One Thousand Museum by Zaha Hadid to be Formally Announced Next Week
The wait is almost over. The new Zaha Hadid development to be located at 1000 Biscayne Boulevard will be formally announced next week. It had been expected to be called 1000 Biscayne Tower but that is no longer the case. The developers have instead decided to call the luxury residential high-rise One Thousand Museum.
Over the past two months, there has been a lot of buzz and excitement surrounding this upcoming development. The internationally acclaimed architect, Zaha Hadid, has a huge cult-like following all around the world, and for good reason. Her resume is impeccable with a laundry list of achievements and award-winning past projects. As a result, I expect there to be a lot of interest for condos at 1000 Museum. This development, however, will not be for the average buyer. My sources tell me that this development will target the uber-rich who are looking to not only invest in a luxury residence in Miami but also buy into a work of art that will be known all around the world. It is expected to set a new bar for condo prices in Downtown Miami. I would not be surprised to see prices for condos at 1000 Mueum hit $1,000 per square foot out of the gate.
By the way, I did a little research to see if I could substantiate the news which was provided to me yesterday. I discovered that Louis Birdman, one of 1000 Museum’s two developers, registered the domain 1000museum.com on January 9, 2013. If that’s not enough proof then I don’t know what is. Stay tuned because I will have a lot to report on this exciting project in the weeks ahead.
Miami Featured on “Today” Show This Morning
This morning, Miami was once again in the national spotlight. The young, vibrant and beautiful city was featured on the “Today” show for its Friday Field Trips series. The three minute video clip above will give you a gist of the praise that Miami received during the morning show’s coverage of the city. Miami is no longer seen as just a winter playground. It has seen tremendous growth over the past four decades and has exploded onto the international scene. Miami has become a cultural mecca for travelers from all around the world and now competes with some of the highly acclaimed international cities for their attention. I must say, Miami was captured quite beautifully in this piece. Great job!
Coming Soon: A New and Improved Miami Condo Investments Website
Behind the scenes, my business has seen a lot of big changes take place over the past couple of months. It has been an extremely hectic time for me with most days me getting only three to four hours of sleep. I’ll get into some of the other big changes at a later date. For now, I want to discuss a project that has been a little over three months in the making and something for which I am extremely proud of and excited. My website developers and I have been working diligently to put together all the pieces of the puzzle to create a masterpiece real estate website that will truly wow people. Our end goal when undertaking this project was to create a real estate website for consumers which is pleasing to the eye but also quick and easy to use. In a nutshell, we wanted to simplify my existing website and eliminate all of the clutter. The screenshot above shows what we came up with for the homepage.
It should immediately be clear that the Miami luxury real estate market will now be at the forefront of my business. That does not mean, however, that the mid-level market, which has been at the core of my business for years, will be abandoned. The new iteration of my website will continue to include the mid-level market but present it in a more sophisticated manner.
Below, you will see what we came up with for the building profile page. I like to think of this page as having a left and right panel. At all times, the left panel will display the picture slideshow for the condo development along with its description underneath. The right panel is where the magic and innovation happens. Clicking on the tiles in the right panel will cause content related to that tile’s description to suddenly slide into view. No new page to load and, most importantly, no need to scroll. All of the information is hidden off the screen ready to jump into view upon request by the user. When creating the design for this new website, we kept desktop, tablet and mobile users in mind. As a result, we went with a responsive website design. For those not familiar with responsive website design (RWD), the simplest way to explain it is that the design of the website transforms to respond to the size of the user’s display. See the third screenshot below to see what the second screen would look like on a tablet or smartphone with a vertical orientation. It is important to note that this is not a mobile-only version of the website. This is the exact same page but it has “responded” to the user’s display and has transformed itself automatically.
We plan to have the new website launched by the end of this month…so stay tuned.
Best Luxury 3 Bedroom Condo Deal in Brickell
“Luxury” is a word that is oftentimes used carelessly without any regard for its true, intended meaning. When it comes to Brickell, only a handful of condo developments deserve to be mentioned in the same sentence as that descriptor. In my opinion, Santa Maria is at the top of that list followed closely by Four Seasons Residences. Despite being built in 1993, Bristol Tower is a second Ugo Colombo development that would make the short list of luxury residential buildings in Brickell. It has stood the test of time and remains one of Brickell’s most distinguished condo developments. Colombo’s work is synonymous with the word “quality”. Along with Bristol Tower, he has developed such masterpieces as Santa Maria, Epic Residences and Hotel and Grovenor House. All four buildings today look just as flawless as they did the day they were completed.
That being said, luxury three bedroom condos in Brickell are in very short supply. Very few are available at the aforementioned Brickell condo developments and most are priced above $2M. There is one listing, however, that is stunning and has stuck out in my mind as being an incredible deal. It is a spacious 3 bedroom plus den, 4.5 bath residence which has 2,825 interior square feet, a large wrap-around balcony offering majestic bay and city views, a laundry room with Miele appliances, white Porcelanato floors in the living areas, wide-plank hardwood floors in the bedrooms and a white Italian kitchen with rare Quartzite green countertops as well as kitchen appliances by Miele and Sub-Zero. The condo, unit 3302, is located on the 33rd floor, just two floors below the penthouse.
The best part of this elegantly appointed three bedroom condo at Bristol Tower is its price. The sellers are asking just $1,749,000, or $619 per square foot. For comparison sake, unit 2702 at Bristol Tower sold for $1.61M, or $570 per square foot, this past December. That was a complete gut-job though and requires at least $100 per square foot to make it comparable. Obviously, unit 3302 also has a better view being that it is located six floors higher than unit 2702. Additional evidence to support my assertion that unit 3302 is a great value can be found in a second recent sale at Bristol Tower which closed on October 29, 2012. Unit 3005, a smaller three bedroom floor plan, sold for $606 per square foot. It is important to note, however, that the 05 line at Bristol Tower faces southwest and has only a slight water view. It is predominantly a city view with a sliver of water. Also, all of the bathrooms in that unit are original whereas all of the bathrooms in unit 3302 have been upgraded. After adjusting for water view and upgrades, it becomes obvious that unit 3302 is a great deal even at full asking price. My prediction is that this one will be under contract by month’s end.
The Best 2 Bedroom Condo in Brickell for Under $800K
Update: This condo received three offers this past week and is now pending sale.
I know value when I see it and I recently saw it when I had the opportunity to show a stunning tower suite condo at Villa Regina. In my opinion, it represents the best 2 bedroom condo in Brickell that money can buy for under $800K. The spacious floor plan has 1,895 interior square feet, 400 square feet of balcony and soaring 11-foot ceilings. Every inch of this condo has been tastefully remodeled including both bathrooms and kitchen. The split floor plan has 24×24 marble flooring in the living room, wide-plank wood flooring in the master bedroom and bath, a private balcony off the master bedroom, front-loading washer and dryer, induction cooktop, recessed lighting throughout the condo and a very large walk-in closet off the master bedroom. It also offers an amazing view of Biscayne Bay. The best time to tour this condo though is around 6:10pm as the sun is setting. Pure beauty! The asking price is $799,000, or $422 per square foot, without the furniture. The owners, however, are open to selling the furniture separately. I highly recommend that because the furniture compliments the unit incredibly well.
This unit is located on the second highest floor in the building. At Villa Regina, the ordering of the floors is as follows, from the lowest to highest: Penthouse 1, Penthouse 2, Tower Suite 1, Tower Suite 2. This 2 bedroom condo is located on the Tower Suite 1 level.
I want to note that this is not my listing and am in no way affiliated with the office which has it listed. I also haven’t received any type of fee from the listing agent for promoting this condo. I just truly feel that the property represents a great value and whoever buys it will love coming home to it each day. That actually describes this property perfectly – it doesn’t feel like a condo; it feels like a home. Obviously, my hope is to represent the person(s) who buy this residence so please contact me if you have any questions or if you would like to schedule an appointment to see this unit in person. I also have a video which I can forward to you via email. You can reach me on my cell at 786-247-6332 or email at [email protected].
myBrickell Tops-off According to Schedule
Almost nothing in Miami goes according to schedule. That is why I was pleasantly surprised to learn that myBrickell topped-off earlier this month. Far before the first shovel even broke ground, Related Group projected that top-off would occur in February 2013. Letters were mailed to contract holders last week on February 1st to announce the good news. Closings had been projected to start in September of this year. I guess we will see if Related Group is able to meet that deadline as well.
For those unfamiliar with the development, myBrickell is a 28-story, pre-construction condo development in Brickell with 192 total units. It has been sold out for quite some time.
Case Study: Determining the Value-added for Having High Ceilings
A high ceiling is a feature which is typically associated with a penthouse. It can be difficult in these situations, however, to ascertain the value that is attributed solely to having higher ceilings. This is because a penthouse typically also has other value-added features such as one or more of the following:
an upgraded master bathroom
an upgraded kitchen
the best view in the building
an unusually large floor plan in relation to other floor plans in the building
additional parking spaces
Most importantly, a penthouse is rare and therefore commands a higher premium than the rest of the floor plans in the building that are in greater supply.
What if, however, we could hold all else constant in order to better determine the added value that is associated with having high ceilings? In this regard, Icon Brickell presents itself as an interesting case study. The penthouses at Icon Brickell do NOT have higher ceilings than the rest of the units. However, certain floors do have higher ceilings. In Tower 1 of Icon Brickell, floors 14, 15, 22, 28 and 41 have 16-foot ceilings. In Tower 2, floors 14, 15, 22 and 41 have 16-foot ceilings. The rest of the floors, including the penthouse levels, have 9-foot ceilings. As a result, it is very possible, and highly likely, that a unit located on the 41st floor will sell at a premium to a comparable unit that is located on the 42nd floor. Furthermore, the situation also presents the possibility that a unit located on the 41st floor will sell at a higher price per square foot than one located on the penthouse level.
Due to the lack of resales, there is no evidence to validate my assumption but I think we can all agree that a high ceiling is a feature that should indeed command a premium. Of course, there are going to be those who would argue that they would never pay a premium for having higher ceilings due to the higher energy costs that would be associated but, then again, those are the type of people who likely wouldn’t pay a premium for just about anything. I’m not here to provide everyone with an all-knowing answer as to what that premium should be. The answer will be provided to us by way of our free market economy. However, it makes for an interesting story to follow.
Which would you rather have, a penthouse located on the 57th floor with a 9-foot ceiling or a unit located on the 41st floor with a 16-foot ceiling?
Marina Blue Market Update – 2011 to Present
Below is a market update that I emailed to Marina Blue condo owners late last week. While not everyone reading this will have an interest in Marina Blue, I think a similar upswing in prices and lack of inventory as described below holds true for most major condo developments throughout Greater Downtown Miami.
If you haven’t heard, the real estate market in Miami is once again heating up and prices for condos at Marina Blue are following suit. Demand is high and inventory is low, paving the way for a strong 2013. Just how strong you might ask? I decided to crunch some numbers to help answer that question.
The left-hand side of the chart below graphically illustrates various statistics regarding asking prices in 2011 (blue), 2012 (red) and 2013 (green). There haven’t been any closed sales thus far this year so the right-hand side of the chart illustrates only sales that took place in 2011 (blue) and 2012 (red). It should be noted, however, that currently there are 4 pending sales at Marina Blue.
In 2011, there were a total of 33 closed transactions which sold at an average price of $324,806, or $299 per square foot. In 2012, the number of closed sales increased 73% to 57 and sold at an average price of $378,495, or $329 per square foot. Due to outlying sales that skew the averages, the median sales price can sometimes provide a better sense for the overall market but that is not the case with this data set. The average and median figures for each year are relatively in line with each other. The average sales price increased 16.5% from 2011 to 2012 while the average price per square foot increased only 10%. This indicates that a greater percentage of larger units sold in 2012 than in 2011.
That brings us to the present day. As of January 14, 2013, there were 29 condos available for sale at Marina Blue. These units ranged in price from $355,000 to $2.8M. The average list price is skewed dramatically, however, due to one listing that is way off base. In this case, the median list price of $515,000 provides better insight into the overall market than the average list price of $698,793.
The chart below follows the same format as the chart above but breaks everything down on a price per square foot basis.
When comparing current availability with closed sales in 2012, it should be immediately clear that current asking prices are very high relative to where condos have sold in 2012. The median sales price per square foot in 2012 was $326 while the median asking price per square foot is currently $452. That is a huge gap but presents a big opportunity for someone who is looking to sell fairly quickly at an above average market price. To be clear, I feel that the average unit will now get $370-$380 per square foot. That is a very healthy premium when comparing it to the median sales price per square foot in 2012. Obviously, units on high floors with above average build-outs should fetch even more.
As inventory dwindles, I have noticed that more and more condo owners throughout Miami are starting to raise their asking prices. For example, of the 62 units currently available for sale at 900 Biscayne Bay, 13 of the owners have decided to increase their offering price since initially hitting the market. At Ten Museum Park, 6 of the available 22 units are now offered at a higher price than was available just months ago. A similar trend can be seen at plenty of other major condo developments throughout Miami as well. Sellers are taking advantage of the low inventory and are adjusting their offering prices accordingly.
Brickell Condo Market Expected to Remain Strong Throughout 2013 and 2014
As of late, little has been said about the fact that myBrickell and 1100 Millecento are completely out of inventory. With the exception of two very large penthouses, the same goes for BrickellHouse. Take a moment to digest that piece of news. Of the 948 combined units that these three developments represent, only two remain available. That speaks volumes about the strength of this real estate market in Miami. 192 units at myBrickell are scheduled for delivery towards the end of this year and the balance of condos from the two other developments are not expected until the end of 2014. In the meantime, demand remains high so existing condo inventory should continue to dwindle. There isn’t much help on the way in near term either. We know that there will be a residential aspect to the highly anticipated Brickell Citicentre, which is currently under construction, but no sales information has been released as of yet. Regardless, completion of those condominiums would not be expected until 2015 at the earliest. We also know that Related Group recently purchased the Infinity II site located at 1300 S Miami Avenue. It is highly likely that sales for condominiums in that project will be announced sometime during the first half of this year. The site is approved for a 65-story tower with 556 total units so don’t expect those units to be delivered any earlier than mid-2015 unless the project is massively scaled back. Lastly, there has also been mention of Panorama Tower and Villa Magna but both projects will be rather massive so inventory in either wouldn’t be expected until late-2015. In summary, I think it is relatively safe to say that, barring any global economic meltdown, prices for condominiums in Brickell should enjoy a steady rise throughout 2013 and 2014 given the lack of inventory that will exist over the course of that time period.
By the way, the two remaining penthouses at BrickellHouse are priced at $2,396,000 for 3,500 interior square feet and $5,200,000 for 7,500 interior square feet. No matter how you slice it, sub-$700 per square foot for a penthouse in a building of this caliber is an amazing deal.
