The Investors Guide to Miami Real Estate 2014

MIAMI

THE DAVID SIDDONS GROUP www.luxlifemiamiblog.com

2014

INVESTORS GUIDE TO

Why you should read this report

I

t’s helpful to see the Miami real estate from an objective viewpoint backed up with hard data and not from biased opinion, media gossip, flashy

marketing or third party heresay.

This report analyzes all the key neighborhoods, and all types of property purchase: Condos/apartments (both pre-construction and resale), houses and even to a small degree commercial. It gives the unique ability to compare neighborhoods side by side and for the first time to compare anyone pre construction Condo to another regardless of neighborhood. We also make mention of the new ‘Urban Planning’ at play within the city that will directly impact the desirability of each neighborhood.

For sellers it is going to be useful because the report will highlight the change of inventory levels and property prices, helping you decide if it may be a good time to sell or stick. For buyers or investors it will help you find the best property that would yield the highest returns for the money and gauge the potential appreciation of that asset.

Due to the specific nature of every individual’s investment needs the complexities of any specific real estate purchase or sale go way beyond this report and for that you would need to call or email me directly. The guide will provide some incredibly useful measuring sticks on which to ground many of your decisions. Additionally, please bear in mind that we have literally 100’s of blog reports on all aspects of Miami real estate, all divided by

This report closely cross analyses ALL the new construction Condos in Miami, including, as seen here, all the new projects in Brickell and Downtown.

category and by neighborhood to make it extremely easy to get the facts on whatever you need.

The David Siddons Group 901 South Miami Ave, Suite 215 Miami, FL 33130 Siddons.d@ewm.com 305 508 0899

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

Table of Contents Metropolitan Miami

4

Map of Miami Neighborhoods

5

Pricing Single Family Homes and Condos

6

Overview of Pre-Construction Market

7

Pre-Construction Pricing

8

Land Appreciation 10 MIAMI NEIGHBORHOODS Coconut Grove

11

Coral Gables

13

Brickell

14

Downtown 16 Edgewater 17 South of Fifth (the southern most point of South Beach) 18 Miami Beach

19

Bal Harbour

21

Sunny Isles

22

Aventura 23 Key Biscayne

24

A Rendering of the $1 billion dollar Swire Groups new Brickell City Center. It’s the largest new commercial development for Brickell with 5.4 million sq.ft. of office, residential, hotel, retail and entertainment space under construction and set for completion in 2016.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

Metropolitan Miami It has been said that in 2013 Miami became globally recognized as a true metropolitan City, cited by Christie’s as currently one of the 3 hottest cities for real etate investment in the world: along with London and New York. With so much attention focusing on Miami, “The David Siddons Group” a top producing Team with EWM Realtors (The number 1 Brokerage for sales of Luxury Property in Mami) has decided to bring buyers and investors a complete market analysis of ALL the top luxury neighborhoods in Miami.

Why investors are focusing on Miami’s real estate market?

The appeal of one of the most beautiful and exciting cities in the world is obvious to most buyers. The quality of life is so high and the cost of living relatively so low compared to other major metropolitan cities like New York and Los Angeles, that explaining the appeal of this fast expanding city is to some totally unnecessary. However, for those who are not so familiar with Miami to fully understand why the wealthiest in the world choose to invest in Miami, we explain a little here.

Population expansion Miami Dade is currently receiving 91 new inhabitants per day. That’s around 34,000 per year. Not only have we seen the population expand but we have seen an accumulation of the global super rich set Miami as a location of primary residences. It’s a case of like seeking out like.

The many faces of Miami real estate, new construction like 1000 Museum, amazing waterfront homes like this on San Marino Island and ultra luxury condos like Apogee.

Business and trade development

The appeal of low taxes

It started with the expansion of the port of Miami, to become

The realization of high taxes in other US states has attracted

Infrastructural and retail development

the biggest Port on the Eastern Seaboard of the US – catering

many home owners and business owners to relocate to Miami

Simply put, Miami is a much nicer place to live than many

to the super ships that have been able to travel and trade up

where they have been able to become as much as 30% better

other Global cities. The quality of life here is continually

through the enlarged Panama Canal.

off by avoiding city and state tax.

opening of a new art museum, a new history museum, hugely

Miami is considered the “Business Hub” for Latin America,

The social calendar is unrivalled

improved transport links: metromovers, shuttles, trollies, and

but it is becoming a primary business choice for many

Art Basel, Art Miami, The Boat Show, The music festival,

a bigger airport. This has enabled its inhabitants to move not

other business from North America. Also primed to

The Tech show in May, the social line up is amazing. This year

just freely through the city, but internationally as well, making

become the Silicon Valley of the East Coast, there

Miami International Airport reported over 200 private jets on

it operate as a true metropolitan center. With the exploding

has been talk of many bluechip companies looking to

their runway for the Art Basel fair. A Guiness World Record

demand for retail we see the opening of several new designer

establish a base in Miami. In May, Miami will be holding its’ first

for the largest accumulation of private jets in one place at one

retail neighborhoods within Miami. This includes the Brickell

Tech Fair which will no doubt become a permanent fixture in

time.

City Center and the Design District.

its’ already extensive and exciting social calendar.

improving. Within the last 12 months we have seen the

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

Miami neighborhoods

Florida Turnpike

Aventura

Sunny Isles NE 163 St.

Interactive map of Miami’s most desirable residential neighborhoods This

map

works

as

an

interactive

reference

guide.

Compare neighborhoods side by side. Click on specific neighborhoods and hyperlink to that specific report. Armed with this information as a buyer or investor it will help you determine where your budget and requirements best fit. For sellers, it will provide in part a valuable tool as to what price

NE 125 St.

you should be selling at and where your neighborhood property

Bal Harbour

prices may be heading.

Le Jeune Road

NE 79 St.

Edgewater

Miami Beach

W. Flagler St. SW 8 St.

Downtown Brickell

Coral Way

Bird Road

Coconut Grove

Coral Gables SW 88 St.

Key Biscayne

N

Pinecrest 5

INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An overview of the pre-construction market.

Echo Aventura Regalia Aventura Armani Porsche Design Tower Mansions at Aqualina Sunny Isles

Florida Turnpike

An investors guide would not be such if we did not detail pre-construction.

This has been a driving force for Miami real estate investment over the years, and probably the #1 influencing factor. With so many projects being built

Prive

right now and every developer heralding their project as the best in the neighborhood, it is hard for investors to get an objective opinion. As

Marina Palms Residences

independent agents we have no allegiance to one pre-construction project

Chateau Beach Sunny Isles

NE 163 St.

over another. We understand and deal with the re-sale market and the single

Muse Sunny Isles Jade Signature

family market (which also influences and is influenced by the condo market)

Parque Towers

so we are perfectly positioned to give impartial investment advice.

Oceana Bal Harbour Ocean Seven Residences Chateau Ocean The Surf Club Bal Harbour

NE 125 St.

Bath Club Estates Le Jeune Road

NE 79 St.

Coral Way

Brickell Citicenter Nine Le Parc

Bird Road

Grove at Grand Bay Coconut Grove Merrick Manor SW 88 St.

On this page and the next, the interactive map of pre-construction condos is designed to enable investors to compare condos side by side easily and quickly.

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INVESTORS GUIDE TO MIAMI 2014

Ritz Carlton Residences

Paraiso Bay

Centro SW 8 St.

Miami Beach

Baltus House

1000 Biscayne

W. Flagler St.

Peloro

Biscayne Beach

Beach House 8

The Crimson Bayhouse

Faena House The Residences at Miami Beach Edition The 1 Hotel and Homes South Beach

One Bayfront Plaza Brickell Heights 1010 Brickell Echo Brickell

1215 West Avenue 321 Ocean Glass 120 Ocean

The Bond SLS Residences and Hotel

Marea

Oceana Key Biscayne

N

101 Key Biscayne Under or $500/sq.ft. $500 - $1,000/sq.ft. $1,000 - $1,500/sq.ft. $1,500/sq.ft. and above DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

A investors guide to

Here you will find a complete list of all pre-construction condos in Miami. More importantly

Pre-Construction Condos

floorplans, renderings, videos and many other useful pieces of information.

every single condo listed here has a hyperlink to a specific blog on that project - including

The highest Sales Price/Sq.Ft. for a Resale Condo in the last 90 days

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INVESTORS GUIDE TO MIAMI 2014

The average Sales Price/Sq.Ft. for a Resale Condo

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

The highest Sales Price/Sq.Ft. for a Resale Condo in the last 90 days

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INVESTORS GUIDE TO MIAMI 2014

The average Sales Price/Sq.Ft. for a Resale Condo

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Buying Land in Miami Land Analysis - Purchasing Land to build a single family home One element that we have seen investors focus on in recent years is land

SOLD IN 2013 - Empty Land Area

purchase with plans to either build a home for themselves and their families or to immediately sell and make a profit.

To build and finish a quality new home one can look to spend around $250 per sq.ft. Given that new homes sell anywhere from $450 - $1,500 per sq.ft., depending on the neighborhood, it becomes obvious to many that building a home enables you to not only get exactly what you want, but to do so at a vastly reduced rate.

With this in mind we have run the analysis carefully and present to you the average price per sq.ft. for land sold in the Miami neighborhoods over 2013.

Sunny Isles Coral Gables South Miami Pinecrest Coconut Grove Biscayne corridor Miami Shores Venetian Islands Miami Beach Aventura

Waterfront Price per Sq.Ft. $118 $88 (1 property) No listings and no 2013 sales No listings and no 2013 sales $179 $65 $40.5 $424 (current listings) $251 $73

Non Waterfront Price per Sq.Ft. No listings and no 2013 sales $52 $13 in 2013 ($20 current listings) $16 in 2013 ($36 current listings) $37 in 2013 ($77 current listings) $30 $16.3 $125 $116 No listings and no 2013 sales

We also include examples of brand new homes and what they have sold for as well.

This Pinecrest home was built on a 38,000 sq.ft. lot. The land was purchased in 2011 for $649,000. An 8,000 sq.ft/ home was built, along with a 4 car garage and a superb lap pool. The cost of this would have been around $2 million. The subsequent sale price was $4,200,000.

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INVESTORS GUIDE TO MIAMI 2014

This stunning waterfront home on Sunset Island was built in 2013. The land was sold at the end of 2012 for just over $4 million. The house is 10,500 sq.ft. and was sold in Jan. 2014 for $15.5 million.

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Coconut Grove SINGLE FAMILY HOMES $ Property Values

16%

354

sq.ft.

Average Price

$

591 5

sq.ft.

Average Months Price of Inventory Waterfront

12%

5

Months of Inventory

12% Faster

time it took to sell 2012/2013 comp.

The Coconut Grove Real Estate market in 2013.

The Grove market is predominantly a single family market and has become increasingly popular over 2013. There has been little change in terms of supply (on average just 5 months of inventory) while there has certainly been an increase in demand and value of property.

Coconut Grove Single Family Market The 2013 average sale price of a home in Coconut Grove rose to $1,062,219 at an average of $354 per sq. ft., up 16% from 2012. More interestingly, the number of homes sold over $1 million increased from 45 sold in 2012, to 82 sold in 2013 - up a staggering 82%! The time it took to sell these properties also decreased, with time on the market dropping on average 12% from the year before.

The Luxury Waterfront and Gated SIngle Family Communities of Coconut Grove Coconut Grove’s luxury market which includes waterfront properties also rose over 2013, with waterfront property selling at an average of $591 per sq. ft., an increase of 4% over 2012’s figure of $569 per sq ft. Gated communities such as Cocoplum, the Moorings and L’Hermitage also saw

This Superb Coconut Grove home on Poinciana was originally sold in 2009, for $450,000. It was then renovated and expanded by 2,400 sq.ft. It sold in March, 2013, for $1,662,000. According to market stats it has continued to rise by around 1% in value per month.

property values increase.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Coconut Grove CONDOS Property Values

3%

$

418

sq.ft.

Average Price

7

Months of Inventory

21% Faster

time it took to sell 2012/2013 comp.

1

Number of Pre-construction Condo Projects

Coconut Grove Condo Market

Infrastructural and neighborhood Developments

The condo market for Coconut Grove although smaller than the single family

Probably the biggest change comes from the soon to be developed new park

market has also seen increases –The number of +$1 million dollar condos

that will sit in front of Grove at Grand Bay. What used to be the old ‘Pan Am’

increased by 7% from the year before and with an average price

hangers are being knocked down to be replaced with a 10 acre park and

increase of 3%. Months of inventory for the second half of the year was on

waterfront dining.

average just 7 months which was still very healthy and on average condos that did sell sold 21% faster than they did the year before.

‘Grove at Grand Bay’ Full details of floor plans, renderings and prices featured on our site along with all other Grove Condos.

Commercial and Business Coconut Grove does not have a huge amount of commercial space.

Only one new pre-construction project was sold in Coconut Grove during

A significant amount of inhabitants either work in offices in Brickell or

2013: The Grove at Grande Bay. This ultra luxury building has set a new

Coral Gables. There is just 2 million sq.ft. of commercial office space, of which

precedent of value and price over the other luxury condos in Coconut Grove,

about ¼ is Class A and in total around 10% of this space is currently vacant.

with unit prices selling from $2.5 million. Million dollar condo apartments

Average rates are sitting at $30.56 per sq.ft. With that said there is no new

represent 25% of the condo market in Coconut Grove.

commercial space set for construction within this neighborhood.

If you want to gain a deeper understanding of buying or selling real estate in this neighborhood, browse our Coconut Grove Real Estate Blog. It has all the information you will need.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Coral Gables Coral Gables Single Family Market $ Property Values

347

sq.ft.

Average Price

9%

$

540 6

sq.ft.

Waterfront Months Price of Average Inventory

17% 6 Faster

time itMonths took toofsell Inventory 2012/2013 comp.

17% Faster

time it took to sell 2012/2013 comp.

Coral Gables much like Coconut Grove is dominated by single family homes -an ever popular neighborhood for families due to the strong school district.

Price per sq.ft. for homes sold in this neighborhood in 2012 was $318 per sq.ft. and rose to $347 per sq.ft. in 2013, with an average sale price of $1,150,388.

Waterfront properties sold at an average of $540 per sq.ft. (open water properties sell at a much higher level than canal front properties).

Once again, months of inventory for this market sits at the low level of just 6 months supply (A stable market has 9-12 months of inventory) so such inventory supply would indicate that this market will continue to rise through 2014.

This superb 5 bedrooms, 5 baths, 4,200 sq.ft. home on Veronese Ave., in Coral Gables, was sold by the David Siddons Group in Feb. 2013, for $1,400,000 at $333 per sq.ft. Currently 5 bedroom comparable sized homes in the neighborhood are being listing at $400 per sq.ft. or more. Opportunities may exist in the neighborhood, but it is imperative to use an experienced agent who can help you recognize these.

Coral Gables Condo and Townhome Market $ Property Values

7%

325

sq.ft.

Average Price $577,230

6

Months of Inventory

4%

Longer

time it took to sell 2012/2013 comp.

1

Number of Pre-construction Condo Projects

The Coral Gables condo market is relatively small and the values $305 per sq.ft. rose to $325 per sq.ft. in 2013, with an average sale price of $577,230.

Months of inventory for condos sits at 6 months. There is really only one noteworthy new condo construction in Coral Gables that is now completely sold out and will be ready in the Fall of 2015 – Merrick Manor.

Coral Gables is home to some superb waterfront homes. This amazing 4,130 sq.ft. waterfront home at 1207 Alhambra is on the market at $2,750,000 - $666 per sq.ft.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Brickell $ Property Values

9%

427

sq.ft.

Average Price

12

Months of Inventory

8% Faster

time it took to sell 2012/2013 comp.

10

Number of Pre-construction Condo Projects

The Brickell Real Estate Market in 2013.

Brickell is almost 100% Condo’s and has arguably been one of the most physically changed neighborhoods in Miami over 2013. Brickell, the financial center of Miami’s banking district is now in the midst of a pre-construction boom, with 10 pre-construction projects coming out of the ground, 4 of them will be ready this year: My Brickell, Brickell House, Millicento, and Nine at Mary Brickell Village.

The Brickell Condo Market Average price for properties increased 9% over 2013 to $427 per sq.ft. with an average sale price of $630,000 (This data is taken from the MLS and does not include pre-construction sales). With that said, around 2,800 pre-construction units were sold in the neighborhood over the last 12 months AND the sale of many more this year with most pre-construction due for completion over 2015/2016. Buyers, sellers and investors should be aware that the pre-construction market will be defining this neighborhoods’ success for the foreseeable future, as well as the strength of the rental market which plays a substantial role in the success of Brickell’s market.

This 1,633 sq.ft. 51st floor unit at Icon Brickell was sold by the David Siddons Group in October, 2013, at $569 per sq.ft.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Brickell

Brickell Heights is one of the newest construction projects selling in Brickell. Currently selling at an average $570 per sq.ft., with 55% of Tower 1 sold, units are available for sale from: $380,000 to $2,000,000.

Pre-construction

Commercial Behind the condo boom comes a significant amount of

Brickell pre-construction continues to sell well. 78% of

commercial

new

all new construction is already sold. From the total

commercial construction of which only 2% is pre-leased

3,496 units made, 786 are still available, spread across the

(There is currently 112,421 sq.ft. of commercial space

following condos: Nine Mary Brickell Village, Echo Brickell,

available in Brickell). The development of the Brickell City

Brickell Heights, 1010 Brickell and The Bond. These new

Center and the new 444 Brickell Building are two key

projects represent a new level of luxury for Brickell -

commercial projects that will impact the neighborhood.

private elevators, summer kitchens, floor to ceiling glass

development

with

128,580

sq.ft.

of

and automated parking systems are ever present in many of the architectural designs and show comparisons drawn ARTIST CONCEPTUAL RENDERING

should be with the best that Brickell has to currently offer: Asia, Tequesta 2, Bristol Towers, Four Seasons and Santa Maria as examples.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Downtown $ Property Values

sq.ft.

Average Price

20%

11% Longer

13

451

Months of Inventory

time it took to sell 2012/2013 comp.

2

Number of Pre-construction Condo Projects

The Downtown Condo Market The Downtown neighborhood of Miami has seen substantial growth over 2013. The average price for units sold in this neighborhood increased from $521,171 to $648,340 and increased from $375 to $451 per sq.ft. What was traditionally a lower value neighborhood compared to Brickell

has

been rapidly changing, interestingly the number of properties sold over $1 million dollars increased 350%, giving buyers and sellers a good indication of the changing dynamic of the neighborhood. As an addition to Marquis, 900 Biscayne, Ten Museum and the newest of the existing luxury condos in this area, Paramount Bay comes 1000 Museum Park, designed

by Zaha Hadid. Much like Echo in Brickell, it looks to set a new standard for this neighborhood as it sets to compete with the best condos found in other neighborhoods.

Infrastructural and Neighborhood development The

Miami

Art

Museum

Additionally,

Science located Met

museum, in

Squared

under

downtown which

is

construction

the

Perez

December

and

2013.

opened

in

another

commercial

develop-

ment under construction will be ready in 2016 with the opening of Whole Foods and a 16 Screen Odeon Cinema. Other new construction contributions to this neighborhood include Resorts World and the Miami World Center - a mixed use development including retail, restaurants, entertainment, hotels

and commercial all of which will all no doubt

influence the residential desirability of this neighborhood for the future.

This 2 bedroom unit on the 20th floor at Paramount Bay was featured by HGTV and sold by the David Siddons group for $1,000,000 in March 2013. Selling at $571 per sq.ft. It’s currently rented at $9,000 per month.

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DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Edgewater $ Property Values

23%

377

sq.ft.

Average Price

13

Months of Inventory

14% Faster

time it took to sell 2012/2013 comp.

6

Number of Pre-construction Condo Projects

Biscayne Condo Market The Edgewater district sits just to the South of the Design district and just to the north of Downtown. It has long been an area of low levels of urban development, but in the last few years it has become a focal point for new residential pre-construction: Open water views, easy access to Miami Beach, a flourishing design district on the doorstep and a level of urban regentrification has all made this the obvious choice for many developers.

All the waterfront land in Brickell and most of Downtown has been taken which has driven developers to look to this neighborhood for building of new condominiums, of which there are 6 new projects that will be delivered to the market between 2015 and 2016: Icon Bay, Bay House, Biscayne Beach, Baltus, The Crimson and Paraiso Bay – which will have five independent towers and is developed to become more of a community. Currently 74% of these have now been sold (1,089 of the 1,465 units available).

Within the neighborhood, price per sq.ft. for units sold between 2012 to 2013 rose by 23% - the highest increase of any neighborhood in Miami.

It is still probably the most affordable of all the condo neighborhoods analyzed at $377 per sq.ft. and an average sale price of $479,320 in 2013.

Further analysis shows there were only 13 condos sold over $1 million in 2013 , compared to 111 in Brickell or 204 in Miami Beach.

Biscayne Beach features a full array of amenities including a man made beach club with restaurant.

Its 1 of 6 luxury pre-construction condos that are being sold in Edgewater. Unit prices start from $400,000.

For a complete rundown of condo units available with side by side comparison in this and all the other projects in the neighborhood, click here.

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An Investors guide to

South of Fifth CONDOS $ Property Values

12%

905

sq.ft.

Average Price

11

Months of Inventory

5%

Faster

time it took to sell 2012/2013 comp.

4

Number of Pre-construction Condo Projects

South of Fifth, Miami Beach Condo Market South of Fifth continues to see the highest value of condo property for Miami beach, perpetuating the “this is the place to be� attitude. The average sale price for units is $1,713,448. A neighborhood that

is

home to Continum and Apogee the 2 most expensive and luxurious of Miami condos can now boast several new pre-construction condos that will be finished in 2016: Glass 120 Ocean, 321 Ocean, Marea and One Ocean (which has already sold out). Prices start from $1,550 per sq.ft. You can compare them all side by side on our pre-construction analysis page (page 8). The other established and highly popular condos are: Murano Grande, Murano at Portofino and Portofino Tower. Compare them here, starting from around $1,000 per sq.ft.

One of the newest projects in South of Fifth is Glass 120 Ocean, made predominently out of glass and is selling for an average of $2,686 per sq.ft.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Miami Beach CONDOS $ Property Values

Unchanged

589

sq.ft.

Average Price

10

Months of Inventory

17% Faster

time it took to sell 2012/2013 comp.

8

Number of Pre-construction Condo Projects

Miami Beach Condo Market Miami Beach condos sell for an average price of: $763,768. There is obviously a huge variety of condos found within Miami Beach (running from 5th all the way up to 95th and Collins): from those built in the 1970’s right up to brand new ones. To gauge the best investment within a particular building or a particular budget it is best to call me directly or research them through our Blog on ‘Miami Beach Condos’. The most popular of the existing condos in Miami Beach can be fully researched and understood here, these include: The Mei, Bath Club, Caribbean, Mosaic, Blue and Green Diamond, Setai, The W.

1 Hotel and Homes is one of the newest condos to be launched on Miami Beach. With units selling from $1 million to $6 million (from $1,200 - $1,700 per sq.ft.) this new project along with condos like Faena, and The Ritz Carlton are setting a new standard for Miami Beach Condos.

In 2013, and now into 2014, we have seen the launch of many very very high end condos on Miami Beach. With a price for many in excess of $1,500 per sq.ft., we expect to see the dynamic of the beach condo market changed forever. On the beach side: The Edition, Faena House, 1 Hotel and Homes, and Beach House 8. On the bay side pre-construction prices obviously run much less: The Ritz Carlton Residences, 1215 West Ave, and Peloro. Compare the complete list of pre-construction condos here.

Ritz Carlton Miami Beach prices from $1,200 per sq.ft.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Miami Beach Single family homes $ Property Values

14%

sq.ft.

Average Price

5%

Waterfront Property Values

554

$

933

8

Months of Inventory

14% Faster

time it took to sell 2012/2013 comp.

sq.ft.

Waterfront Average Price

Miami Beach Home Market By the end of 2013, the average sale price in this neighborhood rose by 7% to: $2,734,474. Waterfront properties are also a dominant part of the Miami Beach single family market, and the average price for waterfront homes in 2013 was $933 per sq.ft., a rise of 14% in just 12 months.

Miami Beach Luxury Single Family Neighborhoods Within Miami Beach you will also find a few specific single family neighborhoods or roads that are noteworthy due to their extremely desirable and unique waterfront properties. The average sale prices for 2013 range

This 4 bedrooms Miami Beach home with 2,768 sq.ft. sold in June 2013 for $1.5 million.

That’s $542 per sq.ft., which was typical of the average values of non waterfront homes sold in the neighborhood.

from $3 million to $6 million, The neighborhoods are – North Bay Rd, La Gorce and Pinetree Drive and the Miami Beach Islands of: Palm, Hibiscus, Venetian Islands, Star and Sunset. You can find the specific characteristics and movements over 2013 here.

Feb.18, 2014, this stunning 6 bedrooms, 7,500 sq.ft. waterfront home on the luxurious Pinetree Drive sold for $925 per sq.ft.

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DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Bal Harbour Single family homes $ Property Values

39%

398

sq.ft.

Average Price

$

CONDOS

981 5

sq.ft.

Waterfront Months of Average Price Inventory

6% 5

Faster

Months time it took toofsell Inventory 2012/2013 comp.

6% ?

Faster

Number of Pre-construction time it took to sell Condo Projects 2012/2013 comp.

$ Property Values

8%

531

sq.ft.

Average Price $1,080,282

15

Months of Inventory

10% Faster

time it took to sell 2012/2013 comp.

1

Number of Pre-construction Condo Projects

The Bal Harbour Real Estate market in 2013.

The Bal Harbour neighborhood offers an interesting blend of very high-end new condos and much older condos as well as luxury waterfront living near one of the worlds most exclusive and luxurious shopping malls. The ultra luxurious St Regis Condo experienced a recent number of resales in 2013 which resulted in record breaking sale prices never previously seen in this neighborhood, explaining the huge surge in average property values over 2013.

Bal Harbour Condo Market The 2013 average sale price of a condo in Bal Harbour rose to $1,080,282 at an average sale price of $531 per sq.ft., up 8% from 2012. More interestingly the number of condos sold over $1 million increased from 35 in 2012 to 57 in 2013 - up a staggering 63%, this was largely due to the start of resales at the St Regis Condo where sales prices jumped to over $1,200 per sq.ft.

The average time it took to sell these properties also decreased, with time on the market dropping on average 10% from the year before. The inventory levels for condos are currently 15 months supply, a higher inventory level than the rest of Miami, indicating that Bal Harbour is still a buyers market. There is only one new pre-construction project existing in Bal Harbour: Oceana Bal Harbour. This ultra luxury building offers 239 oceanfront 2,3 and 4 bedroom condo units with maid quarters, as well as 4 penthouses and 3 duplex upper penthouses. Prices start from $1.7 million.

Bal Harbour Single Family Market The 2013 average sale price of a home in Bal Harbour rose to $1,465,947 at an average of $398 per sq.ft., up 39% from 2012. The time it took to sell these properties also decreased, with time on the market dropping on average 6% from the year before. The inventory levels for homes in Bal Harbour is just 5 months. Such a shortage of inventory suggests a very strong investment market.

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DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Sunny Isles Single family homes $ Property Values

30%

362

sq.ft.

Average Price

$

CONDOS

507 17

sq.ft.

Waterfront Months of Average Price Inventory

20% 17 Faster

time itMonths took toofsell Inventory 2012/2013 comp.

20% ?

Faster

Number of Pre-construction time it took to sell Condo Projects 2012/2013 comp.

$ Property Values

12%

549

sq.ft.

Average Price

13

Months of Inventory

4%

Faster

time it took to sell 2012/2013 comp.

8

Number of Pre-construction Condo Projects

Sunny Isles real estate is predominantly a condo market but also offers some great waterfront homes that have increased significantly in value (30%) over the last year.

Sunny Isles is home to some great

high-end condo brands such as the Trump Towers, Jade Ocean, Jade Beach and Oceania. Sunny Isles has been increasingly in the news lately for the relatively high amount of (8) ultra-luxurious, new pre-consturction condos attracting wealthy investors from all over the world.

Sunny Isles Homes The 2013 average sale price of a home in Sunny Isles rose to $1,148,553 at an average of $362 per sq.ft., up 30% from 2012. The time it took to sell these properties also decreased, with time on the market dropping on average 20% from the year before. The inventory level of Sunny Isles homes is 17 months. This is a higher inventory than the rest of Miami, indicating that Sunny Isles is still in a buyers market.

Sunny Isles Condo Market The 2013 average sale price of a condo in Sunny Isles rose to $1,038,671 at an average of $549 per sq.ft., up 12% from 2012. It is interesting that the sales of condos worth $1 million and over increased by 20%, leading us to believe the profile of owners buying in this neighborhood continues to rise. The time it took to sell these properties also decreased, with time on the market dropping on average 4% from the year before. The inventory level of Sunny Isles condos is 13 months.

The Sunny Isles condo market has a significant amount of pre-construction condos for sale with many exceptional qualities: Porsche Tower, Regalia, Muse Sunny Isles, Chateau Beach, Parque Towers, Mansions at Aqualina, and Jade Signature. You can read about the specifics of these condos here.

Porsche Design Tower, in Sunny Isles, prices ranging from $5.8 million to $32 million. 80% are sold in anticipation of completion in 2016.

If you want to gain a deeper understanding of this neighborhood browse our Sunny Isles Real Estate Blog.

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DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Aventura SINGLE FAMILY HOMES $ Property Values

6%

312

sq.ft.

Average Price

$1,101,138

$

CONDOS

324 11

sq.ft.

Waterfront Months of Average Price Inventory

14% 11 Faster

time itMonths took toofsell Inventory 2012/2013 comp.

14% Faster

time it took to sell 2012/2013 comp.

$ Property Values

12%

290

sq.ft.

Average Price

$575,885

10

Months of Inventory

18% Faster

time it took to sell 2012/2013 comp.

3

Number of Pre-construction Condo Projects

* Data does not include pre-construction sales over 2013 * Data does not include pre-construction sales over 2013

Aventura Homes

Aventura is well known for its shopping. The Aventura mall is ranked as the second most visited mall in the US with 28 million visitors a year. A close proximity to Sunny Isles Beach, it has a mixture of old and new condos.

Established projects such as Turnberry on the Green mix with newer projects like Penninsula 2, and these will soon be accompanied by several other new projects: Echo Aventura, Marina Palms and Prive. These are selling between $500 and $775 per sq.ft.

Aventura Condo Market The neighborhood has a number of older condos and projects are commonly sold to those looking for a second or third home and is well suited to those looking for a very affordable condo close to the beach – the average price for condos is still just $290 per sq.ft. (while certainly there are a number of newer condos where prices can easily exceed $500 per sq.ft.).

Interestingly, the number of million dollar condos sold in 2013 compared to 2012 rose by 78% which certainly suggests a changing demographic.

Inventory importantly sits at a level of 11 months for home and 10 months for condos. This would suggest a stable market, neither aggressively a sellers or a buyers market. Smart buyers here would be best advised to seek out the anomalies and to not assume any huge sudden rises in property value, but nor sudden drops either.

Commercially speaking, we also have 40,000 sq.ft. of new commercial construction in progress, which represents just a 2% increase in the current 2,160,000 sq.ft. of commercial space that currently exists.

Prive at Island Estates, Aventura

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Key Biscayne SINGLE FAMILY HOMES $ Property Values

$

32%

sq.ft.

Average Price $2,769,224

21%

Property Values

748

15%

15%

Months of Inventory

time it took to sell 2012/2013 comp.

11

Faster

1,688sq.ft.

Waterfront Average Price

The Key Biscayne real estate market has performed very well over 2013. As we look into 2014 we notice that the real estate landscape of Key Biscayne is changing very little (in comparison to other neighborhoods). This 12 mile long island is considered one of the most exclusive areas in Miami and one of the highest incomes per capita neighborhood in the United States. What makes it even more unique is the lack of land availability and the limitations put on construction on the island due the preservation of the park areas. This has meant that the supply curve shifts very little, sheltering this neighborhood from any over abundance of construction.

Single Family Market The Key Biscayne house market sells at $748 per sq.ft. for non waterfront property and $1,688 for waterfront property. The value for single family rose a staggering 32% for waterfront homes from 2012 to 2013 and 21% for non waterfront and with a stable 11 months supply of inventory we expect this market to continue to rise through 2014.

260 Cape Florida Drive Waterfront property with 9 bedrooms, 8.5 baths, 18,091 sq.ft. is listed for $18,900,000.

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to

Key Biscayne CONDOS $ Property Values

17%

582

sq.ft.

Average Price

$1,033,357

6

Months of Inventory

25% Faster

time it took to sell 2012/2013 comp.

2

Number of Pre-construction Condo Projects

* Data does not include pre-construction sales over 2013

Condos The Key Biscayne condo market has a limited but highly desirable presence of luxury condos that again have performed extremely well over 2013 and continue to do so in 2014. These are most notably: The Ocean Club Project and The Grand Bay Residences (also known as the Ritz Carlton).

These projects are now selling around the $1,000 per sq.ft. range. For

The Ocean Club Key Biscayne

specific availability please contact me directly.

The only new projects for Key Biscayne are The Oceana Key Biscayne project, which only has a few units remaining (98% sold) and is selling at over $2,000 per sq.ft. and 101 Key Biscayne which is selling at $960 per sq.ft. and is 70% sold. Both projects will be completed in the later half of 2014.

Oceana, Key Biscayne is one of only two pre-construction projects for the neighborhood.

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INVESTORS GUIDE TO MIAMI 2014

Ocean Tower Two - 791 Crandon Blvd., Unit 808 This 4 bedrooms, 5.5 baths, 5,207 sq.ft. unit is currently listed at $6,500,000.

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL

An Investors guide to Miami 2014

Conclusion We are sure that those who find this report, whether it be through Google, from a flyer or emailed directly to you, received it through Bloomberg or you heard about it through the reported press, we are confident that this will provide you with the tools to give you a serious advantage in the Miami real estate market.

However, we are aware that markets change very fast. We will be updating this report with year long refreshing along with daily updates on our neighborhood blogs which will make this report useful and up to date regardless of whether you read it in April or November.

If you are a developer, an investor or an agent, and you find any inconsistencies or have any up to date information on prices, new projects or otherwise, please let us and know and we will endeavor to update the report accordingly.

David Siddons Cel: 305 508 0899 Email: Siddons.d@ewm.com Office: 901 South Miami Ave, Suite 215, Miami, FL 33130

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INVESTORS GUIDE TO MIAMI 2014

DAVID SIDDONS GROUP, EWM REALTY INTERNATIONAL