Miami Real Estate Learning Center

MIAMI REAL ESTATE BOOM CAUSED BY COVID-19



MIAMI REAL ESTATE BOOM

Yes, we are officially in a "super boom". With partial lockdowns and restrictions in most of the country, people decided to pay a premium for their freedom. Freedom to stroll down the street with no mask, to eat indoor and outdoor at restaurants, freedom to work from anywhere.... and I am forgetting many since we live here almost as pre-Covid. Only the tragic news brings us back to the reality of the rest of the country and the rest of the world.

The real estate boom was bound to take place. I've always wondered why people would stay in the cold, grey weather instead of migrating south. Now I know, they stayed for work but in today's world remote working became a reality, so we can all enjoy our new freedom of lifestyle choices.

The Covid pandemic acted as an accelerator of the trend. Northern states residents were already looking into Florida to save on income tax and to enjoy very pleasant weather all at the same time. The difference with pre-Covid is that now the buyers are moving for the long term. How long? Well except if the tax reform of 2017 is repelled, they will stay in the long run.

We are used to boom and busts in Miami because our buyers were mostly (at least 80%) from abroad so we used to depend on other economies, other currencies. This time it's different, 70% of the buyers are nationals, they are planning on living and raising their families here. Looking for schools, private clubs, office space, they want to stay in Miami.

Who are they? Wealthy 40 to 60 years old, in general from the finance world and a few from the tech world (the California license plates ones).

What are they buying? They first started by buying houses but now they realized that they are used to condo living in Manhattan or Chicago so they are going for the condo market as well. At first, it was mainly the uberwealthy but now it's trickling down to every price point from 1 bed to mansions.



TRADER JOE'S OPENING IN MIDTOWN

Midtown was for sure lacking a grocery store. Apart from Target where did you go grocery shopping?

Trader Joe's grabbed the perfect opportunity to open a store in a residential neighborhood full of single healthy and high-income residents. It will be located on the ground floor of the new Gio midtown building completed last year. Almost 15,000sqft space filled with organic, very qualitative, and affordable products.

The cost of construction is around $2.2 million dollars. They needed to open a store in Midtown since competition is around the corner. At the Nema tower, another organic supermarket chain has signed a lease to build a grocery store 3 times the size of Trader Joe.



WALDORF ASTORIA RESIDENCES IN MIAMI



PMG group and renowned architect Carlos Ott are bringing ultra-luxury to Downtown Miami with the supertall Waldorf Astoria Residences projected to reach 1,049 feet height, which would make it the tallest building in Florida. Studios, one, two, three, and four bedrooms will be available for sale starting on March 15th, 2021. All units will be delivered fully finished with a choice of wood flooring, calacatta marble, or porcelain tiles.

The bold project will feature 140 hotel rooms and 400 condo residences and will be located right next to the Miami River in Downtown Miami on 300 Biscayne Boulevard, which provides stunning views of the bay, Brickell Avenue, Downtown, and South Beach skyline.

The hotel and the residences at the Waldorf Astoria project will have separate entrances but the hotel will provide services to the residences. Some of the amenities include a resort-style pool deck, a full-service spa, a world-class fitness center, "smart building" technology, a main and a junior ballroom, a hotel lounge bar, not to mention a total of 15 elevators (so it will be easy to keep social distance!). The rental policy will be a minimum of 3 months twice a year only.

Exact prices have not been set-up yet because the floor plans are not available yet but the residences will be around $1,270/sqft.



NEW FANCY RESTAURANTS? COTE AND CARBONE

Three months ago I was talking about the closure of some famous restaurants but that" over now! We are back to trying out the new fancy restaurants in town. So fancy and desirable that I myself wasn't able to get a table reservation so I'll just tell you what I've heard about them and you'll invite me if you get in!

Carbone opened in South Pointe where Upland used to be. Famous Italian restaurant from New York with a Michelin star. The owners feel like Miami is their home and brought all the best staff with them. The critics say it's the best service in Miami and the food is outstanding. The ambiance is apparently also very welcoming and the cherry on the cake is the people watching. However, prices are stiff and there are many good Italian restaurants in Miami for a fraction of the price.

Cote just opened on Feb 12th in the Design District. It's a Korean steakhouse from New York where it holds since 2017 a Michelin star. The “steak and eggs,” made with filet mignon tartare, Kaluga Hybrid caviar, and milk toast is the "must-have". The only drawback to me at least is that it doesn't have an outdoor space which at this time is quite handy.



DID YOU REGRET BUYING A HOUSE?

Yes, some people rushed into buying a house last year during the pandemic and they now regret it! Of course, not my clients who are all very satisfied with their purchase but some others are desperate of their sudden choice.

The pandemic and the housing fever got some people to make irrational decisions and looking back they wish they would have thought more about buying a house. There are the ones who voided their inspection period and find surprises afterward or the ones who after losing several bidding wars decided to overpay on their next bid, or finally, the ones who moved to a city or neighborhood they didn't even know and regret it now.

Hasty purchases are never good when spending such a big amount of money. Plus you can return an expensive product but not a house!

Buying a house is one of the most important decisions of your life. You have to be thorough in your decision-making and take time to evaluate the budget, the location, and the house itself, and of course, choose the best realtor which means call us!

DEAL OF THE MONTH: YACHT CLUB AT PORTOFINO #2602

Price: $1,200,000

2 bed / 2 bath

Ocean and city views

1140 sqft

Corner unit

Totally remodeled

Maintenance fees: $1138/ month