GlobeSt.com: How are these condo associations reacting to these challenges?

Daniels: Many of the condo associations we represent, especially in Downtown West Palm Beach, are preparing for this new competition and the resulting pressure on property values by upgrading their exterior appearance, modernizing their amenities and improving the infrastructure of their buildings. They want to be ready to compete when downtown West Palm Beach begins to deliver a significant number of new luxury condo units.

Between Bristol Condominium on Flagler Drive and Park Palm Beach in the Northwood-Curry Park section of downtown, 174 units are expected to be delivered during this real estate cycle. That's nothing compared with the over 1,600 combined units planned between the Icon Palm Beach, Eighty Points West and Transit Village projects, none of which have broken ground yet. Development in the North Flagler-Riviera Beach neighborhoods, the Northwood-Currie Park area and the South Dixie corridor also promise to bring additional options to condo buyers seeking the urban living experience.

GlobeSt.com: How would you describe the profile of the condo buyer in the West Palm Beach market?

Daniels: Unlike the Miami condo market, where you have an influx of foreign buyers looking to protect their wealth with investment in Miami real estate, Palm Beach County condo buyers are often northerners or existing residents looking to upgrade their existing units, downsize their residences or trade in the gated community golf club scene for an urban living experience. As such, the pressure to buy is not as great, and they can be more discriminating in their purchase. As is often the case in Palm Beach County, many buyers (condos and non-condos alike) seem to gravitate to newer projects.

Want more Palm Beach County news? Check out my recent column on a huge office sale.

Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.

Arnstein & Lehr

MIAMI—The condo boom is bringing a lot of new projects to Downtown West Palm Beach. The new wave of luxury condo construction is putting pressure on existing condo associations to upgrade their amenities and common areas to remain competitive.

GlobeSt.com caught up with Arnstein & Lehr Attorney Steve Daniels, who represents condo associations in West Palm Beach. He tells GlobeSt.com how condo associations are finding ways to protect their market values in part one of this exclusive interview.

GlobeSt.com: With the re-urbanization of West Palm Beach, what challenge do condo associations face as new condo projects come on line?

Daniels: Condominiums are facing a different problem than they faced 10 years ago: stiffer competition from their newer and more modern neighbors for buyers. The new challenge is demanding condo associations to take a proactive approach to mitigate the impact of new luxury condos being delivered in a relatively small market. Not taking action is not an option if condo owners want to protect and grow the value of their condos by remaining competitive in the market.

GlobeSt.com: How are these condo associations reacting to these challenges?

Daniels: Many of the condo associations we represent, especially in Downtown West Palm Beach, are preparing for this new competition and the resulting pressure on property values by upgrading their exterior appearance, modernizing their amenities and improving the infrastructure of their buildings. They want to be ready to compete when downtown West Palm Beach begins to deliver a significant number of new luxury condo units.

Between Bristol Condominium on Flagler Drive and Park Palm Beach in the Northwood-Curry Park section of downtown, 174 units are expected to be delivered during this real estate cycle. That's nothing compared with the over 1,600 combined units planned between the Icon Palm Beach, Eighty Points West and Transit Village projects, none of which have broken ground yet. Development in the North Flagler-Riviera Beach neighborhoods, the Northwood-Currie Park area and the South Dixie corridor also promise to bring additional options to condo buyers seeking the urban living experience.

GlobeSt.com: How would you describe the profile of the condo buyer in the West Palm Beach market?

Daniels: Unlike the Miami condo market, where you have an influx of foreign buyers looking to protect their wealth with investment in Miami real estate, Palm Beach County condo buyers are often northerners or existing residents looking to upgrade their existing units, downsize their residences or trade in the gated community golf club scene for an urban living experience. As such, the pressure to buy is not as great, and they can be more discriminating in their purchase. As is often the case in Palm Beach County, many buyers (condos and non-condos alike) seem to gravitate to newer projects.

Want more Palm Beach County news? Check out my recent column on a huge office sale.

Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.