Miami’s real estate market has long been a magnet for foreign investors. But developers now report that out-of-town buyers, both foreign and domestic, are seeking homes they can live it, rather than just park money into. The influx of these buyers is having a noticeable impact on how apartments, condos, and townhouses are designed, especially at the luxury end of the market.
The Miami Herald reports on several new multifamily projects whose homes include maid’s rooms, larger terraces, boutique-size closets, and guest suites.
The article points specifically to Paramount Miami Worldcenter, a $1.7 billion mixed-use complex that will blanket 27 acres of Overtown and downtown Miami, as an example of this trend. About 80 of its 513 apartments will include 250- to 280-sf studios with their own bathrooms and bedrooms, which could house a maid, a nanny, or a guest.
Another such project is the 12-apartment Louver House in South Beach, whose 2,400-sf units will include 700-sf terraces that allow residents to enjoy the outdoors more.
In an interview with The Real Deal, Camilo Miguel, CEO of Mast Capital, Louver House’s developer, says that five of the 12 apartments have been sold, at prices averaging about $1,300 per square foot. “We have a mixed group of buyers including a couple of New Yorkers looking to make it a permanent residence. There’s an owner from South America who bought here, an individual from the Apogee. They’re not investors, really. They’re end-users.”
The number of luxury homebuyers in Miami-Dade with New York addresses was up 20% in the first six months of 2015, according to the Herald. Developers are appealing to those buyers and renters who want that semi-urban experience by emphasizing their buildings’ proximity to mass transit. At least one developer, Property Market Groups, is also building smaller, more urban-like units: its 464-unit luxury rental at 300 Biscayne Blvd. called Vice will include studios at 530 sf for about $1,650 per month and one-bedrooms at 600 sf for about $1,800 per month, as well as larger units.
Miami’s attractiveness to out-of-towners continues to be the relative inexpensiveness of its housing, compared to other global cities. Quoting statistics from EWM Realty International, the Herald reports that prices in Miami Beach average $760 per sf, versus $2,204 in New York, $2,948 in London, and $2,331 in Hong Kong. (While Chinese investors account for a minuscule number of residential real estate buyers in Miami, they are seen as a growth market for whom housing units need to be tailored.)
Latin Americans accounted for 68% of all foreign buyers in Miami and Broward counties last year, according to the Miami Association of Realtors. However, number of foreign buyers has been slowing as currency crises rattle economies in Latin America and Europe. Cash sales, which often indicate international buyers, were down 12% in Miami-Dade in June 2015 compared with June 2014.
Related Stories
Architects | Feb 26, 2020
Seven architects aim to design the “newsstand of the future”
The winning project will be created and presented during Milan Design Week 2020.
Architects | Feb 24, 2020
Design for educational equity
Can architecture not only shape lives, but contribute to a more equitable and just society for marginalized people?
AEC Tech | Feb 22, 2020
Investor interest in the built environment not quite as avid in 2019
Builtworlds’ annual list of venture deals led by workspace providers.
Modular Building | Feb 16, 2020
On the West Coast, prefab gains ground for speedier construction
Gensler has been working with component supplier Clark Pacific on several projects.
AEC Tech | Feb 13, 2020
Exclusive research: Download the final report for BD+C's Giants 300 Technology and Innovation Study
This survey of 130 of the nation's largest architecture, engineering, and construction firms tracks the state of AEC technology adoption and innovation initiatives at the AEC Giants.
Office Buildings | Feb 11, 2020
Forget Class A: The opportunity is with Class B and C office properties
There’s money to be made in rehabbing Class B and Class C office buildings, according to a new ULI report.
Architects | Feb 6, 2020
NBBJ acquires immersive technology design studio ESI Design
NBBJ has acquired experience design studio ESI Design. The acquisition signals a new era where buildings will be transformed into immersive and interactive digital experiences that engage and delight.
Sponsored | HVAC | Feb 3, 2020
Reliable Building Systems Increase Net Operating Income by Retaining Tenants
Tenants increasingly expect a well-crafted property that feels unique, authentic, and comfortable—with technologically advanced systems and spaces that optimize performance and encourage collaboration and engagement. The following guidance will help owners and property managers keep tenants happy.
Architects | Jan 29, 2020
Frank Lloyd Wright’s architecture school is closing
The school was established in 1932.
Libraries | Jan 23, 2020
Information or community center: The next generation of libraries must be both
Are libraries still relevant in a digital world?