June 17, 2006

Two year old South Beach condo project - 25% of units for sale, $750,000 to $29 Million


Took a peak at CondoFlip to see if someone is still turning on the lights there. Found this one - two years later, 46 of the 163 units looking for a buyer, at rates that nobody could ever cash flow by renting 'em out. Not to mention the $1000+ per month maintenance fee. Unreal.

Check out unit #3806 - $3.1 Million for 1306 square feet. Plus $40,000 a year maintenance fee. I don't think anyone is this dumb, are they?

Wonder what HUD will end up getting these for?

Developer: Setai Group, LLCArchitect: Alayo & Denniston InternationalBuilder: Skanska USAYear Built: 2004Number of Units: 163Number of Units Listed For Sale: 46Unit Sizes: From 847 to 5800 s.f.Sales Data as of 6/16/2006Lowest Available Price: $750,000Highest Available Price: $29,000,000

17 comments:

Anonymous said...

it must be a great investment - they had nice posters!

Anonymous said...

At that price, I'd expect a free ""date"" every damn night from their "hospitality concierge"

Anonymous said...

the HOA should include FREE daily 'service' at the tug and rub in the basement.

Anonymous said...

Even so, you could import some of the best service on earth from Russia or Malaysia for a small fraction of that HOA bill.

Out at the peak said...

What terrible values. These guys need more than a 50% haircut to still be considered expensive (especially with price/sqft).

FUNNOMINAL said...

now Keith...
You can't feel sorry for these guys...let them suck wind.

panicearly said...

outside of nyc, when some condo in the us costs double Tokyo prices, its not just an oridinary bubble. this is going to end bad. on the plus side we wont have affordability problems down the road with the over building.

Anonymous said...

This is what happens when your brain gets fried by the sun during the day, and refried at night with all those drugs..specially the "snuff -snuff" bolivian marching powder...

But seriously, a lot of the speculation down there is from $$$ from south america, specially Argentina, where after the financial collapse a lot of those fools got talked to investing in Real Estate in that area.

$29 Million for a stinking penthouuse. You could buy a 5 story townhouse off 5th Avenue in a real city line New York, and still have money for "summer bungalow" in the Hamptons and a "island escape" property in one of those chichi Saint something Caribbean islands for that dough.

veritas_faust said...

Keith,

This property is by NO MEANS the only one having this problem. The list is long and ugly. There are several "marquis" properties that are sitting relatively empty.

The responses are typical: "Its different here in Sunny Isles, we still get the South Americans/Boomers/New Yorkers/Canadians, not like on Brickell Ave. or in Aventura or South Beach. We are different1"

Mind you the places I listed are no more then a few miles from each other, and ALL are considered THE PLACE to live.

Too many places down here with cool names or pretentious monikers. When you don't produce anything and the entire economy is based on Service/Entertainment and Real Estate the outcome is terribly obvious.

That is presuming we don't take a direct hit or two from Hurricanes this season. That of course would hasten the inevitable.

The upside is, Florida will return to being a place you can buy a house for 100K and retire on the cheap!

Anonymous said...

I agree that these places are way overpriced, but I do have to give credit to the website for making a much better comparative shopper than any RE MLS site.

Anonymous said...

I would put fair market value at about $120-140k, no more.

Anonymous said...

LIKE THESE UNITS WILL EVER SELL... LMFAO!

OR_Poster said...

Cannon Beach, OR condo for sale! A bargain at $993/ft.!!!

http://tinyurl.com/z9zaa

Bubble?! What bubble?!

Anonymous said...

Loved your take on the South Beach condos, in the Miami market there are tons of deals like that. And what I saw in Las Vegas is identical.Remember what goes up will come down.

Anonymous said...

ROFLLMFAO! Eat it, developers and speculators.

Anonymous said...

Free Plasma TV included!

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