The asset’s in increasing demand as international investors seek havens, says Jonathan Miller, president and CEO of Miller Samuel Inc., a real estate appraisal and consulting firm.
The good news, he recently told the Miami Condo Market Symposium, is that the area has transformed to cash in on the trend. “We’re seen as the safest of all markets,” he said.
Investors have “an opportunity to place their money not only in a safe location but one where they can come visit,” and “have a reasonable expectation of appreciation,” said Philip Spiegelman, whose ISG World specializes in luxury condo sales.
Gone are the days a few years ago when in the midst of downturn the area developed a reputation for catering to the other end of the spectrum. “Miami was basically the poster child for distressed sales…,” Mr. Miller said. “Now it has successfully rebranded itself as a luxury market.”
Part of the problem might have been perception, as Miami’s name recognition made it a popular anecdote for analysts after the market crashed. “Among high net worth people, Miami has always been a luxury brand,” said Audrey Ross, EWM International Realty senior vice president. “And quite truthfully, we’ve always cashed in.”
But by cultivating high-end developments, a burgeoning arts scene and access to major global destinations, area marketers have succeeded in heightening demand. They’re also hiring world-famous architects, such as Carlos Ott, who designed Property Markets Group’s Echo Brickell project, which reached record prices of $2,000 per square foot, said senior managing director Ryan Shear.
“Miami has always been undervalued,” said Jeff Morr, chair of the Master Brokers Forum. “This is a recent resurgence.”
Source: Miami Today