Brickell City Centre’s Largest Penthouse – Asking $6,975,000

Introducing PH4201 at Rise – Brickell City Centre’s largest penthouse residence. Rise PH4201 is a 5-bedroom, 6.5 bath flow-through unit with 4,754 interior square feet plus three separate balconies totaling 1,035 square feet of exterior space (see Rise PH4201 floor plan). PH4201 also has 12-foot-4-inch high ceilings with floor-to-ceiling glass windows; Bosch kitchen appliances; a large master bathroom with city and water views, a pedestal tub, and rainfall shower; a family room; maid’s quarters; and laundry room.

PH4201 is an L-shaped residence which occupies the entire southwest corner of Rise and enjoys views of Biscayne Bay, the Brickell skyline, and Coconut Grove along with breathtaking views of the sunset.

The developer is asking $6,975,000 for PH4201 at Rise but, keep in mind, that’s before applying the 10 percent cash rebate and two years of free condo fees. After applying the cash rebate at closing, the price is $6,277,500. And the two years of free condo fees amounts to an additional savings of $90,312 (the condo fees for Rise PH4201 are $3,763 per month).

Located in the heart of Brickell, Rise PH4201 is a very spacious condo residence that is ideal for a large family. Enjoy the photos of it below. If you have any questions or would like to schedule an in-person showing of Rise PH4201, please contact Lucas Lechuga at [email protected].

The Definitive Guide to Renting a Condo or Apartment in Miami, Florida: The Process, Deposits, Fees, Requirements, and More

For those who have never rented an apartment or condo in Miami, the process may seem daunting at first, but with the right Realtor to assist you every step of the way, it’s actually quite easy. It can seem especially challenging to renters moving from other cities where different procedures and/or requirements are expected. For example:

• In New York City, the tenant renting the condo generally pays the real estate commission, while in Miami, the real estate commission is covered by the landlord so there is no cost to the tenant whatsoever.
• In many U.S. cities, first month’s rent plus a one-month security deposit is generally all that is required to rent a condo. In Miami, on the other hand, first AND last months’ rent paid upfront along with a one-month security deposit is the norm when leasing a condo. However, most apartment buildings have lower deposit requirements (The Miami Condo Investments Team would be happy to recommend some).

Despite these subtle differences, the process of renting a condo or apartment in Miami should go smoothly. While there are several steps involved, the entire process, from start to finish, should take no more than two weeks to complete when renting a condo and can take as little as a day when leasing an apartment. That, of course, begs the question:

What is the difference between an apartment and condo?

In certain parts of the world, the words “apartment” and “condo” (short for “condominium”) and even “flat” are used interchangeably to mean a place of dwelling within a communal building. In the United States, however, the word “apartment” or “rental building” is generally reserved for a residential unit that can ONLY be leased (i.e. they cannot be purchased). An apartment complex is generally owned by a large multi-family portfolio company or in rare cases one individual, but either way, the entire building and all of the units are jointly owned and managed. Monthly rent gets paid to the management office which oversees the entire community. On the flip side, condos in a condo development are owned by individual owners or business entities and each may have different requirements for renting with them.

The Process for renting a condo in Miami, Florida

Which documents should I have ready in order to submit an offer to lease a condo in Miami?

• Photo ID
• Proof of funds (employment offer letter or 3 most recent pay stubs)
• Recent credit report (with credit score included is best)
  • Why do landlords need this if building’s management office will pull credit? This is because some Landlords go through their own approval process that mirrors the Association approval process and is conducted first to see if they will agree to the Lease with you. Also, most buildings do not provide the screening report to the landlord, so if the landlord wants to have that information, he/she must request it separately.

Fees, Deposits, and Requirements

When renting an unfurnished condo in Miami, an amount equal to three months’ rent plus building fees would generally be required. The three months’ rent is represented by first and last months’ rent plus a one-month security deposit. But some buildings also require a common areas deposit which then increases the required deposits to four months’ rent, so be sure to ask your Realtor if this is the case with the unit(s) that you are interested in.

When renting a furnished condo in Miami, an amount equal to three or four months’ rent plus building fees would generally be required. In the instance where an amount equal to three months’ rent would be required, that amount would usually be represented by first month’s rent plus a security deposit equal to two months’ rent. In the instance where an amount equal to four months’ rent would be required, that amount would usually be represented by first and last months’ rent plus a security deposit equal to two months’ rent (one for damage to the unit, the other for damage to the common areas).

• Common areas deposit – condominium association may have a common areas deposit to secure against damage to the common areas/building amenities; generally it is equal to one-month’s rent but can be a lower flat fee depending on the building
• Move-in/move-out fee
• Elevator Deposit
• Fobs, parking decal, etc.

When renting a condo in Miami, who pays the monthly condominium association dues? The landlord or tenant?

When renting condo in Miami, the monthly condo dues (sometimes referred to as HOA dues or maintenance fees) are paid by the landlord. These dues almost always cover the following utilities: water, sewer, and trash removal. In the newer building, oftentimes, the condo dues will also cover services such as basic cable TV and/or internet.

Will I need a co-signer/guarantor?

It’s important to be upfront and honest with your Realtor. It is very easy to add that a co-signer/guarantor to a lease, and we can go over how that changes the income and other requirements for you.

Can I sub-lease the apartment/condo? Can I rent it out on Airbnb.com, VRBO.com, etc.?

The answer to this is almost always no in Miami. If you own a condo you can take advantage of Airbnb and other short-term rental options to increase your rental income, but as a tenant it is very rare that you can do this.

Do I need to be a US citizen in order to rent a condo or apartment in Miami?

No not at all, but background checks can take a little longer to process for foreign nationals so that may mean that your Association approval takes longer than the standard 2 weeks.

I see that the condo is offered furnished. Would it be possible for me to rent it unfurnished? Oh, and because I don’t want the furniture, I want to pay less.

Again, the answer to this is almost always no. If you don’t want the furniture for a particular unit, that means the Owner would have to pay to store it elsewhere. That would actually raise their costs associated with the Lease, so that would not be an opportunity to lower yours.

Miami is such a big city! How will I ever figure out in which neighborhood and condo development to live?

• Miami Condo Investments (www.miamicondoinvestments.com)
  • Condo Rankings
  • Building Profile pages
  • Condos For Rent
• Word-of-mouth
• Social media
• Call us and have a Miami Condo Investments agent assigned to you. We are deeply rooted in the Miami community and know the differences in the neighborhoods from a local’s perspective. We can go over everything with you by phone as well as providing in-person neighborhood tours.

My offer was accepted? Now what?

Once your offer has been accepted, a lease would be prepared (usually by the agent representing the landlord) and then executed by all parties. In most cases, the landlord(s) would review and sign first and then followed by the tenant(s). The date on which the last party executes the lease is called the “Effective Date” or “Contract Date”. Once the lease has been executed by all parties, the lease is considered to be “fully executed”.

With a fully executed lease in-hand, the next step would be to apply with the building’s management office. The application process and requirements vary from building to building. At this point, if your real estate agent has not provided you with the application instructions, be sure to request them from him/her or directly from the building’s management office.

Some condo developments have an application that must be completed by hand while others are completed online. In still other cases, the management offices use a combination of the two with both written and online aspects of the lease application process.

• Tenant Evaluation is a third-party screening company that most condominium associations use to screen prospective tenants (and, in some cases, buyers as well). Tenant Evaluation does not approve or reject applicants. Although they may make a recommendation based on the results of the screening, the final decision is up to building’s management office or condo association board.
• Condo association approval – may only meet on certain days of the week or month to give final approval to tenants waiting to move into the building

What should I do once I’ve been approved by the condo association/management office?

• Schedule your orientation
• Reserve the elevator
• Schedule utility services to be activated by the date of your walk-through
  • FPL.com (electricity)
  • Cable, internet, etc. (these usually need to be scheduled after the walk-through)

What should I bring to the walk-through?

All remaining checks for move-in (your Realtor will provide a breakdown of exactly what you need but remember these must be either cashier’s checks or money orders)

What should I look out for at the walk-through?

Your Realtor will look for and point out any issues as well as ensuring that they are rectified but typically:

• Is the unit completely clean? If not request that it be professionally cleaned before move-in;
• Do all of the appliances work? Turn them on/run them and check;
• Pull all of the blinds down to ensure that they run smoothly on their tracks and that there are no marks or stains on them.
• Make sure that you and/or your Realtor take pictures and/or video to document the condition of the property as of the day you take possession of it.

During the lease term, who do I contact for repairs?

In an apartment or rental building, there will be an online app that allows you to submit service requests 24/7.

In a condo building, your landlord or landlord’s management company is your point of contact for all repairs meeting the minimum repair amount. Ask if the landlord has a warranty on the appliances and, if so, what is the number to call for that?

After the lease expires, what do I need to do to assure the return of my deposit?

Be sure to reference your lease. The standard Florida lease allows for normal wear and tear when it comes to renting a condo in Florida. However, if the lease was drafted by the landlord’s attorney or if an addendum was attached to the lease, different provisions may apply. In some cases, landlords may require that the property be returned to them in the same condition that it was delivered to the tenant at the onset of the lease term.

When can I expect to receive my security deposit back from the landlord?

By Florida law, the landlord has 15 days to return your deposit if there aren’t any deductions for damages. If the landlord decides to impose a claim for damages, written notice must be provided to the tenant by certified mail along with the landlord’s reason for imposing the claim. If the tenant does not dispute the claim (within 15 days of receiving the notice), the landlord must return the balance of the security deposit within 30 days after the notice was received.

If applicable, how long after move out should I expect to receive my common areas deposit back from the building/condo association?

Assuming there aren’t any deductions for damages, you can usually expect your common areas deposit returned back to you a week or two after you have moved out of the building and have contacted the building’s management office to formally request the return of your deposit.

The process for renting an apartment in Miami, Florida

What are the advantages to renting an apartment versus a condo?

Honestly, when it comes to renting there are so many differences and they are outlined above. The best option is to have your Realtor take you to the apartment buildings that they recommend. Chances are they have multiple clients who already live there and they are recommending them from that background as well as the fact that these buildings are geared towards rentals. They are well managed and organized and offer an easier and better life for tenants. Condos have the advantage of having more units so sometimes they are the best option in the area just based on the volume of availability. Likely your Realtor will show you both options and you will decide based on all of the criteria which suits you best.

What if you need to break your lease when renting an apartment?

These are really the same in a condo or an apartment building. Expect to pay a 2-month penalty for breaking the lease early. If that’s worth it to you then it’s on to bigger and better things!

Should I use a Realtor? Is it beneficial for me to use a Realtor or would I be better off without one?

If the landlord has the property listed with a Realtor, I suggest you use your own Realtor, one who would represent you and negotiate with your best interests in mind. Some people looking to rent a condo think that if they don’t use a Realtor, they’ll be able to negotiate a better price because the landlord won’t have to pay half the commission. However, this thinking is flawed. In cases where a tenant does not use their own Realtor, the listing agent generally keeps both sides of the commission. So, not only did you not save yourself some money, you likely overpaid because you had someone negotiating in the best interests of the landlord, not your own.

Do I need multiple Realtors or will one suffice?

In Miami, all Realtors have access to the Multiple Listing Service (MLS). The MLS serves as a centralized database from which Realtors can search on behalf of their customers who are looking to buy or rent a property. Because all Realtors have access to the same listings, there is no rhyme or reason to use more than one agent. Realtors also have a deep knowledge of Apartment buildings and can work with you through that process as well.

Vizcayne Condominium Associations Awarded Settlement for Construction Defects

It appears that there is a light at the end of the tunnel for Vizcayne condominiums. According to Law.com, this past May, Vizcayne North Tower Association and Vizcayne Master Association were awarded $3,069,251 and $646,699, respectively. In November 2016, the aggrieved parties, citing a laundry list of construction defects, had filed a 184-page complaint against various construction companies. Over a year and a half after the initial filing date, and shortly before going to trial, the settlements were reached.

With the worst now behind Vizcayne, it will be interesting to see how quickly real estate prices improve for condos in the two towers. The litigation had been a big black cloud over the development, making it near-impossible to secure financing for condos there. With the cloud now lifted, lenders will likely be more open to providing financing for qualified buyers.

A Review Of The Penthouse At Brickell City Centre’s Reach Tower

If you’ve ever dreamed of living in a palace in the sky, but also dreamed of living on top of an elegant shopping district, but also dreamed of living in a condo that was perfect for entertaining AND perfect for family, then we’ve got just the thing for you. Swire has released the newly finished upper penthouse at Reach Tower above Brickell City Centre and it does not disappoint.

Before we go to the review and photos, here are the specs:
Penthouse 4203
4 bedrooms, 3 baths, 2 powder rooms, 2 family rooms, 4 terraces, service quarters, rooftop pool & summer kitchen
Interior Size: 4,346 square feet
Exterior Size: 1,823 square feet
Price: $6,650,000

The Views

Starting with the views since many people in the $5 million-plus price range automatically ask for waterfront options, let me show you why I consider high floors in the city to be a better option…

If you’re in a waterfront condo, the blue water is pretty, but what will you look at after the sun goes down? Nothing. With the high floor city view, you still see the beautiful blue water of the Biscayne Bay AND the Atlantic Ocean, plus the glittering city lights at night. Gorgeous.

Speaking of water views and glittering city lights, how about you enjoy them from your private rooftop pool? Or maybe throw together a little al fresco dinner party in your summer kitchen?

To the West, you can see the city lights at night all the way to the Everglades.

The South view also offers more distant water views as the coastline tapers in through South Brickell, Coconut Grove and Coral Gables.

Now, let’s go inside for some renderings vs real life fun!

The Kitchen/Living Room Layout and Finishes

Ok, so we can see that the renderings were based on a different penthouse, but the finishes look 100% on-point, and LOOK AT THAT SPACE! I can’t even begin to think of the number of different events you could host here. Of course, if you’re a homebody like me, you could also just chill on a different sofa every night of the week and cook some crazy recipes in that kitchen.

I’m not sure what to say about that kitchen. If it were mine, I’d have platters of hors d’oeuvres filling that marble countertop for my friends and every kitchen gadget offered so that I could cook more. Heaven.

The Bathrooms

Here we are again with a rendering that was based off of another penthouse, but with on-point finishes. I love the teak shower floor. It gives a no-slip yet luxurious spa feel. Also, the backlit mirrors are typically demonstrated in sales centers and renderings, but are actually an upgrade that you don’t find out about until later. Not here. Swire delivered what they demonstrated.

The Floor Plan

Swire and Arquitectonica clearly did their homework on versatility with this layout. The way the floor plan is laid out; with the master bedroom in the front and the other bedrooms in the back, separated by the family room, it’s almost like there is a guest house.

I can see it already… a family gathering and the adults want to have adult conversations but the kids want to run crazy and do kid things. The kids can go to the family room and party with the nanny while the adults have wine and peace.

Or, it could be that the owner wants to give their guests an additional sense of privacy…. they have their own living room with a balcony.

Another thing I would like to point out is the amount of storage space! There are closets everywhere you turn AND a walk-in pantry! This is not something that is common in our marketplace.

Finally, I really appreciate the fact that they thought to separate the laundry room from the staff quarters. I always find it a bit oppressive to see the housekeeper’s bed pushed up next to the washing machine. This is 2017, not Downton Abbey. At the same time, the service quarters is not included in the bedroom and bathroom count, as they sometimes are. In this apartment, you get 4 full bedrooms, 3 full baths PLUS a bedroom and bathroom for the nanny/housekeeper who keeps your life straight.

All-in-all, I’m giving this penthouse a rave review. See below for additional photos and let us know if you would like a tour for yourself!

La Casa Reposada To Villa Leone: The Story Behind 2100 South Miami Avenue

Along South Miami Avenue at 21st Street is a vacant lot the size of the entire block that is surrounded by a coral rock wall and majestic statues of lions covered by foliage. It is evident that there is an interesting story behind the land, although after thirty years of sitting vacant, new construction has commenced. For today’s Throwback Thursday, I want to share the story and then admire what is coming next.

According to the Miami History archives, the lot was originally purchased by a businessman for use as his family’s summer home in the 1935. The design was meant to emphasize the sun and fresh air of the area, and it was a grand home! The grounds included a rock garden with a fish pond, an island with a cypress bridge for access, a rose garden, reflection pool and a marble statue. The swimming pool was able to be electrically filled with either salt water or fresh water. Of course, the interior of the home was just as grandiose and designed for entertaining. The owner named it “La Casa Reposada,” since the family intended for it to be a haven of rest and tranquility.

La Casa Reposada Around 1955 From Miami History Archives

Shortly after his retirement in 1940, the owner died suddenly and his wife sold the property at an enormous loss, for just $50,000. The son of the owner recalls finding a listening device under one of the staircases, and presumed that the original owner had used it to eavesdrop on his guests in order to obtain the upper hand in business dealings. Savage!

After a few years, the family received an unsolicited offer for purchase from then Cuban President Carlos Prio Socarras, the last democratically elected president of Cuba. The son again recollects that the closing took forever. Prio’s representatives arrived at the house with suitcases filled with cash and it took from first thing in the morning until after lunchtime to count as armed guards stood by. Prio ended up spending much of the time he was exiled at La Casa Reposada before returning to Cuba in attempt to influence change.

From that point, the house changed hands several more times before being razed in the late 70’s or early 80’s. Aside from a cement-filled pool (that I had always assumed was the foundation of the previous structure) and the signature stone wall with lions, the property sat vacant for more than 30 years… until now.

Vertical construction has recently begun on a collection of 5 homes called “Villa Leone,” I imagine paying homage to the stone lions that looked over the property for the last 80 years. The homes have a contemporary design by Borges & Associates, who have been responsible for the designs of other popular buildings including Infinity at Brickell, The Carillon on Miami Beach and even the American Airlines Arena.

The designs maximize the buildable space, including underground garages and rooftop terraces with summer kitchens and pools. Sadly, it does not appear there is room on the lot to preserve the lions. Prices are available by request.

You can read more about the history of La Casa Reposada here.

Market Stat Monday: Buyers From Which Country Purchase The Most In Sunny Isles?

After the interesting findings in our Market Stat Monday report last week showed that Americans purchase more Brickell properties than any other country, I thought it would be interesting to see who the predominant buyers are in Sunny Isles Beach. Of course, everyone assumes that the findings will show that Russians are the most active, the community has been nicknamed “Little Moscow,” after all. But guess what? They’re not.

According to the Miami MLS, it was again the Americans who had the highest number of transactions as well as the highest total expenditure. Granted, it was a US buyer who snagged the Upper Penthouse at Porsche Design Tower, but even before that one $25 million sale, the US was way ahead of the other countries.

Overall, there were 264 closed sale transactions amounting to a grand total of $220 million in sales. In Sunny Isles, I’m not as interested in the overall price per square foot paid because the market is too polarized. We need to break that figure down into average price per foot of affordable condos in Sunny Isles, mid-range, luxury and super-luxury. In addition to those topics, we should also separate the oceanfront buildings from the intracoastal side buildings, so this is a post of its own. Of the closed sales that occurred, about half of the agents reported the nationality of their buyer. Here is how it breaks down, just scroll over or touch the graph below to see the figures.

Market Stat Monday: Which Brickell Buildings Are The Most Popular For Buyers?

During our Market Stat Monday series, I’ve started to notice a trend that there is an increasing amount of competition between condo listings for a smaller amount of buyers in the market. This led me to become curious if there are any buildings in the that are more popular among the active buyers, and some of the results are surprising!

First, we have to acknowledge the harsh reality that we have seen only 175 closed sales in the neighborhood this year. With 1,413 active listings, that amounts to over 40 months of inventory on the market JUST in the Brickell resale market. When pulling my data, I only looked at resales, not developer inventory. If you add in the developer inventory, there will be even more months of inventory.

The sellers who were able to sell did so for a neighborhood average of $389/square foot.

I was pleasantly surprised to see that IconBrickell’s Tower 3 has been a stand-out so far this year. They have seen 13 closed sales despite losing their hotel program (which I think creates an opportunity for owners). Seven of those sales took place in April, telling me that the investors agree.

Another popular option has been The Club at Brickell Bay, who saw 12 closings with an average price per square foot of $299/square foot. I am not aware of anything out of the ordinary that would cause The Club to be such a good buy right now, aside from the fact that the layouts and location are good and the price is right.

1060 Brickell has also had a good year. There have been 11 total closed sales at a rate of $346/square foot. Our statistics page only reports 9 sales, but that is because we have separated the project into the east and west tower.

I was not surprised to see Icon Brickell’s Tower 1 on the list. Buyers nearly always ask about IconBrickell, despite fears regarding their pool construction. Also, Tower 1 is one of the densest towers in town, with 712 total apartments, so it makes sense that there should be more transactions.

Brickell on the River’s South tower made the list with 10 sales, and that sort of makes sense to me. The building is well-run and the loft-layouts are unique. I typically advise investors to purchase a 1 bedroom in the South tower, but if they are looking for a 2 bedroom, to buy in the North tower. This is because the 1 bedroom plans rent far easier in the South tower because of their loft layout, but the 2 bedroom loft layouts lose a lot of potential tenants because of the lack of privacy from the bedrooms. Since there is competition from newer buildings these days for tenants, you want your investment to appeal to as many people as possible and the 2 bedroom lofts don’t work well for roommate situations or families. The price is also right, averaging $297/square foot.

Speaking of loft layouts, Infinity at Brickell is also on the list with 8 sales at an average of $319/square foot. I remember back in the day when people would complain about the developer selling apartments at Infinity for $255/square foot. Those were the days. A lot of people are under the misconception that Infinity no longer has views because of the construction of SLS Brickell next door. While it is true that SLS blocked some views, most of the units still have at least some bay views and the 00 and 02 lines still have a lot of bay views. Infinity is still one of my favorite buildings, the staff is very friendly and professional, the layouts are nice and since the building is so well-maintained, it does not look like it is about to be 10 years old.  At $319/square foot, that is a great bargain for what you get.

One building that really surprised me was BrickellHouse. It didn’t make it into the top 10, but there were 5 sales this year averaging $474/square foot! That is a lot lower than the $600/foot price the original buyers paid, but is still a great number for a building that is probably about to have a special assessment that will make you do a double take and recount those zeros. On the bright side, they did finally find a solution to their parking debacle, so at least we’re moving forward.

Here is the full top10 list of Brickell buildings by transaction count:

Icon Brickell Tower 3 – 13 sales – $412/square foot average
The Club at Brickell Bay – 12 sales – $299/square foot average
1060 Brickell – 11 sales – $346/square foot average
Icon Brickell Tower 1 – 10 sales – $517/square foot average
Brickell on the River South Tower – 10 sales – $297/square foot average
Infinity at Brickell – 8 sales – $319/square foot average
VUE at Brickell – 7 sales – $289/square foot average
Plaza at Brickell East – 6 sales – $462/square foot average
Plaza at Brickell West – 6 sales –  $411/square foot average
Neo Vertika – 6 sales – $317/square foot average

Are you surprised by any of the findings?

Biscayne Beach Receives TCO But Pushes Back Closings

Image by Jennifer Behar Cervera

It has arrived! Biscayne Beach received its TCO (temporary certificate of occupancy) today, one day after it was expected, according to representatives of the developer. They were expecting the TCO to arrive yesterday, but hey… it arrived on “Miami time” and we are very happy to see this step in the right direction.

Due to disclosure guidelines, the closings are able to begin 10 days after completion. Instead of beginning today, they will now begin May 1. Since the initial TCO is for floors 7-35.

Here are some Instagram previews:

Cabana at Biscayne Beach #beachclub #biscaynebeachresidences #closingsstartingsoon #cervera #luxurylife #edgewater

A post shared by Yanet Miranda De Castro (@ydecastro) on Apr 20, 2017 at 9:14am PDT

Biscayne Beach Residences video of Beach Club and cabanas. #closings coming #very #soon. We still have 2 amazing penthouse units left. Contact me for #detailed #information [email protected] #excitingtimes #Realtors #Miami #nyc #waterview #luxuryresidences #waterfront

A post shared by Kinga (@kiniamiami) on Apr 19, 2017 at 2:51pm PDT

How Much Should The Owners Of Brickell Harbour Expect From Their Buyout?

Earlier this month, we reported that the owners of Brickell Harbour are being solicited for a buyout by a mystery developer. Well, the offers have come in and unfortunately (yet expected), we cannot talk about what has been offered because they are bound under a tight confidentiality clause. What we can talk about is how much the sale is likely to garner for the owners if a good deal is made.

It is common in condo buyout deals for the developer to hold the owners under a contingency stating that the sale will only take place if 90% of the residents agree to sell. Otherwise, it makes no sense for the developer to own the building since they would not be able to develop. There are always those last few owners who hold out for the most money and sometimes it works, but sometimes it just ends up throwing a wrench in the entire deal. So, how much is a realistic number for Brickell Harbour as a development site?

First, let’s look at the most recent comparable sale. The development site at 25 NE 25th Road is just over 1 acre of waterfront land with 155 linear feet of bay frontage. It is around 300 feet deep. Once you break down the final purchase price of $48 million, that works out to just over $1,000/ft of land. The units combined are comprised of 76,291 square feet of livable space or $629/square foot ($800,000 per unit for the 61 units).

25 Bay Tower Development Site

Now let’s look at Brickell Harbour. In comparison to 25 Bay Tower, Brickell Harbour is a far superior development site. Its location at the south end of Brickell Bay drive is closer to the hustle and bustle of Brickell’s city vibe, yet secluded enough to offer peace and quiet along the bay. The site offers 275 feet of linear bay frontage and half an acre more of developable space. Both sites are in the same zone for height restrictions, allowing up to 600 feet of building height. Variances can be given, but this is where we are today.

Another feature of the site at Brickell Harbour that sticks out as a big upside is the marina. Building new marinas is extremely tedious from a permitting standpoint due to the environmental impact they cause, making them nearly impossible to add. Given all of these factors, I estimate that a final sales price of Brickell Harbour would be far north of the $1,000/square foot of land that 25 Bay Tower received.

Now that we’ve looked at the comparable and determined why Brickell Harbour is worth more, let’s get down to the numbers. Using the same price per square foot of developable land as OKO Group’s purchase would amount to a $70 million purchase for Brickell Harbour. That breaks down to an average of $380,000 per unit at Brickell Harbour, or an average of $512/square foot of livable space. Add in the increased desirability of the lot size, location and added marina, we could see a purchase of $80 million!

How much do you think the owners will end up garnering at the end of the negotiation? Do you think it will go through?