  • 2010: 149
  • 2011: 128 thru June 30

South Beach real estate condo market

A few notes on the graph above.  The Apogee Penthouse closed in Q2 for $11.5M.  I thought it was a very unremarkable price for the property, but I’ll leave it at that.  Apogee South Beach tends to sell in waves.  One wave was May-July of 2010.  The last wave started in March 2011.  The current all-time high PPSF sold is Apogee unit #1404 at $1,769.  I’m particularly proud of this because #1404 was my listing.  The penthouse sold for $1,678/SF.  Ahem.

Continuum South has really impressed this year with 17 sales, and unit #3603/04 traded for $10.576M for a PPSF of $1,643!

Well, it’s clear that we are on track to get back to pre-2008 numbers.  Madoff and that whole economic “bizness” affected SoFi, and Miami Beach luxury real estate in general, more than that “other” stuff (sub-prime loans, jobs losses, etc.).

The Miami Beach/South Beach real estate market is a cash market.  There were a few peeps who had to do a short sale or foreclosure, but those deals were the exception, not the rule.  I would venture to guess that 80% of the 2,000+ units in this index were purchased with cash. (I’m so not doing THAT research.)

Most Expensive Condo for Sale in Miami Beach

Average Days on Market [DOM]

2008: 148

2009: 188

2010: 193

2011: 161 thru June 30th

Wow. Wow. Wow.  A market is considered “normal” when approximately 10% of its total inventory is available for sale at any given time.  It is definitely a sellers’ market.  Continuum North has fairly substantial inventory available because the developer held back and dumped about 40 units on the market at one time.  Although it seems like there are plenty of units left in this condo — the oceanside of the building is basically sold out.  Now, let’s take a look at available units in the rest of the South of Fifth buildings:  all hover around 5% of inventory.  That’s nothing.

Miami Beach real estate

Apogee is clearly the most expensive condominium in South Florida on a PPSF basis.  In six months, the average PPSF rose from $1,303 to $1,659.  All buildings are enjoying a nice increase in PPSF from 2010’s numbers.  I’ll end my post with one little nugget: low inventory and high demand only mean ONE thing.  Draw your own conclusions.

Related Reading:

Search Miami Beach Condos Here

Miami Beach Real Estate: 2010 South Beach Condo Market Index

This Miami Beach real estate condo index is comprised of nine luxury waterfront high-rise condos in the chic South of Fifth neighborhood in South Beach:  Apogee South Beach , Continuum North (or 2),  Continuum South( or 1), Portofino Tower, South Pointe Tower, Murano at Portofino, Yacht Club at Portofino, Murano Grande, and ICON South Beach.

Number of condo sales:

  • 2010: 149
  • 2009: 129
  • 2008: 153

Luxury Condo Statistics for Condos in the SoFi Neighborhood of South Beach

Luxury Miami Beach condo statistics

http://farm6.static.flickr.com/5018/5488084498_52f925fd02_z.jpg

Days of Market [DOM] was 193 for the nine condos in the index.  In 2009:  188;  2008:  148.  2010 was a pretty bland year.  The number of sales and $/psf  is pretty stable.

Miami Beach Luxury Condo Statistics for South Beach

I’m going to go out on a limb and rate these condos as “healthy.”  A “normal” market is considered to be approximately 10% of the total number of units in the condo could be on the market for sale at any given time.  Continuum North has higher inventory because the developer put approximately 40 units on the market during 2010.  Currently the developer owns about 30 units which are all rented.  Portofino Tower has been the poor performer for a few reasons:

  • It’s the oldest of the “newer” luxury buildings and a tad dated
  • It is not on the ocean or bay
  • The buyer profile for a SoFi condo wants new and chic.  They are not necessarily looking for “deals”

With all that being said, I think Portofino is the BEST value to be in this expensive neighborhood.  Portofino is known for their excellent floor plans and views.  Financially speaking, the building runs like a top and maintenance is about $.70 PSF (about half of what the other condos in the neighborhood charge) and has never, to my knowledge, had a special assessment.

Apogee, South Beach condo inventory for sale

Ok.  Apogee South Beach continues to be the BMOC with average $/PSF of $1303.  Continuum North comes in 2nd at $1009 PSF.   Here is a quick and dirty of 2009 vs 2010:

Building 2009 2010
Apogee $1249 $1303
Continuum S $839 $832
Continuum N $833 $1009
ICON $523 $510
Murano $817 $756
Murano Grande $516 $573
Portofino $498 $567
S. Pointe Tower $529 $580
Yacht Club $473 $452

Related Reading:

Search Miami Beach real estate here

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Miami Beach Real Estate: A Six-Year Retrospective of the Miami Beach Condo Market

I haven’t been around much lately; the reason for that will become apparent very soon. In the meantime, this post was inspired by an email from a consumer who wants to buy a Miami Beach condo and asked me for some insight. Since I didn’t readily know the answer to the question (and I usually do), I figured it was time to bury myself in some stats.

Fun with Graphs (Lots and Lots of Them)

After punching up all these graphs, I was a little surprised to see where we’ve been in relationship to where we are now. In this post, I’ll review the inventory of available Miami Beach condos, as well as the average price per square foot (PPSF) and the luxury condo market over $2M.

Six-Year Snapshot of Miami Beach Condo Inventory: All Ranges

Miami Beach Condo Inventory

The graph above shows that the market peaked in 4/05, when the number of condos for sale was the lowest (911) and the number of condos sold was the highest (249). At that time, there were only 3.7 months of condo inventory available, which represents a strong sellers’ market. A real estate market is considered balanced when six to nine months of inventory is available.

Inventory peaked in 7/07, with almost 4,000 units on the market. The sales low-point was between late 2007 and early 2008, with only 70 units sold in 1/08. Currently, there are 2,751 condos for sale in Miami Beach.

Miami Beach Condos: Months of Inventory

Miami Beach Condos Months of Inventory

Months of Inventory is used to indicate or assess how long it would take to sell all existing condos on the market, assuming the rate of sales stays constant and no new listings are added. Again, the market is considered balanced when six to nine months of inventory is available. In 1/08, there were 56 months of Miami Beach condo inventory available based on closed sales. Today, we are clearly still in a buyers’ market with 17.1 months of inventory available.

Miami Beach Condos:  Tracking Average Price per Square Foot

Miami Beach condos price per sq. ft.

This graph is kind of boring. Not much can be gleaned from it in my opinion, but some people love it.  I don’t like it because it represents an average. Miami Beach condo inventory swings from one end of the spectrum to the other.

Say you are interested in buying a condo at Apogee South Beach and want to use this chart as a guide. Waste of time. It includes all condos, all price ranges and distressed sales (short sales and bank-owned real estate).

One interesting nugget of info seems to be that the average PPSF peaked in 4/08 at $679. Weird. Today, the average PPSF is $463, which puts us just about at the 4/05 price level ($464).

Average Price per Square Foot for a Miami Beach Condo:  Excluding Distressed Sales (bank-owned and short sales)

I know these numbers are spot-on because the average PPSF in 4/05 and 4/08 is the same in this chart as it is in the previous chart ($464 and $679 respectively). The effect of distressed sales begins to reveal itself in 1/09 through today. The current average PPSF (w/o non-distressed sales) is $659.  That is almost a $200 PPSF difference.  Moving right along to my favorite niche…

Luxury Miami Beach Condos: Six-Year Retrospective – $2M+

Luxury Miami Beach condo statistics

This chart is pretty self-explanatory. Inventory peaked in 1/09 with 228 Miami Beach condos for sale OVER $2,000,000. Currently, there are 162 units on the market at this price point. One note about this graph: Apogee and Continuum North were not built until 2008.

Average Price per Square Foot: Miami Beach Luxury Condos

Interesting to note here that the average PPSF for luxury Miami Beach condos peaked right around the same time as the under $2M condos. The numbers here are up and down, but the average PPSF is currently at $1,138 in the luxury sector. The numbers are elevated because a few high-priced condos at Setai, One Bal Harbour and Fontainebleau II closed in the last month or so.

Miami Beach Luxury Condos: Months of Inventory

Miami Beach real estate luxury condo inventory

Eeeh. Some sharp peaks, but overall it looks as though things are headed in the right direction for the $2M+ condo market.  Currently, there are 24 months of inventory at the high end, and clearly that’s not good, but all the really good, prime units in A+ buildings are sold. I think the luxury condo market bottomed out last summer. Deals, really good ones, on really good apartments, have been had. Those days, my friends, are gone.

Before I wrap this all up, I found one more chart that is really eye-opening to me. Probably the best one of them all:

Miami Beach Distressed Condo Sales Statistics: Under $500k

Miami Beach Distressed Condo Statistics

  • 2,751 condos on the market in Miami Beach
  • 640 or 23.3% are distressed sales
  • 585 of the 640 are under $500k (see chart above)

Well, Kevin, What’s Going to Happen Here?

Since my crystal ball, along with everyone else’s Mercedes, is in the shop…

I think that for Miami Beach, clearly, the worst is over. The market has bifurcated. It’s either you are over or under $500k. Period. But, now more than ever, real estate fundamentals, along with your objectives, should be the things that guide you most as you meander through the real estate landscape. Obviously, the best units in the best buildings in the best locations are no-brainers. If you are looking in the under $500k range, there are still going to be some good buys for the foreseeable future. As you can see in the chart above, the inventory of distressed properties is still coming to market at a fairly steady rate, and I don’t see any signs of that inventory drying up anytime soon.

Related Reading

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