Category Archives: Indian Creek Island

2014 Miami Beach Luxury Waterfront Real Estate Sales – Prices Surge on Low Inventory and 2015 Predictions

It feels good to be back. This stuff is in my blood. I focus on a very specific niche of Miami luxury real estate: Miami Beach and Indian Creek luxury real estate. This market takes me from South Beach to the three pill-shaped islands — Star, Palm and Hibiscus Islands:
Miami Beach Waterfront Estates

  • Venetian Islands
  • North Bay Road (lower, middle, upper)
  • Sunset Islands
  • Mid-beach waterfront
  • Pinetree & Flamingo
  • La Gorce Island
  • Allison Island (residential side)
  • Indian Creek Island

I don’t include Normandy Village or the town of Surfside in waterfront real estate sales, as these areas represent “starter waterfront” and really aren’t considered an option for “UHNWI” (ultra-high-net-worth individuals).

Where to start? 2014 was pretty much more of the same. Very strong year with 81 home sales. We are still dealing with a lack of inventory in the Miami Beach single family home sector. How can I tell? Well, the year-over-year sales price per square foot jumped 16% in 2014 to $1,126. Days on market decreased from 241 in 2013 to 193 last year. Here’s an analysis of how sales price per square foot has shifted over the last five years or so.

Miami Beach and Indian Creek Island Waterfront Sales – Residential Homes and Vacant Land/Knock-downs

YEAR SALES VOLUME # OF SALES $PSF AVG PRICE PER HOME # OF LOT SALES $PSF LOTS-KNOCK-DOWNS SALES VOLUME/LOTS
2014 $556,608,650 81 $1,125 $6,763,530 25 $339 $181,555,000
2013 $520,037,050 90 $946 $5,778,440 11 $285 $75,105,000
2012 $602,818,300 99 $887 $6,089,073 10 $211 $96,495,000
2011 $351,263,033 75 $769 $4,683,507 N/A N/A N/A
2010 $226,854,000 53 $710 $4,280,264 N/A N/A N/A
2009 $169,331,447 42 $702 $4,031,701 N/A N/A N/A
2008 $245,777,500 49 $934 $5,015,867 N/A N/A N/A

I have not tracked land sales prior to 2012 because the numbers were insignificant. But in the chart above, you can see how notable they’ve become over the last three years. I remember when land would sell for UNDER $100 per square foot just before 2012.

2015 Luxury Waterfront Home Sales in Miami Beach/Indian Creek Island – Estates and Land

2014 homes

The Ever-Increasing, Ferocious Desire for LAND

land 2014

Miami: The City of the Future

I love to drive. Yes, even in Miami traffic, I drive… on Collins Avenue, Biscayne Blvd and Wynwood… through Craig Robins’ masterful transformation of the Design District – which is becoming Miami’s Worth Avenue… and along the awe-inspiring swirls of concrete in Doral at the intersection of SR 826 and 836. No matter where I am, my mind is completely blown by the incredible amount of money being pumped into this city by the TRILLIONS.

Even after 20 years in the business, I am amazed by the number of chic, UBER-expensive condos being designed by the most important architects in the WORLD. We have at least 5 five- and six-star condos from Pritzker Prize-winning architects such as Richard Meier, Norman Foster, Rem Koolhaas, Herzog & de Meuron and Zaha Hadid – her first residential project in the Western Hemisphere.

There is no real estate bubble here. People just WANT Miami. It’s just as simple as that. I was further emboldened by Time magazine’s declaration in its December 2014 issue that land and condos in Miami will prove to be one of the four premium commodities of 2015.

My prediction this year for the Miami Beach real estate market is that 1) Inventory will continue to be scarce 2) Days on market will continue to drop, and 3) Price per square foot for homes and land is headed for another healthy bump.

Hey New York City – you’ve got a lot of ground to make up because Miami is on it.

Browse Miami Beach real estate here

Related Reading:

 

I’m Back! Miami Beach Real Estate: Single Family Waterfront Sales for 2013

I know, I know. I ‘ve been gone. Gone! But I’m back. In the year and a half I’ve been away, I’ve seen exactly ONE blog post from other sources that I consider great. Most of the stuff that gets pushed out to you is for reasons other than simply delivering useful info. I’m actually ready to write the 2014 waterfront statistics story, but before I do that, I feel I must do a 2013 stats report so today’s market can be fairly compared.

It would be pretty hard to top the “Great Land Grab” of 2012, where every Miami-Miami Beach real estate record in every sector was broken. And that’s basically what the current numbers prove.

Fleur De LisI find that every year has a story, a nuance that makes it unique. In 2012, Star Island and Indian Creek Island took the spotlight. The sales volume of both islands basically doubled from the year before.

Miami Beach Waterfront Home Sales Continue Fever Pitch in 2013

Reminder: This post discusses 2013 performance data. A review of 2014 will be out soon.

Throughout 2013, buyers of ultra-luxury properties still purchased with wild enthusiasm, but since the market was so hot in 2012, we were left with a low-inventory issue. When this happens, real estate looks to its tertiary market or pocket listings – listings that are active, but, for a variety of reasons, are not on the open market with a broker.

This happened in a big way in ’12 for Miami Beach. Of the 90 luxury waterfront home sales, 24 of them originated from pocket listings. That’s almost 27% of all transactions – a huge number.

2013 Miami Beach/Indian Creek Island Luxury Waterfront Sales

2013-house

Vacant Miami Beach Land Sales Skyrocket

With the availability of ultra-high-end homes lacking, investor focus shifted to ultra-prime vacant land or homes that could easily be knocked down. Eleven parcels traded in 2013, as opposed to ten in 2012. Sales price per square foot was $211 in 2012 and jumped to $285 in 2013.

Miami Beach Waterfront Sales – Vacant Land and Knock-Downs

2013 Vacant land parcels-knock downs
Check out Miami Beach real estate here.

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

Miami Beach Waterfront Real Estate Sales Break Records in Every Sector

Miami Beach Waterfront Sales 2012

I’m an information gatherer. I like doing these stats and market performance posts to better my understanding of the business, but in the last couple of years, it’s also been like witnessing something great – history – and getting to tell the story. This is not just a Miami Beach real estate renaissance or boom. It’s a solid upward trend.

Key Miami Beach Real Estate Factors

  • Location, Location, Location
  • Supply vs. Demand

I’ve been a real estate agent in Miami Beach for almost 20 years. When authoring this blog, I take special care to let the numbers do the talking, and then I provide the insight and analysis – which the numbers can’t do.

Miami Beach is a special place for all the obvious reasons. But the most important reason real estate-wise is that there is NO MORE Miami Beach land on which to build. I’ve been saying this to buyers and sellers for about the last five years, but now that reality seems to be sinking in – and to this I attribute “The Great Land Grab of 2012.” Miami Beach real estate transactions and prices have hit all-time highs.

Star Island and Indian Creek Village Take the Lead

During the last ten years, Miami Beach has become a luxury destination much like Jackson Hole or Aspen. In the years leading up to 2012, Star Island and Indian Creek Village were always known as the most prestigious neighborhoods in the area, but the true intrinsic worth of these enclaves wasn’t realized monetarily until last year.

The problem was that, for one reason or another, Star Island and Indian Creek Village never dazzled buyers like North Bay Road. For many years, North Bay Road was the most highly sought neighborhood for luxury Miami Beach waterfront real estate, by celebrities and others with the desire for wide-bay views.

Combined Star Island and Indian Creek Village Real Estate Transactions:

YEAR # OF SALES SALES VOLUME
2012 11 $208,880,000
2011 7 $97,827,500
2010 2 $16,555,000
2009 3 $31,000,000
2008 3 $22,150,000


Average Property Price on Star Island and Indian Creek Village:

  • 2012:  $18,989,090
  • 2011:  $13,975,400
  • 2010:  $8,277,500
  • 2009:  $10,333,333
  • 2008:  $7,383,333

Indian Creek Village Breaks Highest-Ever Sale Price – Twice

Prior to the two 2012 Indian Creek Village sales that broke all-time Miami Beach real estate records, the Leona Helmsley lots on Star Island, which sold in 2006 for $27M, was the biggest residential real estate transaction in the history of Miami-Dade and Broward counties. Then in March 2012, 14 Indian Creek sold for $37M, and last July, 3 Indian Creek sold for a staggering $47M.

Complete List of 2012 Miami Beach Luxury Waterfront Sales

Waterfront 2012 Miami Beach real estate luxury sales

What strikes me most is the incredible number of waterfront sales in 2012; we broke another record here with 99 transactions. That’s insane! We also smashed a record with our highest sales volume ever: $602,818,300 – that equals $6,089,073 for the average Miami Beach waterfront home. Talk about stratosphere!

Miami Beach Waterfront Sales Statistics 2008-2012

YEAR SALES VOLUME # OF SALES $PSF AVG PRICE PER HOME # OF LOT SALES $PSF LOTS/KNOCKDOWNS
2012 $602,818,300 99 $887 $6,089,073
2011 $351,263,033 75 $769 $4,683,507
2010 $226,854,000 53 $710 $4,280,264
2009 $169,331,447 42 $702 $4,031,701
2008 $245,777,500 49 $934 $5,015,867

Since 2009, sales volume has increased 256%, and the number of sales has more than doubled. Compared to 2011, sales volume increased 72% last year, and the number of real estate transactions went up by 31% during the same period!

2012 Miami Beach and Indian Creek Land Sales

Miami Beach real estate waterfront land sales 2012 updated

I have never seen this chart so full in nearly two decades – and with these kinds of numbers! Additionally, there are a number of homes in the “Complete List of Sales” chart above that are slated for demolition and lot splits, or in the case of three parcels on North Bay Road (4666, 4682, 4700), unity of title.

UPDATE 1/12/2013: 2550 Bay Avenue, on Sunset Island II, was sold on 12/31/2012 for $20M. The sale is not yet updated in the tax rolls, but the Warranty Deed from the Miami-Dade County Clerk’s website is available.

The property is comprised of a 46,318-square-foot lot and an approximately 7,000-square-foot house. The new owners plan to demolish the house and build a new one. Ultimately, the buyer paid $432 per square foot for the property, which is an all-time high in terms of price paid per square foot for land (see chart above). The lot is probably one of the ten most important parcels in all of Miami-Dade County.

The buyer, Mr. Markert, is the CEO of Amerisave Mortgage and will be living next to Robert Toll, CEO of Toll Brothers, Inc. Mr. Toll bought his lot(s) in 2008 for $22.5M and paid the second highest price ever for Miami Beach land. The 84,000-square-foot lot is comprised of FIVE lots on the tip of Sunset Island II.

Grand Total

The grand total for homes and land purchased in Miami Beach and Indian Creek Village in 2012 is $699,313,300.

Sexiest Estate for Sale in Miami Beach

A-Rod’s modern estate on North Bay Road certainly fits the bill. It was party and celeb central during Art Basel. Thank God that’s over. This city will kill ya… party after party after party. The newly-built, modern estate was constructed in 2011 and commands a very prime piece of North Bay Road. Ask: $38M.

Related Reading:

Miami Beach Luxury Real Estate – Q3 Waterfront Stats: Ultra-Luxury INSANITY

A Rod $38M Miami Beach Manse

I really didn’t plan on doing a Q3 stats analysis of Miami Beach luxury waterfront homes, but with such incredible activity, especially in the ultra-high-end ($10M+) range, the stats are so out-of-control good that I just HAD to.

The big story of 2012 is the number of homes and parcels of land that sold in the $10M+ category and the velocity with which they moved. It seems that Miami, and Miami Beach in particular, is taking the wind out of our northern neighbor’s real estate sails: Palm Beach.

At the end of Q3, Miami Beach and Indian Creek Village had 13 sales in excess of $10M. Additionally, there were two transactions in Indian Creek Village that broke Miami-Dade County real estate sales records: 14 Indian Creek sold for $38.4M in March and was topped five months later by 3 Indian Creek at $47M.

Miami Beach & Indian Creek Village Residential Real Estate Sales: $10M+ thru 9/30/2012

YEAR # OF SALES SALES VOLUME
2012 13 $242,080,000
2011 10 $150,570,000
2010 5 $62,427,000
2009 1 $16,000,000
2008 5 $61,950,000

Prior to 2012’s record-breaking sales on Indian Creek Island, the biggest real estate deal in Miami-Dade County was three lots on Star Island that Robert Frost purchased from Leona Helmsley in 2006 for $27M. Helmsley, who was 75 at the time, bought in 1996 those five acres of land on the desirable west side of the island for $13M.

Star Island & Indian Creek Island Steal the Spotlight

The other notable story in Miami Beach luxury real estate is the unprecedented number of sales on Star Island and Indian Creek Island. Through 9/30/2012, there were 12 transactions on Star and Indian Creek islands combined. Prior total activity for these communities:

  • 2011 – 7 sales
  • 2010 – 2 sales
  • 2009 – 3 sales
  • 2008 – 3 sales

Luxury Miami Beach & Indian Creek Village Real Estate Sales thru 9/30/2012

Miami Beach waterfront real estate sales 2012

Waterfront Land Sales in Miami Beach & Indian Creek Village for Q3 2012

Miami Beach and Indian Creek Village Land Sales Q3 2012

Insights & Analysis thru Q3 2012

Since I’m wrapping up this post moments before the year-end stats come in, let’s act as if Q4 will be blah (which it won’t be; I’ve seen the numbers, so get ready!). Compare this data to prior years, and draw your own conclusions:

Miami Beach Luxury Waterfront Homes Sales: 2008-2012 (Q3)

YEAR SALES VOLUME # OF SALES $PSF
2012 $481,114,700 71 $915
2011 $351,263,033 75 $769
2010 $226,854,000 53 $710
2009 $169,331,447 42 $702
2008 $245,777,500 49 $934

So far, $PSF is up 19% from 2011. We are just about at 2008 pre-crash prices, BUT at double the 2008 activity level (wink, wink).

Related Reading:

Check out Miami Beach Ultra-Luxury Homes For Sale | Content by

_

 

BREAKING NEWS: 3 Indian Creek Drive, Indian Creek Island, Closes for Record $47M

 

Miami Beach Real Estate: Indian Creek Island Estate Closes. Trumps Last Record Sale of $38.4M in March by $8.6M

 

Indian Creek Village, 3 Indian Creek Record SaleOriginally offered for $52M in 2007 and listed as high as $60M in 2010, the 30,000 SF modern manse at 3 Indian Creek Island in Miami Beach closed today — smashing all records — for $47M.

The home is sited on an 80,000 SF lot.  Indian Creek Island has been THE hotbed of ultra-high-end real estate sales in Miami of late.

 

View the Manse at 3 Indian Creek Drive in Miami Beach

Related Reading: 

Miami Beach Luxury Real Estate: 2012 Mid-Year Waterfront Stats and So Much More [Updated] [SBCB]

Celebrity Real Estate-On Last Day of Show Rosie O’Donnell Lists Star Island Manse in Miami [SBCB]

CRAZY: Miami Beach Luxury Waterfront Real Estate Sales Surge More than 41% in 2011 [SBCB]

Miami Beach Luxury Real Estate: 2012 Mid-Year Waterfront Stats and So Much More [Updated]

So last year at this time I proclaimed, “Miami Beach Luxury Real Estate is Back… and in a Big Way!”

When I made that statement, I had no idea what was to come. The stats I’m putting out today completely blow everything away — everything ever. Miami Beach luxury real estate has gone to the NEXT LEVEL.

Let’s take a quick look back. When I got into real estate in the mid-90s, a $3-5M transaction was a BIG DEAL. And, even though Star Island, Indian Creek Island (Village, technically) and La Gorce Island have always been prestigious, expensive and the creme de la creme, they’ve never enjoyed the desirability that they do now. As an example, below are the waterfront sales (including lots) for each island from 2007 through 2009:

Island 2007 2008 2009
Indian Creek 3 2 2
La Gorce 2 0 2
Star Island 0 0 1

Nothing exciting. I think the real estate activity on the islands, for as “important” as they are, has been lackluster. Historically, buyers have not been that excited about these enclaves. From 2007 to 2009, all the big Miami Beach real estate sales went to North Bay Road. All the celebrities and CEOs, etc., gave up the prestige and security of these islands for two reasons: 1) They love the open, wide-bay views that North Bay Road offers, and: 2) Location. Star Island is just off the mainland, so if the causeway is backed up… tough. Indian Creek is too far from South Beach and all the action. Same for La Gorce Island.

As a Miami Beach real estate broker for almost 20 years, I think the most interesting time here has been the post-Lehman era. The Lehman financial crisis happened in late 2008. 2009 was our nadir in terms of real estate values. Prior to that, even during the so-called “boom,” we were used to one big sale per year, and that sale was usually in the $15 to $17M range. Things started to change in 2010, when, even though our high sale was “only” $16M at 88 La Gorce Circle, La Gorce Island, the market was swiftly and very quietly ascending to the next level. We had another seven sales that year at, near or just above $10M. That was telling. Our high end was definitely beginning to “percolate.”

It’s been typical “broker-speak” the past five years to say, “We only have so much waterfront land.” That blurb NEVER resonated with clients. They seemed to dismiss it as “broker babble.”  After four years of irrefutably steady and impressive numbers, buyers almost feel panicked to purchase. Lots on Star, La Gorce and Indian Creek islands that have been available for YEARS are being snapped up at breakneck speed — and at jaw-dropping prices.

Luxury Miami Beach Real Estate Sales Thru 6/31/2012

Miami Beach real estate sales 2012

Sorry, Bargain Hunters – Prices Are Up Almost 20%

in 2011, the price-per-square-foot for Miami Beach real estate was $769. Now it’s 18.2% higher at $909 PSF. We saw about three years of relatively flat $PSF.  Those days are over.

YEAR SALES VOLUME # OF SALES $PSF
2008 $245,777,500 49 $934
2009 $169,331,447 42 $702
2010 $226,854,000 53 $710
2011 $351,263,033 75 $769

 

Miami Beach Luxury Real Estate – The Next Level

It really hit me yesterday when I read that a $23.94M sale was Palm Beach’s “biggest” this year.  Being the nudge I am, I contacted the most important person in Palm Beach real estate.  He confirmed the $23.94M deal and characterized the “trophy price range north of $20M” as “lackluster.”  From what I’m hearing from my Palm Beach sources, there is a $100M+ deal simmering – which would break ALL records.

Real Estate Records Broken on Indian Creek Island

Miami-Dade had its largest sale ever on Indian Creek Island this year at $38.4M. Congrats to Jorge Uribe at ONE Sotheby’s for that one.  As reported by every major local news outlet, 3 Indian Creek, Indian Creek Village is pending and awaiting closing. Rumor has it that the sale price is in the high $40M range. Another record waiting to be broken.

The Number and Velocity of “Trophy Sales” is Astounding

In 2011, there were 75 “luxury” waterfront sales in Miami Beach, an increase of 41% from 2010.  In 2011, the average waterfront home price in Miami Beach was $4,680,000. For the first half of 2012, we’ve had 45 luxury waterfront sales.  The total sales volume of these properties is $270,997,700, which makes the average price of a waterfront home in Miami Beach $6,022,222.  Additionally, in the first half of 2012, there were six land sales in Miami Beach.  The sales volume for the six deals is $63,150,000. Five of the six land sales this year were either on Star Island or Indian Creek Island.  Land sales volume for all of 2011 was $26,435,000.

More, More AND More

Villa Vecchia – 4821 Pine Tree Drive, Miami Beach

Now, let’s chat about some pending sales. This is an interesting story.  Villa Vecchia, described as a “historic property,” went under contract last week.  Originally listed at $21M in August 2011, and currently priced at $19.8M, Villa Vecchia, which is located at 4821 Pine Tree Drive, was built in 1928 and is the ONLY property in Miami Beach I know of with a formal ballroom; the current owners built it as a “necessity.” The palatial residence has 18,000 +/- int. sq. ft., 13 bedrooms and 12.5 bathrooms. I’ve confirmed through Facebook, of all sources, that the house is definitely under contract for $14.1M.  Whoa! That’s a big chop from the $19.8M asking price. [UPDATE]  The property just closed TODAY for $13.1M or $727 psf.  That’s what I get for trusting Facebook as a source, eeh?  I was only $1M off.  Thanks Zuckerberg.

Villa Vecchia SOLD $14.1M

Here are the goods:  The home has been curiously on and off the market for the last year. When it went pending last week, we brokers got an email notification that it was officially “under contract.”  A few hours later, we got another notification that the property was “temporarily” off the market.  Hmmmm.  I knew there was a story here. According to my sources, the house IS under contract and scheduled to close in about a month. From what I can see, it seems that the broker was relieved of his/her duties of marketing the property.  The rest of the story veers into gossip – and I’m not going there. Here’s a slideshow of Villa Vecchia, 4821 Pine Tree Drive:

 

SBCB Exclusive

This Just In: Another Broken Record! Three Contiguous Properties Close on North Bay Road for $19.6M

Ok, so I was just kinda catching my breath and was going to wrap this long, long info-packed post up, when this juicy tidbit was whispered in my ear.  Get this: three lots – 4666, 4682 and 4700 North Bay Road – with houses on them and arguably the best views on all of North Bay Road – were sold for $19.6M, which equals $369 PSF for land.  This is the highest price ever paid PSF for land, but you gotta pay if you want to play. North Bay Road has long been considered “where the big boys are.”

The buyer, Wayne Boich, who is young as shit and cool as shit, is in the energy business in Ohio.  He plans, of course, to knock down all three homes and build quite possibly the most important estate in Miami Beach. The three parcels of land combine to 300 linear feet of prime wide-bay waterfront and 53,130 sq. ft. of land. Currently, his panty-dropper of a penthouse at ICON South Beach is under contract for OVER the asking price of $19M. It’s rumored to be in the nabe of $21M, furnished of course. Closing, according to the MLS, is scheduled for September 1.

As many know, Lil Wayne lives on La Gorce Island.  This is BIG Wayne Boich, who once dated the lovely and sophisticated Tara Reid.  Judging from his new girl, he took some major steps up. Oh, my god… am I really writing this?  It’s Miami Beach, people.  This is how we roll. (Ugh, I feel like a Kardashian.)

A little trivia for you: Anita Bryant owned 4682 North Bay Road in 1982.  She bought it with her then ex-husband, Bob Green. H/T to the doyenne of the high end, Esther Percal for this tidbit.

Waterfront Land Sales in Miami Beach and Indian Creek Village Thru 6/31/2012

Miami Beach Waterfront Lot Sales
Does not include the above-referenced, three-lot sale on North Bay Road.

So, to bring this baby in for a landing, NEVER has Miami Beach seen this many deals at prices this high – and we have another five months to go.  Hmmm.

2012 Miami Beach Property Sales at $10M+

  • 9 Indian Creek $19.2M
  • 2 Indian Creek $14.5M
  • 14 Indian Creek $38.4M
  • 7 Indian Creek $14.8M
  • 29 Star Island Dr. $14.325M
  • 5130 N. Bay Road $10.6M
  • 1758 W. 28th St. $12.3M
  • 2817 Lake Avenue $9.45M
  • 4666, 4682 and 4700 North Bay Road $19.6M*

Pending Sales

4821 Pine Tree Drive $14.1M (closed for $13.1M)
3 Indian Creek Drive $47-$50M (est.)

*Sale not included in mid-year stats.


Related Reading (as if you’d want to do more):