News came through South Florida Business Journal that the Related Group managed a bulk sale of 101 condo units at the desirable Harbour House. A package deal that came together for each party at a $27M ticket price and included a nice mix of 101 Bal Harbour oceanfront condos at the legendary Harbour House… This translates to ~$270 psf in 2009 values whereas in 2007 (only 1 sale at $849 psf) these condo conversion asking prices were at $601 psf while in 2008 (only 4 sales), asking prices averaged $596 psf while closed sale prices averaged $464 psf or a 55% drop in market values since 07.
“Units in the beachfront condo conversion sold for an average of $268,000, or about half of what Related sold 276 units for in 2007. Related Group CEO Jorge Perez helped close another bulk deal in one of his buildings last year. He launched a buying fund that made two deals in the 528 unit 50 Biscayne, which Related built in partnership with Atlanta based Cousins Properties. That bulk deal sold out the project and closed out its loan.”
Today via MLS, there are 87 condos for sale out of 457 (19% inventory) in the new Harbour House condos with an average asking price at $600 psf with prices ranging from $250,000 (0/1 at 530 SqFt) to $1.125M (2/2.5 at 1462 SqFt.). Today, there is only 1 Harbour House condo under contract with an asking price at $550,000 (7th Floor 2/2). I would imagine the smart investor who made this bulk purchase will be placing these Harbour House condo units back on the market at an incredible prices based on “new” building values and location. Whether it be for rent or for sale, we should see excellent pricing in one of my favorite condominiums of Bal Harbour. Please keep in mind this buyer had far more leverage with a bulk sale and even today Bal Harbour SOLD market values average $476 psf for the last 90 days!
If you don’t know the Harbour House of Bal Harbour, it was built in 1964 and converted in 2005 to an amazing redevelopment of an iconic building. The resort style amenities are endless with a movie theater, sports lounge, tiki bar, heated oceanside pool, beach service, billiards room, SPA (massage & steam), juice bar, restaurant, concierge, valet and an amazing fitness center with pilates, aerobics & personal trainers.
Let us know what you think?!?! South Beach to Sunny Isles Real Estate Consultant, Micro Economist. If you’re thinking of placing your luxury condo residence on the market, contact me for a marketing overview and pricing band analysis to determine the proper selling price and get started with marketing. If you’d like to receive the latest local real estate news via blog postings & updates, you can easily be notified by RSS feed (see upper left column) or by email above every time a new posting occurs. The new JADE Condos Sunny Isles.com website & Blog is now available! Have a great week and call any time toll free 1.888.383.7326 or view new condos here.