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MARKET VIEW | APARTMENTS | SOUTH FLORIDA MIAMI-DADE | BROWARD | PALM BEACH

Q4 2017

ONE COMMERCIAL REAL ESTATE | MIAMI-DADE | APARTMENT | Q4 2017


MIAMI’S APARTMENT BOOM EASES

MARKET TRENDS

PRESSURE ON RENTAL MARKET

Q4 2017 APARTMENT REPORT

EXECUTIVE SUMMARY Apartment development is booming in Miami and can be mostly attributed to developments in the urban core. As of now there are 14,868 apartments under developments, but high land prices and construction costs make it hard for developers to identify new projects and therefore moving out to secondary markets within Miami-Dade County. Population growth and low vacancy rates are driving demand. Miami currently has a vacancy rate of 4.35%, which is 166 basis-points lower than last quarter and a positive net absorption of 970 units and 1,321 units delivered in the last quarter. Effective Rental rates grew slightly to $1.53 per SF. Major developments are the 85-story Panorama Tower in Brickell, which will be the largest building south of Manhattan. The project is anticipated for completion for Q2 2018 and will deliver 821 units. Another major project is FECI’s Park-Line Apartments, which is an apartment tower directly connected to the new Brightline train. The train is connecting Downtown Miami with Fort Lauderdale and West Palm Beach in under an hour. Park-Line Apartments will host 816 units and is set for completion by the end of 2019.

VACANCY

Q4 2017

Q3 2017

FORECAST

4.35%

i

i

970

i

h

14,868

h

i

1,321

i

i

1.53

h

h

NET ABSORPTION UNITS

CONSTRUCTION UNITS

COMPLETIONS UNITS

EFFECTIVE RENTS

RELATIVE TO PRIOR PERIOD | SOURCE: COSTAR PROPERTY®

ECONOMIC OVERVIEW 1 YR CHANGE

Q4 2017

CHANGE

UNEMPLOYMENT RATE

4.6%

- 16.4%

POPULATION GROWTH

2,770,020

+ 1.41%

MEDIAN HOUSEHOLD INCOME

47,346

+ 2.36%

LABOR FORCE

1,181,950

+ 1.31%

CHANGE AS PER YEAR-TO-DATE | SOURCE: US DEPARTMENT OF LABOR STATISTICS

MARKET ACTIVITY

OUTLOOK

About 970 apartment units were absorbed in the past quarter and 1,859 of new units added to the market. Miami’s vacancy dropped slightly to 4.53% from the previous period with rental on average at $1.53 per SF.

Miami’s massive supply of new apartment units is meeting the huge demand in the market place. Vacancy rates are currently at 4.35% and people demand new especially affordable space connected to public transport. As completions will decrease to 1,114 units in the next quarter, a further tightening in vacancy rates can be expected as recent projects become leased up. At the same time rentals rates are expected to increase as new developments are renting at higher rates of about $2.50-$3.40.

Demand for apartments is currently characterized by a huge influx of people entering the region. Miami experienced a population growth of 1.4 % year over year. Unlike in the past, where Miami’s population increase was made up both by international and domestic migrants, the increase in population is mostly driven by international migrants from Latin America. The major factor hindering Miami’s domestic growth is the relative unaffordability in the market place and a lack of transit options compared to other major US markets. Areas of new development are mostly in Miami’s urban core and along Metrorail stations. Downtown and Brickell account for about half of the 14,868 units currently under development.

ONE COMMERCIAL REAL ESTATE | MIAMI-DADE | APARTMENT | Q4 2017

6


Major development projects in Miami/Dade include the 85-stories Panorama Tower, which is set to deliver by the end of the second quarter of 2018 and is going to add another 821 units to the market. The tower, which will be Florida’s tallest building and the highest tower south of Manhattan when it is complete,d may not hold the title for long. Florida East Coast Realty intends to follow up the project with the even more massive One Bayfront Plaza, for which updated plans were submitted in late 2016. Under the current plans, One Bayfront Plaza would rise more than 1,000 feet tall, and include as many as 900 apartment units. The vast majority of projects of this scale are concentrated in the Brickell/Downtown Miami Submarket, where apartment demand tends to flock and rents are typically high enough to justify such high-end construction. Projects here are often designed to compete with the large presence of for-sale multifamily construction in the market, which is heavily skewed toward high luxury. Another trend of new residential construction is the focus on Transit Oriented Development as Miami becomes better interconnected with public transport. Often these developments come with restricted parking, as construction is cheaper and many millennials, with the emergence of ride-sharing platforms, forego on owning their own vehicle.

COMPLETIONS, ABSORPTION AND VACANCY TRENDS COMPLETIONS

ABSORBTION

VACANCY

SOURCE: COSTAR PROPERTY®

1800

6.00%

1600

5.00%

1400

4.00%

1200 3.00% 1000 2.00%

800

1.00%

400 200

0.00%

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Q4 2017

PRICE TRENDS CAP RATE

UNITS

SOURCE: REAL CAPITAL ANALYTICS

240k

7.50%

220k

7.00%

200k

6.50% 6.00%

180k

5.50%

160k

5.00%

140k

Investment Sales fell the last quarter declining to $288 million, down from $385 million in the previous quarter. Largest transaction marked Signature I&II in Kendall a 546-unit two phased development completed by Amando Codina’s CC Residential. The buyer was the Blackstone Group, which paid about $254,440 per apartment at a total of $138 million.

4.50%

120k 100k

4.00% Q1 2015

Q2 2015

Q3 2015

Q4 2015

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Q4 2014

7 ONE COMMERCIAL REAL ESTATE | MIAMI-DADE | APARTMENT | Q4 2017


APARTMENT STATISTICS SUBMARKET

CLASS

TOTAL INVENTORY UNITS

VACANCY (%)

YTD NET ABSORBTION UNITS

Construction (Units)

Effective Rents/SF

Aventura

Total

2,147

5.07%

-

490

1.62

A

400

17.25%

-

490

1.94

B

1,692

4.28%

-

-

1.67

Bal Harbour/South Beach

Total

15,694

5.10%

-

409

1.92

A

1,427

3.54%

-

19

2.00

B

2,107

7.58%

-

384

1.85

Brickell/Downtown

Total

24,454

4.48%

970

7,303

1.52

A

5,507

11.58%

928

6,807

2.09

B

2,841

5.55%

42

496

1.92

Coconut Grove

Total

1,937

6.52%

51

272

1.78

A

57

17.65%

51

272

2.04

B

266

7.08%

-

-

2.44

Coral Gables

Total

7,242

5.48%

640

381

1.85

A

2,432

18.99%

640

381

2.28

B

1,009

5.22%

-

-

2.07

Hialeah/Miami Lakes

Total

18,255

2.00%

100

297

1.38

A

490

2.22%

100

226

1.81

B

3,380

2.17%

-

71

1.42

Homestead/South Dade

Total

7,161

3.41%

252

1,562

1.33

A

930

3.07%

-

699

1.36

B

1,837

4.39%

252

863

1.27

Kendall

Total

13,215

4.86%

840

1,216

1.68

A

3,229

14.30%

834

1,082

1.95

B

4,128

3.05%

6

134

1.54

Miami Gardens/Opa-Locka

Total

17,088

3.59%

544

1,055

1.29

A

857

7.68%

230

799

1.57

B

2,838

4.67%

314

256

1.28

Miami Springs/Doral

Total

17,224

5.39%

1,027

656

1.52

A

3,007

10.22%

609

312

1.96

B

6,918

6.89%

418

344

1.54

North Miami Beach

Total

15,898

4.77%

-

1,227

1.36

A

1,332

16.11%

-

349

1.72

B

2,712

4.32%

-

878

1.56

Outlying Miami-Dade County

Total

539

16.64%

314

-

1.72

A

539

16.64%

314

-

1.72

B

-

0.00%

-

-

-

Westchester/Tamiami

Total

2,769

2.83%

-

-

1.64

A

-

0.00%

-

-

-

B

144

276

766

71

324

51

494

868

252

1,012

(272)

200

31

YTD DELIVERIES UNDER CONSTRUCTION EFFECTIVE RATES/SF UNITS UNITS

787

3.10%

-

-

1.74

Total

143,623

4.35%

4,217

4,738

14,868

1.53

A

20,207

11.92%

-

3,706

11,436

1.96

B

30,515

4.89%

-

1,032

3,426

1.58

Source: CoStar Property®

g ONE COMMERCIAL REAL ESTATE | MIAMI-DADE | APARTMENT | Q4 2017


SIGNIFICANT SALES TRANSACTIONS PROPERTY ADDRESS

BUYER NAME

SIZE

SALES PRICE $

$/SF

SUBMARKET

Signature at Kendall

Blackstone

396

96,925,000

244,760

Kendall

Signature at Kendall II

Blackstone

150

42,000,000

280,000

Kendall

District West Gables II

Waterton Associates

221

59,356,750

268,583

West miami

17940 NW 67th St

Chetrit Group

160

9,191,500

57,447

Hialeah

685 84th St

L & D Investors

37

8,250,000

222,973

Miami Beach

MAJOR DEVELOPMENT PIPELINE PROPERTY ADDRESS

COMPLETION

SIZE

DEVELOPER

SUBMARKET

Panorama Tower Apartments

Q2 2018

821

Florida East Coast Realty

Brickell

Park Line Towers

Q4 2019

816

FECI

Downtown

Square Station

Q4 2018

710

Melo Group

Downtown

Art Plaza

Q1 2019

667

Melo Group

Downtown

River Landing

Q2 2019

507

Hellinger

Allapattah

Varadero Residential

Q3 2018

490

Chateau Group

Aventura

X Miami

Q3 2018

464

Property Markets Group

Downtown

58 NE 7th St

Q3 2018

450

Falcone Group

Downtown

3101 NE 1st Ave

Q4 2019

447

Magellan Development Group

Midtown

129 NE 8th Ave

Q1 2020

429

ZOM Florida

Downtown

ONE COMMERCIAL REAL ESTATE | MIAMI-DADE | APARTMENT | Q4 2017


BROWARD’S APARTMENT

MARKET TRENDS

SEGMENT REMAINS A BRIGHT SPOT

Q4 2017 APARTMENT REPORT

AND CONTINUES TO BE RESILIENT

EXECUTIVE SUMMARY The Broward apartment market experiences continuous growth with new development, declining vacancy rates and growing rental rates. The Apartment market in Broward currently has a vacancy rate of 4.82%, which is 222 basis-points lower than last quarter and a positive net absorption of 535 units and 2,546 units delivered in the last quarter. Effective Rental rates grew slightly to $1.36 per SF. At the moment, there are about 5,169 units under development. Broward offers great market fundamentals for new development, as it still has an undersupply of quality rental apartments. The economic outlook for the region is positive as the labor force grew by 2.2% and the population grew by 1.8% in the last 12 months.

OUTLOOK Broward’s job engine is fueling apartment development. As the county still possesses relative undersupply of quality apartment rentals, developers are focusing on growth markets in Fort Lauderdale Pompano Beach and Hollywood. Completions will drop to 970 units in this quarter, which will cause vacancy rates to continue to tighten with rising apartment prices. As Broward offers still demand for new apartment rentals, developers will continue add supply to the region.

Q4 2017

Q3 2017

FORECAST

4.82%

i

i

535

h

h

CONSTRUCTION UNITS

5,169

h

i

COMPLETIONS UNITS

3,546

i

i

1.36

h

h

VACANCY

NET ABSORPTION UNITS

ASKING RENT NNN

RELATIVE TO PRIOR PERIOD | SOURCE: COSTAR PROPERTY®

ECONOMIC OVERVIEW 1 YR CHANGE

Q4 2017

CHANGE

UNEMPLOYMENT RATE

3.3%

- 25.0%

POPULATION GROWTH

1,961,500

+ 1.82%

MEDIAN HOUSEHOLD INCOME

58,562

+ 3.81%

LABOR FORCE

848,350

+ 2.20%

CHANGE AS PER YEAR-TO-DATE | SOURCE: US DEPARTMENT OF LABOR STATISTICS

MARKET ACTIVITY About 1,176 apartment units were absorbed in the past quarter and 1,859 of new units added to the market. Broward’s vacancy dropped to 4.82% from the previous period with rental on average at $1.45 per SF. Demand for apartments is currently characterized by a huge influx of people entering the region. Broward County experienced a population growth of 1.4% year over year. The increase in population is driven both by international migrants mostly from Latin America and people moving from other areas of the United States. Fort Lauderdale is the area which accounts for most of the growth in inventory within Broward county. Fort Lauderdale is also the area with the most units under construction. Another market, which is significantly transforming is Pompano Beach, where an innovation district is bringing trendy startups, hip restaurants and breweries along with it.

ONE COMMERCIAL REAL ESTATE | BROWARD | APARTMENT | Q4 2017


There are currently 5,169 units under development. Most activity can currently be seen in Fort Lauderdale, which is account for 1,278 units alone. Major reason for this recent development is the relative undersupply of quality apartment rentals in Broward. The largest projects under development are the 386-unit rental tower One20Fourth by Lennar, which is anticipated for completion at mid-2018. Another project is the 386-unit Circ Residences by Gold Coast Florida Regional Center in Hollywood. Investment Sales took a slump in the last quarter declining to $285 million, down from $818 million in the previous quarter. Largest transaction marked Parc Station a 336-unit development in Hollywood, which sold for about $269.000 per apartment at a total of $90.5 million. The buyer was a comingled pension fund under the control of JP Morgan.

COMPLETIONS, ABSORPTION AND VACANCY TRENDS COMPLETIONS

ABSORBTION

VACANCY

SOURCE: COSTAR PROPERTY®

4000

8.00%

3500

7.00%

3000

6.00%

2500

5.00%

2000

4.00%

1500

3.00%

1000

2.00%

500

1.00%

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Q4 2017

PRICE TRENDS CAP RATE

UNITS

SOURCE: REAL CAPITAL ANALYTICS

240k

7.50%

220k

7.00%

200k

6.50% 6.00%

180k

5.50%

160k

5.00%

140k

4.50%

120k 100k

4.00% Q1 2015

Q2 2015

Q3 2015

Q4 2015

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Q4 2014

ONE COMMERCIAL REAL ESTATE | BROWARD | APARTMENT | Q4 2017


APARTMENT STATISTICS SUBMARKET

CLASS

TOTAL INVENTORY UNITS

VACANCY (%)

YTD NET ABSORBTION UNITS

Oakland Park/Lauderhill

Total

12,960

4.82%

176

414

1.36

A

404

4.85%

80

78

1.64

B

1,449

9.18%

96

336

1.54

Hollywood/Dania Beach

Total

-

5.53%

-

654

1.39

A

1,245

7.57%

-

386

1.51

B

1,895

6.05%

-

268

1.65

Pembroke Pines/West Miramar

Total

-

9.17%

280

380

1.63

A

5,656

6.15%

-

-

1.60

B

1.64

154

(7)

425

YTD DELIVERIES UNDER CONSTRUCTION EFFECTIVE RATES/SF UNITS UNITS

4,396

11.79%

280

380

Pompano Beach/Deerfield Beach Total

-

4.61%

92

878

1.40

A

538

7.48%

-

480

1.33

B

3,066

4.12%

92

398

1.47

Fort Lauderdale

Total

-

5.73%

1,589

1,278

1.65

A

4,441

15.04%

1,140

350

2.18

B

2,967

6.46%

449

928

1.95

Miramar/Hallandale Beach

Total

-

4.92%

-

608

1.31

A

-

0.00%

-

250

-

B

635

6.87%

-

358

1.45

Plantation/Sunrise

Total

-

6.03%

146

458

1.44

A

4,218

6.09%

-

-

1.65

B

7,048

9.00%

146

458

1.50

Coral Springs

Total

-

5.64%

272

345

1.34

A

3,918

7.97%

44

252

1.53

B

11,029

6.33%

228

93

1.37

Weston/Davie

Total

-

8.00%

420

154

1.57

A

2,768

12.45%

180

-

1.73

B

234

570

(76)

233

341

296

1,724

11.89%

240

154

1.58

Total

12,960

4.82%

2,170

2,975

5,169

1.36

A

23,188

8.99%

-

1,444

1,796

1.71

B

34,209

7.79%

-

1,531

3,373

1.53

Source: CoStar Property® ONE COMMERCIAL REAL ESTATE | BROWARD | APARTMENT | Q4 2017


SIGNIFICANT SALES TRANSACTIONS PROPERTY ADDRESS

BUYER NAME

SIZE

SALES PRICE $

$/SF

SUBMARKET

Parc Station

JP Morgan

336

90,500,000

269,345

Hollywood

Hidden Harbour

Bankers Healthcare Group

371

53,866,667

145,193

Tamarac

ARIUM San Remo

Arvind Reddy

180

41,525,000

230,694

Coral Springs

Lush Apartments at Lauderhill

Advenir Inc

88

9,400,000

106,818

Fort Lauderdale

The Reserve at Edgewood

Lennar Corportation

105

7,515,000

71,571

Fort Lauderdale

MAJOR DEVELOPMENT PIPELINE PROPERTY ADDRESS

COMPLETION

One20Fourth

Q2 2018

Circ Residences

Q1 2018

The Luma at Miramar

SIZE

DEVELOPER

SUBMARKET

386

Lennar

Fort Lauderdale

386

Gold Coast Florida Regional Center

Hollywood

Q2 2018

380

Charles M. Scardina, Jr.

Miramar

Hallandale Artsquare

Q2 2018

358

Integra Real Estate, LLC

Hallandale Beach

Peart Flagler Village

Q3 2018

350

The Morgan Group, Inc.

Fort Lauderdale

The Atlantic Cypress Creek

Q1 2019

336

Atlantic | Pacific Companies

Lauderdale Lakes

Harbor Park

Q1 2018

310

Wood Partners

Fort Lauderdale

AMLI Crossroads

Q3 2019

256

AMLI Management Company

Plantation

Monarch Station

Q1 2018

252

FCI Residential Corporation

Coconut Creek

Hallandale Oasis

Q1 2018

250

Romagnole Investment Properties LLC

Hallandale Beach

ONE COMMERCIAL REAL ESTATE | MIAMI-DADE | APARTMENT | Q4 2017


POPULATION GROWTH FUELS

MARKET TRENDS

DEMAND FOR APARTMENT

Q4 2017 APARTMENT REPORT

PRODUCT IN PALM BEACH COUNTY

EXECUTIVE SUMMARY The Palm Beach apartment market experiences continuous growth with new development, declining vacancy rates and growing rental rates. The Apartment market in Palm Beach currently has a vacancy rate of 7.08%, which is 169 basispoints lower than last quarter and a positive net absorption of 834 units and 839 units delivered in the last quarter. Effective Rental rates grew slightly to $1.45 per SF. At the moment, there are about 3,649 units under development. Palm Beach offers great market fundamentals for new development, as rental rates are high, the population is growing and the county still has large tracts of undeveloped land. The economic outlook for the region is positive as 1.6% new jobs were added in the last 12-months and population grew by 2.8% in the same period. The development of the Brightline by All Aboard Florida, will make it possible to commute from Downtown West Palm Beach to Central Miami in an hour.

OUTLOOK Palm Beach’s growing population is fueling apartment development. As the county still possesses large tracts of undeveloped land, developers are focusing on large rental gardenstyle communities with high-end amenities. The Brightline train, will greatly benefit West Palm Beach as it is directly connected to Fort Lauderdale’s and Miami’s downtowns. The delivery of 1,158 over the next quarter will cause to a slight uptick in vacancy while rental rates will keep growing. Population growth and the availability of cheap land will further fuel development activity in Palm Beach in the future.

ONE COMMERCIAL REAL ESTATE | PALM BEACH | APARTMENT | Q4 2017

Q4 2017

Q3 2017

FORECAST

7.08%

i

h

834

h

h

3,649

h

g

COMPLETIONS UNITS

839

h

h

ASKING RENT NNN

1.45

h

h

VACANCY

NET ABSORPTION UNITS

CONSTRUCTION UNITS

RELATIVE TO PRIOR PERIOD | SOURCE: COSTAR PROPERTY®

ECONOMIC OVERVIEW 1 YR CHANGE

Q4 2017

CHANGE

UNEMPLOYMENT RATE

3.6%

- 23.4%

POPULATION GROWTH

1,503,310

+ 2.76%

MEDIAN HOUSEHOLD INCOME

59,355

+ 2.25%

LABOR FORCE

626,120

+ 1.63%

CHANGE AS PER YEAR-TO-DATE | SOURCE: US DEPARTMENT OF LABOR STATISTICS

MARKET ACTIVITY About 1,176 apartment units were absorbed in the past quarter and 1,859 of new units added to the market. Palm Beach’s vacancy dropped slightly to 7.08% from the previous period with rental on average at $1.45 per SF. Demand for apartments is currently characterized by a huge influx of people entering the region. Palm Beach County experienced a population growth of 2.6% year over year. The increase in population is driven both by international migrants mostly from Latin America and people moving from other areas of the United States. Palm Beach ranks under the top 10 counties with the highest number of people settling from elsewhere last year. It also had the most significant growth in Hispanic population in South Florida. Areas which drove growth significantly in Palm Beach were Boca Raton, Boynton and Delray Beach. Overall those markets accounted for 75% of new units added in the market place over the past year.

14


There are currently 3,680 units under development. Most activity can currently be seen in West Palm Beach, which is account for 1,557 units alone. Major reason for this recent development surge is All Aboard Florida’s Brightline development. The passenger train service between downtown stations in Miami, Fort Lauderdale and West Palm Beach will transform life in the northernmost city on the rail route. As people refused to live in Palm Beach due to the relative distance to Miami it is now possible to reach Miami’s center in an hour. The largest project under development is the 392-unit garden-style community Town Southern. The project is developed by The Related Group in Royal Palm Beach and is located on 29-acres on the south-side of Southern Boulevard just west of US 441. Recently Related has shifted from condominium projects focusing stronger in multifamily developments. With the projects they aim to serve the undersupplied suburban rental market, as it is becoming more difficult to find good suburban development property in South Florida. Investment Sales took a slump in the last quarter declining to $267 million, down from $745 million in the previous quarter. Largest transaction marked 850 Boca a 370-unit development within the Park at Broken Sound, for about $373,000 per apartment at a total of $138 million. The buyer was AvalonBay Communities who made its first foray into Florida.

COMPLETIONS, ABSORPTION AND VACANCY TRENDS COMPLETIONS

ABSORBTION

VACANCY

SOURCE: COSTAR PROPERTY®

1600

9.00%

1400

8.00%

1200

7.00%

1000

6.00%

800

5.00%

600

4.00%

400

3.00%

100

2.00%

0

1.00%

200

0.00%

400

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Q4 2017

PRICE TRENDS CAP RATE

UNITS

SOURCE: APARTMENT CAPITAL ANALYTICS

280

6.40%

260

6.20%

240

6.00%

220

5.80%

200

5.60%

180

5.40%

160

5.20%

140

5.00% Q1 2015

Q2 2015

Q3 2015

Q4 2015

Q1 2016

Q2 2016

Q3 2016

Q4 2016

Q1 2017

Q2 2017

Q3 2017

Q4 2014

15 ONE COMMERCIAL REAL ESTATE | PALM BEACH | APARTMENT | Q4 2017


APARTMENT STATISTICS SUBMARKET

CLASS

TOTAL INVENTORY UNITS

VACANCY (%)

YTD NET ABSORBTION UNITS

Belle Glade

Total

1,449

9.73%

-

-

0.73

A

-

0.00%

-

-

-

B

25

10.00%

-

-

-

Boca Raton

Total

12,362

7.23%

680

205

1.59

A

2,673

20.01%

680

-

2.03

B

6,564

6.19%

-

205

1.53

Boynton Beach

Total

10,369

6.56%

350

806

1.33

A

2,857

15.52%

350

506

1.47

B

4,466

5.97%

-

300

1.29

Delray Beach

Total

5,008

8.29%

430

176

1.53

A

2,664

13.67%

430

176

1.54

B

883

8.06%

-

-

1.71

Greenacres

Total

4,193

5.63%

118

-

1.23

A

587

5.12%

118

-

1.24

B

683

4.57%

-

-

1.29

Outlying Palm Beach County

Total

193

3.08%

-

-

1.06

A

-

0.00%

-

-

-

B

-

0.00%

-

-

-

Palm Beach Gardens/Jupiter

Total

6,228

5.53%

-

477

1.67

A

2,689

5.37%

-

477

1.94

B

2,407

5.86%

-

-

1.56

Royal Palm Beach/Wellington

Total

6,400

6.40%

350

428

1.36

A

2,022

3.73%

-

36

1.37

B

3,666

8.22%

350

392

1.40

West Palm Beach

Total

14,647

8.07%

-

1,557

1.46

A

2,027

18.03%

-

1,147

1.69

B

-

889

542

140

109

1

1

294

(223)

YTD DELIVERIES UNDER CONSTRUCTION EFFECTIVE RATES/SF UNITS UNITS

5,022

8.57%

-

410

1.80

Total

60,849

7.08%

1,753

1,928

3,649

1.45

A

15,519

12.61%

-

1,578

2,342

1.67

B

23,716

6.96%

-

350

1,307

1.52

Source: CoStar Property® ONE COMMERCIAL REAL ESTATE | PALM BEACH | APARTMENT | Q4 2017


SIGNIFICANT SALES TRANSACTIONS PROPERTY ADDRESS

BUYER NAME

SIZE

SALES PRICE $

$/SF

SUBMARKET

850 Boca

Avalon Bay

370

138,000,000

372,973

Boca Raton

Delray Preserve

GID JV CalPERS

188

60,350,000

321,011

Delray Beach

Congress Park

Starwood

288

30,755,196

106,789

Lake Worth

Marina Bay

Southport Financial

192

15,850,000

82,552

Boynton Beach

Colony Park Apartments

Southport Financial

130

12,600,000

96,923

West Palm Beach

MAJOR DEVELOPMENT PIPELINE PROPERTY ADDRESS

COMPLETION

SIZE

DEVELOPER

SUBMARKET

Town Southern

Q3 2018

392

Related

Royal Palm Beach

Catalina at Alton

Q3 2018

353

FCI Residential

Palm beach Gardens

The Tower at Morselife

Q1 2018

317

MorseLife

West PalmBeach

Broadstone City Center

Q1 2018

315

Alliance Residential

West Palm Beach

1002 Audace

Q1 2019

300

Alta Developers

Boynton Beach

360 S Rosemary Ave

Q3 2018

300

Related

West Palm Beach

Park Line Apartments

Q3 2018

275

FECI

West Palm Beach

Aura Seaside

Q1 2018

250

Trinsic Residential

Boynton Beach

Village at Magnolia Lake

Q4 2018

240

AHS Development Group

West Palm Beach

Santorini

Q1 2018

226

Delma Properties

Boynton Beach

ONE COMMERCIAL REAL ESTATE | MIAMI-DADE | APARTMENT | Q4 2017


STEVEN NOSTRAND President & COO ONE Commercial Real Estate

PALM BEACH

snostrand@onecommercialre.com

JULIAN SCHEEFF Director of Intelligence ONE Commercial Real Estate jscheeff@onecommercialre.com

ALEX MAKKI Marketing Coordinator ONE Commercial Real Estate amakki@onecommercialre.com

BROWARD MIAMI-DADE

ONE Commercial Real Estate 1000 Brickell Avenue, Suite 500 Miami, FL 33131 305.704.9787

The information contained herein has been obtained from sources deemed reliable. While every reasonable effort has been made to ensure its accuracy, we cannot guarantee it. No responsibility is assumed for any inaccuracies. Readers are encouraged to consult their professional advisors prior to acting on any of the material contained in this report.

Q4 Market View | Apartment  
Q4 Market View | Apartment  
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