Steal this Luxurious Estate on 4 Acres in SW Ranches!

Unique opportunity to own a luxury estate on 4 acres in Southwest Ranches. Asking $3,790,000 – REDUCED $2 Million below market value, don’t miss out!

Brand-new 2-story estate, completed in 2014. More than 15,000 sq. ft. under air. Never occupied & ready for 1st owner.

Highlights

Grand foyer with dual stairs, sumptuous master suite with custom spa & sauna, gourmet kitchen, unique sports parlor with “hideaway” Basketball hoop, massive outdoor pool & more! On 4 manicured acres, with private lake, private gate. Mature landscaping for privacy.

Minimum 24-hour notice for showings.

Link to Featured Listing

 

FED: Vulnerable Commercial RE Sector May Take Hits

The Federal Reserve warned that prices in the commercial real-estate market may have run up too far too fast.

Valuations in commercial real estate “appear increasingly vulnerable to negative shocks, as CRE prices have continued to outpace rental income,” the Fed said in its semiannual Monetary Policy Report to Congress. The Fed noted that prices exceed their pre-crisis peaks by some measures.

The Fed included a special section on financial stability risks in the report, which accompanies Chair Janet Yellen’s testimony. The report said that even given “moderate’’ financial vulnerabilities, risks of external shocks, such as the U.K.’s possible exit from the European Union, pose stability risks.
The report also highlighted issues related to credit exposures to the energy sector, money-market mutual funds and stock valuations.

The central bank said price-to-earnings ratios on a forward-looking basis for stocks have increased to a level “well above” their median for the past 30 years.

“Although equity valuations do not appear to be rich relative to Treasury yields, equity prices are vulnerable to rises in term premiums to more normal levels, especially if a reversion was not motivated by positive news about economic growth,” the Fed said.

The Fed said “some structural vulnerabilities are expected to persist” in money-market mutual funds even after Securities and Exchange Commission reforms go fully into effect in October.
“Leverage for the non-financial corporate sector has stayed elevated and indicators of corporate credit quality, though still solid overall, continued to show signs of deterioration for lower-rated firms, especially in the energy sector,” the Fed said in its report.

Strong U.S. bank capital positions contributed to the resilience of the financial system, the Fed said.

Source: Bloomberg

Sumitomo Re-enters Boldly the Miami Market with $220M Icon

The U.S. arm of Japanese trade conglomerate Sumitomo Corp. recently paid $220 million for the iconic Miami Tower office building.

The purchase marked one of Miami’s biggest investment deals so far this year, as well as a surprising display of optimism in the U.S. commercial real estate market from Sumitomo, which only has a handful of marquis properties stateside.

The company has a long history developing and investing in real estate, both within its home country Japan and abroad. Data from Real Capital Analytics shows the company has interests in 63 properties worldwide with an estimated value of $4.9 billion. Most of those properties are office buildings in large Japanese cities like Tokyo, though a smattering of development sites, retail and industrial buildings are also included.

Within the last decade, Sumitomo has acquired interest in $2.4 billion worth of property and sold another $2.3 billion, according to the data. For its real estate dealings in the U.S., however, Sumitomo seems to take a much more calculated approach. Before its purchase of Miami Tower, the company’s stateside office holdings included only two office towers, both occupying premium locations in their cities’ respective central business districts. Sumitomo owns the Class A office tower at 203 North LaSalle Street in Chicago, for which it paid $111.5 million in 2014, and the tower at 450 B Street in San Diego, which it acquired for $73 million in 2013.

This purchase smacks of Sumitomo’s previous and first foray into Miami back in 2008, when it made a splash in the office market with its $260 million purchase of the 34-story Miami Center building. Four years later, the company sold Miami Center to Crocker Partners for a mere $5.2 million more than what it paid.

As recently as a few years ago, “South Florida wasn’t viewed as a long-term investment; it was opportunistic,” Krasnow said. “Now, Miami is viewed from the capital perspective. It is much more of a strategic investment.

In the past year, institutional buyers like insurer Prudential Financial and TIAA have swallowed up large swaths of office product in suburban markets like Coral Gables and the business parks surrounding the Miami International Airport.

Though Sumitomo has been tight-lipped about its most recent acquisition of Miami Tower — sources say those involved in the sale are under confidentiality agreements — a statement from Robert Obringer, the company’s vice president, illustrates Sumitomo’s motivation for paying such a premium for a piece of Miami iconography.

As part of our constant management of assets, we are always looking for opportunities that will maximize return on investment, and this property offers a strong upside potential for in-place cash flow and the opportunity to increase value,” Obringer said in the statement.

Source: The Real Deal

An Exciting Month for RIVA Fort Lauderdale

What an exciting month. RIVA hosted four great community events, beginning with a festive, after-hours networking reception for community leaders and members of the Greater Lauderdale Chamber of Commerce’s Gay & Lesbian Business Exchange Council.

Daniel de la Vega President of ONE S.IR. SPEAKING

Daniel de la Vega President of ONE S.IR. SPEAKING

RIVA also hosted The Leadership Broward Foundation’s 2016 Profiles in Leadership honorees. In addition, RIVA was an exclusive sponsor of the annual Waterway Soirée, one of Fort Lauderdale’s must-attend, signature fundraising events, which benefits the Children’s Diagnostic & Treatment Center, hosting a five-star dinner aboard a luxurious, private yacht for 20 VIP guests.

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The new and elegant RIVA building capped the month with a VIP Rooftop Party, this past Wednesday May 25th at the new Audi Fort Lauderdale location, where more than 400 guests attended the sunset bash with a bird’s eye view of the construction progress.

More information about RIVA

 

Sales Soar for New Homes in April

New home sales data released this week showed that sales were 16.6% higher than March when comparing the seasonally adjusted annualized rates, and 23.8% higher than last year.
This news comes from estimates released jointly by the U.S. Census Bureau and the Department of Housing and Urban Development.

The median sales price of new houses sold in April 2016 was $321,100; the average sales price was $379,800. The seasonally adjusted estimate of new houses for sale at the end of April was $243,000. This represents a supply of 4.7 months at the current sales rate.

At last we have a clear, statistically significant view that the new home market is having its best spring buying season in a decade,” says Realtor.com® chief economist Jonathan Smoke. “April’s non-seasonally adjusted volume of new home contracts was estimated to be 61,000, which was the highest April volume since 2007. However, a key difference between now and 2007 is that 38 percent of the new homes sold then were completed speculative inventory. In April, less than 30 percent of new homes sold were completed. Likewise, the supply of new homes for sale in 2007 was 7.4 months. This April’s new home supply was 4.7 months – solidly below normal. It appears that the growth in sales is coming from higher price points, indicating that builders are finding success with move-up, luxury, and active adult home buyers rather than entry level buyers. Hopefully this will free up existing home owners to sell their lower priced homes as they move up.

Quicken Loans Vice President Bill Banfield stated, “The spring home buying season is in full swing as builders have been picking up steam through the first quarter. While the large jump in new home sales is encouraging, I would look for a normalization in the coming months that shows a slow but steady increase in the health of the housing market.

Source: RISmedia.com

New Addition to Miami’s Skyline – One Thousand Museum

One Thousand Museum by Zaha Hadid Architects marks the Pritzker Prize-winning architect’s first residential skyscraper design concept in the Western Hemisphere. With her name on the project and iconic design tower in the center of Downtown Miami’s skyline, the tower will be the catalyst that shifts the center of gravity for high design and luxury residences. Overlooking the contemporary Pérez Art Museum Miami, Museum Park, the soon-to-be-opened Patricia and Phillip Frost Museum of Science, the Adrienne Arsht Center for the Performing Arts and the American Airlines Arena; One Thousand Museum by Zaha Hadid Architects offers an unmatched standard of luxury living within Miami’s cultural nucleus.

Downtown Miami Skyline featuring the One Museum condominium development adjacent to Miami Art and Science Museums.

Downtown Miami Skyline featuring the One Museum condominium development adjacent to Miami Art and Science Museums.

The 62-story tower will contain only 83 residential units, which consists of a two-story duplex penthouse, four townhouses, eight full-floor residences and 70 half-floor units. The duplex penthouse is priced at $50 million with over 16,000 square feet; duplex townhome residences and full floor residences are priced from $10.9 million to over $20 million and range from 8,000 to 10,000 square feet; half-floor residences are priced from $6 million to over $8 million and range from 4,600 to 4,800 square feet.

Residences will feature faucets by Dornbracht; induction cook tops, in-wall ovens, steam ovens, microwaves, dishwashers and integrated coffee makers by Gaggenau; custom cabinetry by Poliform; refrigerators by Sub-Zero; a German interior illumination concept by apure with design by Porsche Design Studios; custom doors by Lualdi with Valli & Valli’s Duemilacinque series handles designed by Zaha Hadid; state-of-the-art home automation infrastructure by Creston; and custom olfactory scenting options by 12.29, inspired by Zaha Hadid’s architectural vision. The project’s 30,000 square feet of luxury communal areas include a two-story Aquatic Center and Sky Lounge at the 61st floor, a Sun & Swim Terrace with a landscape design concept by Enea Garden Design, the city’s only private rooftop helipad and more.

One Thousand Museum by Zaha Hadid Architects broke ground in December of 2014 and is scheduled for completion in late 2018. During the summer of 2015, One Thousand Museum by Zaha Hadid Architects’ foundational work began with a 24-hour concrete pour in which 1000 trucks poured 9,500 cubic yards of concrete.

Developed by Louis Birdman, Gregg Covin and Kevin Venger with sales and marketing headed by ONE Sotheby’s International Realty, One Thousand Museum by Zaha Hadid Architects’ unprecedented fusion of art, architecture, design, location and luxury will make it Miami’s most coveted address.

For more information, be sure to visit my One Thousand Museum – Miami page.

Source: The Architect Magazine

5 Reasons NOT to “For Sale By Owner”

In today’s market, with homes selling quickly and prices rising, some homeowners might consider trying to sell their home on their own, known in the industry as a For Sale by Owner (FSBO). There are several reasons this might not be a good idea for the vast majority of sellers.

Here are five of those reasons:

1. There Are Too Many People to Negotiate With

Here is a list of some of the people with whom you must be prepared to negotiate if you decide to For Sale By Owner:

  • The buyer who wants the best deal possible
  • The buyer’s agent who solely represents the best interest of the buyer
  • The buyer’s attorney (in some parts of the country)
  • The home inspection companies, which work for the buyer and will almost always find some problems with the house
  • The appraiser if there is a question of value

2. Exposure to Prospective Purchasers

Recent studies have shown that 89% of buyers search online for a home. That is in comparison to only 20% looking at print newspaper ads. Most real estate agents have an internet strategy to promote the sale of your home. Do you?

3. Results Come from the Internet

Where do buyers find the home they actually purchased?

  • 44% on the internet
  • 33% from a Real Estate Agent
  • 9% from a yard sign
  • 1% from newspaper

The days of selling your house by just putting up a sign and putting it in the paper are long gone. Having a strong internet strategy is crucial.

4. FSBOing has Become More and More Difficult

The paperwork involved in selling and buying a home has increased dramatically as industry disclosures and regulations have become mandatory. This is one of the reasons that the percentage of people FSBOing has dropped from 19% to 8% over the last 20+ years.

The 8% share represents the lowest recorded figure since NAR began collecting data in 1981.

5. You Net More Money when Using an Agent

Many homeowners believe that they will save the real estate commission by selling on their own. Realize that the main reason buyers look at FSBOs is because they also believe they can save the real estate agent’s commission. The seller and buyer can’t both save the commission.

Studies have shown that the typical house sold by the homeowner sells for $210,000 while the typical house sold by an agent sells for $249,000. This doesn’t mean that an agent can get $39,000 more for your home as studies have shown that people are more likely to FSBO in markets with lower price points. However, it does show that selling on your own might not make sense.

Bottom Line

Before you decide to take on the challenges of selling your house on your own, sit with a real estate professional in your marketplace and see what they have to offer.

Source: Keeping Current Matters (www.keepingcurrentmatters.com)

Swanky Condo Breaks Ground in West Palm Beach

This is the first major waterfront condo in West Palm Beach since 1987. It comes at a time when the city’s downtown and surrounding neighborhoods have 25 major projects in the pipeline.

In a recent interview, Golub said he was attracting buyers from the Northeast and Palm Beach homeowners who wanted to leave older homes for a new condo with luxury amenities.

Bristol Palm BeachUnits range from 3,700 square feet with three bedrooms to 9,000 square feet with five bedrooms. The interior designer is Amir Khamneipur, who selected woods, stone and imported custom fittings. Amenities include a marble-decked lobby, a club lounge, a fitness center, a two-story wet and dry spa, terrace gardens, and a 75-foot lap pool. The building features a concierge and Bentley service throughout the Palm Beach area.

The developers said the Bristol Palm Beach is 40 percent pre-sold. The developer is asking for 50 percent deposits in stages during construction.

Units start at $5 million. The project should be completed in fall 2018.

Source: South Florida Business Journal

Auberge Beach Penthouse Sells for Record $8.9 million

A real estate boom is happening in Fort Lauderdale, Florida. Once a budget friendly, spring break town by the beach, just North of Miami, the area is experiencing a surge in growth with a string of new luxury hotels and residential buildings along the beach. While Millionaires Row is known for its stately waterfront mansions anchored by large yachts, the high-end resort industry is quickly staking its claim into one of the fastest moving markets in the United States.

LIVING-02

A four-bedroom penthouse in the Auberge Beach Residences South Tower has recently sold for $8.9 million, setting a new record in Fort Lauderdale, pushing out the now previous most expensive residence sold – the 2009 sale at The Ritz-Carlton Residences for $6.875 million.

The record-breaking penthouse boasts over 5,800 sq. ft. living space with an additional 3,970 sq. ft. of exterior living area including a private plunge pool. There are 4 bedrooms, 6 baths, plus a den and a private sun room with 270 degrees of panoramic views of Fort Lauderdale Beach and the city lights. The new owner of the South Tower Auberge penthouse is a mid-west manufacturing CEO who will be joining high profile neighbors including Miami Dolphin’s Dan Marino and philanthropist/author Annie Falk among others.

Standout features of the penthouse include; an expansive floorplan designed to appeal to extended multigenerational families, Floor-to-ceiling window walls overlooking the unmatched coastal setting, private terrace, that nearly doubles the property’s liveable space, complete with an array of outdoor dining and entertaining spaces, access to world-class, resort-style amenities that are curated by legendary luxury hospitality company Auberge Resorts Collection, including exclusive services at the signature Auberge Spa.

Take a moment to visit my Auberge Beach Residences page for more information about this exciting new Fort Lauderdale development.

Source: Forbes

Florida Housing: New Listings, Median Prices Rise in March ’16

ORLANDO, Fla. – April 20, 2016 – Florida’s housing market reported higher median prices, more new listings and fewer all-cash closed sales in March, according to the latest housing data released by Florida Realtors®. Statewide closed sales eased last month amid tighter inventory: Single-family home sales totaled 23,758, remaining relatively the same (down 0.6 percent) from March 2015.

“Many Florida homeowners have been able to rebuild home equity due to strong price growth, but that can also pose a challenge for first-time buyers and move-up buyers,” says 2016 Florida Realtors President Matey H. Veissi, broker and co-owner of Veissi & Associates in Miami. “However, new listings rose in March, which is good news for potential buyers. New listings for existing single-family homes rose 5.6 percent compared to a year ago while new listings for townhouse-condo properties are up 2.6 percent.”

Meanwhile, sellers received more of their original asking price at the closing table. Sellers of existing single-family homes in March received 95.8 percent (median percentage) of their original listing price, while those selling townhouse-condo properties received 94.5 percent (median percentage).

The statewide median sales price for single-family existing homes last month was $209,500, up 10.3 percent from the previous year, according to data from Florida Realtors Industry Data and Analysis department in partnership with local Realtor boards/associations. The statewide median price for townhouse-condo properties in March was $155,000, up 3.3 percent over the year-ago figure.

March marked 52 months in a row that statewide median sales prices for both single-family homes and for townhouse-condo properties rose year-over-year. The median is the midpoint; half the homes sold for more, half for less.

FloridaRealtor March 2016 Market Data1

According to the National Association of Realtors (NAR), the national median sales price for existing single-family homes in February 2016 was $212,300, up 4.3 percent from the previous year the national median existing condo price was $198,900. In California, the statewide median sales price for single-family existing homes in February was $446,460; in Massachusetts, it was $309,000; in Maryland, it was $235,206; and in New York, it was $235,000.

Looking at Florida’s townhouse-condo market, statewide closed sales totaled 10,076 last month, down 7.1 percent compared to March 2015. However, the closed sales data reflected fewer short sales and cash-only sales in March: Short sales for townhouse-condo properties declined 39.3 percent while short sales for single-family homes dropped 33.2 percent. Closed sales may occur from 30 to 90-plus days after sales contracts are written.

FloridaRealtor March 2016 Market Data2

“Overall, statewide inventory levels essentially held steady in March; however, beneath the surface, we can see that active listings in the most affordable price tiers are continuing to decline,” says Florida Realtors Chief Economist Brad O’Connor. “These declines are being offset by the growth in the upper price tiers, particularly in the luxury market. The active inventory of homes listed for over $1 million, for instance, was up 18.3 percent year-over-year among single family homes and 38.6 percent among condos and townhouses.”

Inventory was at a 4.5-months’ supply in March for single-family homes and at a 6.3-months’ supply for townhouse-condo properties, according to Florida Realtors.

According to Freddie Mac, the interest rate for a 30-year fixed-rate mortgage averaged 3.69 percent in March 2016, down from the 3.77 percent average recorded during the same month a year earlier.

Download directly the March 2016 Market Data for analysis.

 

SOURCE:  Florida Realtors