Brickell on the River South Receives Approval From Fannie Mae
As of yesterday, Brickell on the River South became a Fannie Mae approved development. As a result, creditworthy buyers will now be able to acquire financing. This should help Brickell on the River South to bolster sales of its remaining lofts. 1 bedroom lofts start at $180,000 while 2 bedrooms start at $272,000.
I know of a few other condo developments in Brickell that have applied for Fannie Mae approval and should be receiving approval soon. A lack of financing for new condos in Miami has hindered sales drastically since the new Fannie Mae guidelines went into effect in January. It’ll be nice to finally see financing back in play once more condo developments have been reviewed and approved.
New & Improved South Florida MLS Property Search for Condos
Many of you have already noticed that a much-improved Miami property search has now taken the place of the old property search. New search parameters have been added to allow your search experience to be more powerful and effective. For example, you can now search by year built, number of parking spaces, and distressed sales (foreclosures and short sales), as well as many other parameters. Additionally, you can now draw a shape onto the map to restrict the search to condos located within that shape. For example, in the picture above, I drew a shape around Brickell Key to restrict the search to only condos located in Brickell Key. Enjoy!
Asia in Brickell Key – A First Look
Last week, I was able to get another look at Asia in Brickell Key. I brought my digital camera along this time and was able to get some great shots of the amenities and common areas as well as a large 2 bedroom unit with 2,745 square feet of interior space.
The gatehouse and entryway into Asia:
The concierge desk at Asia:
The lobby:
Outdoor seating area off the lobby:
Tennis court at Asia:
Swimming pool at Asia:
Resistance pool at Asia:
Fitness center at Asia:
Sauna:
Racquetball court at Asia:
After viewing the amenities and common areas, I was able to take a look at unit 703 at Asia. Unit 703 has a 2,745 square feet of interior space and two large balconies. It is currently listed for $1,599,888, or $583 per square foot, which is the lowest price per square foot offered in the entire building at this time through the MLS. The unit also comes with a private storage room located right outside the unit.
The living room of unit 703 with 12-foot ceilings:
Another shot of the living room:
The large wrap-around balcony of unit 703 at Asia:
The spacious master bedroom of unit 703:
The large walk-in closet off the master bedroom:
A built-in TV in the mirror of the master bathroom:
A Jacuzzi tub and separate shower:
The bidet and toilet of unit 703:
The kitchen of unit 703 at Asia:
Wine cooler:
High-end stainless steel appliances:
The second bedroom was surprisingly small given how big the floor plan of the unit is:
The second balcony off the second bedroom:
1800 Club – 2 Bedroom/2 Bath with Direct Bay Views – $385,000
1800 Club offers some of the best water views in Miami from its 2 bedroom condos facing direct east. Unit 3505 is currently available for $385,000. It has 1,222 square feet of interior space plus a 252 square foot balcony. Maintenance fees for this condo are $518.98 per month.
Below, you’ll find a video of the view from the balcony of unit 3505 that I shot a few weekends ago. You’ll also find various photos that I shot of the interior of the condo as well as the view.
1800 Club Amenities & Common Areas
Since there was a good response regarding my previous post about the deals to be had at 1800 Club, I’ve decided to include some pictures of the amenities and common areas before diving into a new post about the units themselves. I received a few emails from nonlocal buyers who are unfamiliar with the building so I thought a brief summary along with pictures of 1800 Club might help.
1800 Club has 469 total units across 42 floors. It was developed by BCOM, Inc. and completed in November 2007. The current monthly maintenance fee is 42.47 cents per square foot. Included in those fees are: basic cable TV, high-speed Internet, water, sewer, garbage and insurance on the exterior of the building. The amenities at 1800 Club include: 24-hour concierge and security, valet parking, swimming pool, hot tub, sauna, steam room, state-of-the-art fitness center and club room. 1800 Club is located across the street from Margaret Pace Park which has tennis courts, volleyball courts, a basketball court and children’s playground.
Here are some pictures of the amenities and common areas at 1800 Club:
Miami Condo Developers Slash Prices on Existing Inventory
It’s no secret that most condo developers in Miami are still left with a large supply of unclosed condos. These developers pretty much have three options: (1) Do nothing and continue to bleed money by paying interest on the outstanding debt, (2) Sell condos in bulk to a vulture fund at a very big discount, or (3) Slash prices to end users and pay the principal and interest on the outstanding debt over time. Option number 3 was something that should have been done a long time ago. Over the past year, sales agents working for various condo developers have made it known to real estate agents that “developer prices are negotiable” or that the developer is “willing to listen to any reasonable offer”. However, with the exception of Groupe Pacific with Brickell of the River South, none of the Miami condo developers would go so far as to publicly reduce their prices. It didn’t make sense to me. The only logical explanation that I could come up with is that developers were afraid of the backlash from current condo owners. The days of name calling and finger pointing are over. That was so 2008. It’s in everyone’s best interest, current condo owners included, that each condo development close as many condos as possible. This has been especially true since Fannie Mae revised their guidelines for Florida condos. Reaching the all-important 70 percent mark for closings is so critical in this market.
It seems that Miami condo developers are finally turning to option 3. Over the weekend, two major condo developments announced large price reductions.
500 Brickell – On Sunday, I received an email from a 500 Brickell sales agent announcing “much lower pricing” on all remaining developer condos and that “prices have dropped up to $100,000”. The email revealed that one bedroom condos now start at $180,000 while two bedroom condos now start at $295,0000. I think a good old-fashioned price reduction is a MUCH better idea than including a Mini Cooper with the purchase of a condo at 500 Brickell. I think we’ll finally start to see a dramatic improvement in the closing rate of condos at 500 Brickell. I’d love to see a price sheet of all of the remaining condos to see if the reductions were made across the board.
1800 Club – I found out about this one on Saturday and actually visited several of the developer units on Sunday. I can honestly say that 1800 Club now offers the best deals in Miami. Where else can you find a condo with a water view for $173 per square foot in a recently constructed condo building in Miami? Unit 1715 is a very large 2 bedroom/2 bath condo with 1,810 square feet of interior that is now priced at $314,000. It doesn’t have a direct water view but it’s actually not bad, given the price. Below, I’ve included a picture of the water view from within the condo. As I was writing this, I received a text message saying that an offer was submitted to the developer today for unit 1715. As of the February condo closing rate update, 1800 Club was able to close 68.59 percent of its overall units. I think by the next update, we’ll see its closing rate push well past the 70 percent mark.
Within the next couple of days, I’m going to publish a more in-depth post about 1800 Club and the deals that are now available, along with pictures of the units that I saw on Sunday. It should be duly noted that the 2 bedroom condos facing direct east towards Biscayne Bay have not been reduced much from preconstruction prices, if at all. For example, unit 3505 which is a 2 bedroom/2 bath with 1,222 square feet of interior is priced at $385,000.
Below is a list of the other condos that I viewed on Sunday. As I said earlier, I will do a follow-up post within the next couple of days that will include pictures of these units as well as of the amenities and common areas.
Unit 1411 – $235,000 – 1 bedroom/1.5 bath with 1,095 square feet of interior facing South
Unit 1504 – $167,500 – 1 bedroom/1 bath with 822 square feet of interior facing West
Unit 1002 – $425,000 – 2 bedroom/2 bath two-story townhouse facing South (I need to find out the square footage of this one but it’s big and has two large terraces.
I guess time will tell if other Miami condo developers will follow suit by repricing their existing inventory and disclose those new prices to the public. I think it’s a good step in the right direction.
Top 5 Miami Distressed Condo Sales Closed in February 2009
Below, you will find what I believe to be the five best condo deals of the 26 distressed sales that closed in the month of February in the MLS located in Brickell, Brickell Key, Downtown Miami and the Arts District.
The Club at Brickell Bay – unit 2214 – 1 bedroom/1 bath (818 square feet) – This unit sold for $100,000, or $122 per square foot, on February 20, 2009. Short Sale
Skyline on Brickell – unit 1911 – 1 bedroom/1 bath (791 square feet) – This unit sold for $155,000, or $196 per square foot, on February 20, 2009. Foreclosure
Emerald at Brickell – unit 1205 – 2 bedroom/2.5 bath (1,264 square feet) – This unit sold for $267,000, or $211 per square foot, on February 5, 2009. Foreclosure
Jade at Brickell Bay – unit 4507 – 3 bedroom/3 bath (2,130 square feet) – This unit sold for $869,900, or $408 per square foot, on February 6, 2009. Foreclosure
Parc Lofts – unit 207 – 1 bedroom/1 bath (1,267 square feet) – This unit sold for $210,000, or $166 per square foot, on February 24, 2009. Short Sale
Unit 2214 at The Club at Brickell Bay sold for $100,000. It’s worth mentioning that this is the lowest that a 1 bedroom (and even studio) has ever sold for in the building through the MLS. It also works out to be the lowest price per square foot. At the time of contract, the condo was listed for $149,222.
South Beach Vacation + Bargain Condos = Miami Condo Investments Tour
I’ve been kicking around this idea in the back of my mind for quite some time. I guess the timing just never felt right. Prices have now fallen to a more realistic level, however, and it may be time to at least discuss the idea to see if there would be any interest.
I’m proposing to hold a two-day tour of Miami and South Beach condos in June of this year. The tour would focus on the best condo deals in Brickell, Brickell Key, Downtown Miami, the Arts District of Miami and South Beach. The objective would be to educate nonlocal buyers, who may not be familiar with the various neighborhoods and condo developments, but may have an interest in buying here at some point in the future. It’s also an opportunity for local buyers to take a first-hand glimpse into the best condo investment deals in Miami. Weather-wise, June may not be the best time of the year to visit South Florida, but I expect the deals at that time to be even better than they are now.
The condo tour would be held on a Friday and Saturday, in which time we would visit 10 buildings and about 30 condo units. The tour package would include a 3-night stay at the Loews Hotel, a 4-star/4-diamond oceanfront hotel in South Beach; 3 breakfasts; 2 lunches; and the 2-day chartered bus tour. The cost would be $900 for one person or $1,500 for 2 people staying in one room. The 2-day chartered bus tour would also be open to local buyers who do not require hotel accommodations at a rate of $300 per person. To those who close on a condo that was placed under contract within 3 months of the tour, I would credit half the cost of the condo tour package at closing for those requiring hotel accommodations and the full cost to those paying the $300 rate.
I’d love to get your feedback about this idea, and I’m open to suggestions regarding the buildings that will be included in the tour. Please add your thoughts in the comments section and use the second poll below to vote on the buildings that you’d like to see on the tour (you may select multiple buildings when voting). I’m hoping to get around 20-25 interested parties in order to set this plan into motion.
[poll id=”7″] [poll id=”5″]
Drive Down Brickell Avenue and Biscayne Boulevard – Video
I must say that I’m very impressed with how far video technology has come along over the past year. Gone are the days of YouTube’s grainy video quality. YouTube now allows people to upload and view HD videos. Don’t expect the HD quality that you see on your HD TV but it’s still a big leap for Internet video.
Here are a couple of videos that I shot Friday night while driving down Brickell Avenue and Biscayne Boulevard. (It may take a while to load if you’re using a slow Internet connection). You’ll notice Icon Brickell, Epic and One Miami in the video below:
