Reso 2006-992 - Laserfiche WebLink

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The condominium apartment market is currently experiencing an all-time high inventory for new units. High-rise condominium towers are under construction in the traditional condominium locations such as Brickell A venue, Coral Gables, A ventura and the Miami beaches, as well as areas with no existing high-rise condominiums, such as the central business district of Miami. the Edgewater, Little Havana and Shenandoah neighborhoods of the city of Miami, Additionally, many existing rental apartment projects are being converted to condominiums, Sales of new condominiums peaked in the second quarter of 2005 with 14,700 units sold during the first six months of2005, compared with 7,800 new units for the entire year of2004. Sales of new units in 2002 and 2003 were 4,750 and 5,900 units, respectively. The average sale price of new condominium units was $231,829 for the second quarter of 2005, and increase of 45% over the average price of$159,534 in the second quarter of2004. The new condominium apartment market is already in a largely oversupply condition. If all of the condominium projects that are either proposed or under construction in Miami-Dade County are completed, the county will have over a ten year supply of units, A softening of the market is already been evidenced by the canceling of several proposed projects. The Miami-Dade County retail market contains approximately 52.5 million square feet in buildings over 20,000 square feet. The m~or retail markets in Miami-Dade County include Hialeah, Coral Gables/South Miami-Dade, Aventuraand Kendall. Rental rates typically range from $15,00 to $40.00 per square foot with an average rate of$17.77 per square foot. The overall Miami-Dade County vacancy rate for 2005 was approximately 5.2%. The vacancy level is lowest in super regional malls and highest in unanchored strip centers, Conclusions In the future, one of the principal growth areas for Miami-Dade County is expected to be the international sector, Miami-Dade County, because of its geographic location and excellent transportation facilities, is well-suited to attract both business individuals and tourists from Latin America. It is already one of the principal shopping markets for Central and South Americans visiting the United States and one of the principal export points for goods and services destined for Latin America. A major consideration to future real estate development in Florida will be compliance with the State's concurrency law mandated by the Growth Management Act. This law requires developers to build sufficient infrastructure. Concurrency requires that basic facilities and services be in place or the money to build the same be available before the construction of new development is granted approval. The existence of major financial institutions, retail outlets, corporations and other business entities, coupled with its geographic location, transportation systems and planned international trade centers give Miami-Dade County an excellent opportunity for continued growth as an intemational center. QUINLIVAN APPRAISAL 17