MIAMI-Hundreds of condo units that rose from the dirt during South Florida’s condo boom are still dark. But that’s not stopping developers from proposing new construction.
At least three new oceanfront condo towers are on the boards in Sunny Isles Beach. The City of Sunny Isles Beach lists 524 units as “planned,” “under construction” or “planned/active” on its web site under its “Existing & Planned Developments” area.
Regalia, Solis Sunny Isles and Acqualina 2, formally known as the Mansions at Acqualina, are the three projects planned. Sunny Isles city attorney Hans Ottinot could not immediately be reached for comment.
“Sunny Isles is seeing about 45 new condo sales a month,” Peter Zalewski, a principal with the Bal Harbour, Fla.-based real estate consultancy Condo Vultures, tells GlobeSt.com. “At that pace, the unsold developer units would be sold out by the end of 2012.”
If Zalewski’s estimate is accurate, that would put Sunny Isles in a strong position to take part in the next condo construction wave. CondoVultures.com Preconstruction Condo Projects list reports that developers have proposed 13 new towers with nearly 3,500 units for Miami-Dade, Broward and Palm Beach counties.
Zalewski expects the Regalia, an ultra-luxury condo tower that features a single unit on each floor, to be the first new project to launch presales in Sunny Isles since the housing meltdown. Once that happens, he says, the industry will be keeping a close eye o the project, which is located next to Golden Beach. Pricing on the 42-story tower starts at more than $1,000 per square foot.
“It seems to me what is happening is there’s a push to be the first to market and plant the flag,” Zalewski says. “Whether these developers go forward or not, it will deter competitors. This may be a move for space rather than construction. When the market is there they will these developments will go forward and hope they can can elbow out all the competition.”
Developers created 27 projects with nearly 6,400 units in the Sunny Isles Beach market since 2003. Prior to the boom, developers had built nearly 60 projects with nearly 12,000 units in Sunny Isles Beach, according to the Condo Vultures Official Condo Buyers Guide To Sunny Isles Beach. Between 2003 and the third quarter of 2011, developers have sold nearly 5,700 condos with more than 9.2 million square feet of space, according to the report.
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