By: Carmela Bell
It is clear that the local real estate market is making progress towards recovery. Overall in 2011, we saw prices continue to decrease or stay the same in most buildings. But below are a few exceptions which exemplify highlighted properties which increased in price.
1. Indigo - First half of the year the average price for a 3 br/2 ba, 1,997 sq ft unit was $478,883 or $240 per sq ft. on three sales. The second half of the year there were also three sales of that same floor plan with an average sale price of $513,333 and average price per sq. ft of $258. A notable increase of 7%.
2. The Palms at Perdido - Two units sold in 2010 averaging $278 per sq ft and two units sold in 2011 averaging $378 per sq ft. A whopping 36% increase. This is the trend we like to see. Units in the Palms in the same stack with the same floor plan reflect increased prices:
Unit 501 closed 9/2009 for $1,150,000
Unit 601 closed 4/2010 for $1,235,000
Unit 801 closed 8/2011 for $1,300,000
Currently, the lowest priced unit in that same stack in the Palms is unit 601 priced at $1,500,000. The lowest priced Palms unit with the same floor plan is unit 902 at a great value of $1,175,000 although it is in a stack which doesn't offer the preferred view offerent in the "01" stack.
3. La Riva II - Last August there were three sales of 4 br/4 ba/4,314 sq ft units, PH #12 for $1,000,000, PH #10 for $1,200,000, and PH #14 for $1,250,000 which averages $1,150,000. In December another, penthouse #13 which was the same floor plan sold for $1,250,000.
La Riva II and The Palms of Perdido are two good examples reflecting the strength of the luxury condominium market on Perdido Key. Our condominium market is driven by people seeking a vacation spot for themselves and their families and friends. Buyers in the market are responding to the low prices now offered. We are finding a trend of people with cash finding good deals for high quality coastal condominiums. With the exception of a few very high-end buyers who know exactly what they want and buy it, purchasers are clearly more value driven today than they've been over a decade. Many sellers understand this and have responded accordingly and many buyers are recognizing these irresistable opportunities, creating a new playing field with much increased activity. The rules of the game have changed and the sellers who are embracing them are successfully getting to the closing table.
Comments