On June 7, 2007, I wrote about a 2 bedroom/2 bath penthouse loft at Uptown Lofts that, at the time, was a short-sale. The loft has 1,965 square feet of interior space. Since that time, the unit has fallen into the hands of the bank. The list price was recently reduced to $375,000, or about $191 per square foot. As of January 31, 2008, the loft went under contract. Who knows what the actual contract price of the unit is, however.
The unit does need some work but I think, for the price, the buyer got a fantastic deal on this loft. There aren’t many lofts in Miami of this size with a direct bay view. I previously had the property on my “Deals” page which, by the way, I updated tonight. For more details on this loft visit my previous post on it. You can view the MLS listing page here.
16 responses so far ↓
1
Sean
/Feb 5, 2008 at 11:59 pm
Vote: 
Are they including air space in the square footage? I really doesn’t look like it’s almost 2000 square feet in the video.
2
jcrimes
/Feb 6, 2008 at 12:05 am
Vote: 
it’s an alright unit in an alright building. speaking of deals lucas, what do you think about the unit at 734(?) michigan avenue dropping down to 459k? i’ve been inside of it before…needs a little work, but the space is impressive for the right purchaser.
3
Lucas Lechuga
/Feb 6, 2008 at 12:14 am
Vote: 
Sean – I don’t think they included airspace. I think that is relatively new concept to confuse buyers. It felt about 2,000 square feet to me.
jcrimes – I’ve visited that development before. When I visited, however, it didn’t include any appliances. I guess the developer decided to finally throw them in with the price. Good move! The one thing that I didn’t like is that there isn’t a whole lot of natural light. That’s a big thing for me. The bedrooms were pretty small as well. It’s a good price for the location but, in my opinion, I think it’ll sell for around $385,000.
4
Samir Patel
/Feb 6, 2008 at 10:12 am
Vote: 
This uptown loft is not that special. I just didn’t like the building much. It seemed very simple to me when you compare to all the newer buildings with full scale amenities. Also another thing I would say would have detered buyers was the fact it has bayviews but who knows for how long. There are multiple lots East of the building which for sure will be built on one day in the future.
734 Michigan is a great property. It is unique, has great architecture, and on a nice street. Soon you will have shopping very close by as well.
5
lara
/Feb 6, 2008 at 12:20 pm
Vote: 
I think that for the price it is a great deal. You have a space there and though it seems simple now but you can play with this space a make a wonderful designer unit
6
GT3
/Feb 6, 2008 at 4:13 pm
Vote: 
Lucas,
“Uptown Lofts Pre-Foreclosure – Under $275 Per Square Foot with Great Bay View!”
This was your “headline” about 6 months ago. You continued your post with…
“I wouldn’t be surprised if the bank accepted an offer slightly less than $250 per square foot. That would be an amazing deal! It is next to impossible to find a property for under $300 per square foot in a recently constructed building with a direct, unobstructed bay view in the Arts District. $350 per square foot is more like it. The monthly maintenance fees are $987 per month.”
First (and admittedly easy to state in hindsight), it would have turned out to be a horrible deal. Second, the building and the unit are subpar. Third, as Samir stated, there is no guarantee that you’ll have the bay view indefinitely. Although it may currently have an unobstructed bay view, it’s difficult to avoid looking at all of the low to mid-level properties that occupy the “unobstructed” space between the building and the water. Fourth, the maintainance fee is obsurd considering the lack of amenities and the upkeep necessary for that size building. Fifth and final point: It is a good deal if you have no plans to sell within 15 years, want to reside there, and enjoy the proximity to the Miami art scene and your crack dealer.
7
Buyer Tom
/Feb 6, 2008 at 7:21 pm
Vote: 
Guess it goes to show just what this market is that what was once a good deal around $250, actually goes for 20% less than that. This is the worst housing downturn since the Great Depression. I think I am looking to rent instead…
8
Lucas Lechuga
/Feb 6, 2008 at 7:41 pm
Vote: 
GT3,
I included a link to my previous post because I DID want to let everyone know that the market fundamentals have changed since June of last year. I’m not hiding anything and that’s always been my mindset in publishing this blog. I may end up being proven wrong but I’m always reporting what I think is true at the time.
Prices have come down and there are better opportunities at this time than were available in June. As you stated, it is easy to say in hindsight that something would have been a bad investment. At that time, $275 per square foot was a great deal for a unit with that space. Nobody ending up buying it however. I think, at less than $200 per square foot, it is a steal. I hate to use the word “steal” but I think it really is. The view may be blocked in the years to come but I don’t think that will happen for another 5-10 years. By then, the market will have stabilized and prices will have gone up. Same thing goes for the neighborhood. The neighborhood may be a bit shady right now but in 5-10 years I think there will be a lot of interest in the Arts District. At that time, you can kiss sub-$200 per square foot good bye!
9
Buyer Tom
/Feb 6, 2008 at 10:29 pm
Vote: 
Any cool South Beach condos/lofts/houses at good prices?
10
jcrimes
/Feb 6, 2008 at 10:58 pm
Vote: 
yeah…734 michigan, the interior unit (at least u think its nearing a good price and is nice). i’m pretty certain that majestic (i think they bought it out) will sell it around 400k. whoever the owner is, they’re definitely willing to negotiate. you could hold out, but, if it’s the difference between 400k and 385k, is that really a big difference in terms of a mortgage?
also, there’s a unit at lunamar that’s in a distressed situation. the mnt fee is absurd, but if you don’t care about stuff like that, it’s pretty nice. i’ve always been a fan of this building (some hate it).
and of course, there’s the big boy unit that lucas was talking about a few weeks back at montclair. i’m with lucas – it’s a great unit, and although the price needs to come down a little, don’t expect a huge drop. someone will snap it up well before that happens.
everything else is out of control in terms of price for lofts on the beach. there’s a foreclosure at ilona but don’t know much about it.
11
Sbki
/Feb 7, 2008 at 9:36 am
Vote: 
Is this the 734 Michigan unit people are referring to around 400k?
http://www.734michigan.com/
12
RMP
/Feb 7, 2008 at 9:54 am
Vote: 
Finally prices coming in reach of affordability for the Miami residents.
Not everybody is a rich NYer
13
Lucas Lechuga
/Feb 7, 2008 at 3:09 pm
Vote: 
Sbki,
Yes! That’s the one.
14
Met 3
/Feb 7, 2008 at 3:47 pm
Vote: 
I am a buyer at 150square foot, down from 200 on any loft. I am still more motivated to buy beach front as an investment first. how much is beachfront down to now?
15
Buyer???
/Feb 7, 2008 at 4:08 pm
Vote: 
I know this is a bit off topic, but I was looking at a 20+ year condo that was remodeled over the last year…..all new wiring, all new plumbing, all new HVAC. The work looks to be nice quality but I inquired if a permit was pulled for the renovations and the answer was “no”. Should I be concerned? Or should an extra thorough professional inspection be enough? Can the city come back on me? Any clue?
16
Lucas Lechuga
/Feb 7, 2008 at 5:27 pm
Vote: 
Buyer,
Having an extra thorough inspection probably won’t do you any good. The inspection will just reveal whether or not there are any fundamental issues with the unit such as the outlets or AC not working. I don’t know enough about city code but if there does need to be a proper permit for the work, then my concern would be that the next buyer will ask about the permit as well. Most buyers probably won’t care but there are a few that may question it.
Leave a Comment