Then, I had a flicker of hope in my head that someone “up there” would want to get the actual story, not what they THINK is going on here, but waiting to see until they get here and, then, actually finding out what the deal is and then do the segment.  Novel, huh!

I deal with a lot of media.  Inevitably, the first words out of their mouths are:  “We’re doing a story on Miami being the worst city in the World,” or something to that extent.  Some people are media ho’s and will tell them whatever THEY WANT TO HEAR just to get their name in some, ANY, media.  Not me.

So, then I had my thought for this post.  General thoughts on Miami real estate.  So here it goes.

How is Miami Real Estate?

Miami has been dealing with two problems:

1. Sub-prime (which really isn’t affecting many of the properties below above $800,000)
2. The condo over-supply on the Brickell/Biscayne Corridor area.

If someone from the media were to ask me my thoughts about the Miami real estate market, here’s what I’d have to say:

There hasn’t been anywhere near the walk-a-ways that were predicted two and three years ago.  Sure, it is much harder to get people to the closing table, BUT that is in part due to the bank failures and the liquidity issues, in general.  Most of the walk-a-ways couldn’t get finanacing.

The market has bifurcated.  Some areas are doing okay and some aren’t.  For example, luxury Miami Beach condos in South Beach have fared quite well, with consistent year-over-year increases.  Coral Gables is doing well as a city and Pinecrest is having a tougher go of it.  Homestead is foreclosure central.  So a responsible journalist CAN’T say, “oh Miami real estate is in trouble,” because it’s just not true.

On Miami Beach

I’ve watched the city become PACKED in the last two weeks.  Lots going on.  The Fontainebleau is opening as I write this.  A $500M renovation of the infamous hotel which will make the Fontainebleau South Florida’s largest resort.  Rumor has it, Mariah Carey is going to be there (I wish I was there–thanks Nadine Johnson!).  The Victoria Secret Fashion Show (televised) is taping tomorrow.  The $500M Canyon Ranch Living-Miami Beach just opened a 586-room resort just up the street from the Fontainbleau at 68th  and Collins.

Art Basel, the country’s biggest contemporary art show returns to Miami Beach.  From the Miami Herald:

The center’s four-day art show has exploded into a week of festivals from the mainland to Miami Beach, with a global following paying sky-high hotel rates and generating a stream of private jets that tourism officials say rivals a Super Bowl.

An Irresistable Allure

What Miami has in spades, is sex.  Sex still sells–It will ALWAYS sell.  Miami is sexy.  Take the real estate discussion of Miami away and people will have nothing but great things to say.

If the economy is so bad (and it is–just not so much here), how come Bal Harbour Shoppes, which is the HIGHEST grossing mall per square foot in the country, was packed today?  Why can’t I find a parking spot? ANYWHERE.

• Singin’ the Fontainbleau Shut Out Blues [Miami Herald]
• Art Basel in Miami Beach For Three More Years [Miami Herald]

For everything I have read, and I read A LOT, you would think that Miami real estate is down for the count.

Lately, there have been some articles and reports that suggest that the Miami real estate market MAY be starting to bottom out. I haven’t hypothesized on any of them because I believe it’s probably near-impossible to “sharp-shoot” the bottom.

The Miami real estate market is doing, what I believe, to be remarkably well considering that we were, along with every other city in the USA, plagued with the sub-prime mess ALONG with over-development.  Note to developers:  They are called FEASABILITY STUDIES!

Miami was an easy target:  our real estate stardom was the envy of all.  Record numbers, incredible profit.  All those condos downtown.  Easy, easy, easy.  I even read a thread on a blog where some “bubble heads” were speculating the scrap value of a brand-new building on Biscayne Blvd.  That’s what I’ve had to deal with for the last three years.  That’s right:  PEOPLE SPECULATING ON THE PROBABLE VALUE OF A BUILDING; KNOCKED-DOWN AND SOLD AS SCRAP!

So when I read the Forbes article that doesn’t pin Miami to the wall, forgive me if it still feels a bit odd.

So, I decide to read the report sourced in the post and while reading it I noticed that they are clearly speaking about the city of Miami.

While Hawaii is at the top of its game right now, another popular beach vacation destination is gasping for air.

Where’s the editor?  The City of Miami proper does not have ANY beaches.  Miami and Miami Beach are two completely different cities.  Combining Miami and Miami Beach as one real estate market is like combining New York City and Newark, NJ, as one.

Oh, and to further the author’s credibility, notice the pretty picture of Ocean Drive and South Beach in the post.

Duh.