Worldwide Development Services, a Miami Beach-based real estate brokerage specializing in international investor representation, has announced the successful closings of two bulk condominium deals on behalf of the same international investor. The cash purchases involved a total of 15 units at two Brickell-area condominiums in Miami and represented a combined price of $5.2 million.
The purchases included nine units at Infinity Brickell at a total purchase price of $2.2 million and another six units at Epic for $3 million. The deals closed within four days of each other last month and included seven one-bedroom and two two-bedroom units at Infinity, and three one-bedroom and three two-bedroom units at Epic.
Eddy Martinez, Worldwide’s broker, says the Brazilian investor was attracted to Miami’s luxury condominium properties and the value represented by the current real estate market.
“We are definitely seeing an upward trend in international investor activity right now,” Martinez says. “The commonality among these investors is that they are attracted to the value represented by the current market conditions and are looking for investments in luxury properties in strategic locations. For many international investors there is no U.S. location more strategic than South Florida.”
Clouds reflect in office building windows on Brickell Avenue in Miami - Image by Jon Hicks/CORBIS
In addition to the two bulk deals for the Brazilian investor, Worldwide recently worked with an Israeli group that closed on an $8.7 million note sale in which the note was secured by 32 residential and eight retail units in a Coral Gables mixed-use building.
A recent survey and analysis by the National Association of Realtors substantiates the growing trend of foreign real estate buyers. According to the report, “While there are a number of factors that have contributed to the decline in sales nationally and in Florida specifically, one significant countervailing force has been the growing importance of foreign home buyers. Foreign buyers recognize U.S. real estate as a desirable, profitable and secure investment. In addition, the weak dollar has made U.S. real estate an even more attractive investment for foreign buyers.”
Specific to the Florida market, the report says, “…the single most important factor influencing the purchase of a home is that Florida is viewed by a majority of foreign buyers (69 percent) as a desirable location. Florida real estate is viewed as a profitable investment by 21 percent of foreign buyers. Other (survey) respondents mentioned favorable exchange rates as a reason for international clients purchasing real estate in Florida.”
Of the major metropolitan centers in Florida, the report cited the Miami and Orlando as the overwhelming choice of buyers from Latin America. Thirty-four percent purchased in Miami, followed by 31 percent who purchased in the Orlando area.
“In Miami, the revitalization of downtown and the Brickell corridor as a vibrant live-work-play neighborhood has brought with it an influx of young, professional residents, a significant number of whom are renters,” Martinez says. “This steady stream of renters adds to the area’s appeal for an investor who is able to wait out the economy for a turnaround in the real estate market.”