As The Miami Market ‘Adjusts,’ Downtown Condos Nosedive & Rents Hold Steady
After five straight years of property value gains, Downtown Miami condominium resale prices are down 4% so far this year. On the rental side, a just-as-impressive streak of lease inflation in the urban core that began back in 2012 has finally broken. Rents are staying flat these days, and showing some downward pressure, due to piles new apartment inventory churning away in the pipeline and just now coming to market. Both of these market shifts were reported in the mid-year report from the Miami Downtown Development Authority, released this week, and the implications could be big. The greater Downtown area has for years been the center of Miami’s rapid urbanization, seeing huge amounts of growth. It fueled big gains. Well, the gains have finally gone, and Downtown’s performance is a lead indicator for the rest of Miami. The boom has bellowed out.