Category: Miami Real Estate

  • The Property Management by Viac Luxury Real Estate

    The Property Management by Viac Luxury Real Estate

    Whether you are:

    1. Already a property owner in the US and need a reliable property manager
    2. Looking to buy a property and do short term rental with Airbnb, Vrbo, Booking.com and many more. But you need someone onsite to take care of your investment

    Call the Viac Team 305 713 2414.
    Hire the best Property Management company in the US.

    We specialized in Efficient Property Management!

    Make sure to do the right choice and to get the best advisors. The law and regulations about short term rentals keep evolving and you may risk a $20,000 fine!

    Condos in Miami Beach and Miami are strictly regulated and enforced but no worries our expert team is aware of all the laws and regulations. We will guide you to the right investments.

    Furthermore, if you have already purchased a property and want to make sure that it is in compliance with all rules and regulations, please feel free to contact us and we will be happy to assist you.

    At Viac Luxury Real Estate we specialize in Property Management and Compliance Management to make sure your investment is secure and generates the best ROI. Or expert team is working 7/7 to assure the best guests experience as possible. And our 5-star ratings is the perfect illustration!

    We take care from the maintenance of your property to the check-in and check-out with our dedicated team and our very throughout in-house cleaning company.

  • Programme neuf:  Naranza

    Programme neuf: Naranza

    Le Naranza

     

    Situé sur Edgewater, quartier à la mode à Miami, à seulement un bloc de la baie, Naranza a été créé pour offrir des appartements uniques et pour tous. Ce nouveau chef-d’oeuvre résidentiel a été développé et conçu pour devenir un bâtiment boutique complet offrant des finitions de qualité supérieure et un design d’influence internationale.

    Naranza sera entouré par le centre-ville de Miami, le Design district, Wynwood et Midtown; Au cœur de la culture, des arts, des sports et du divertissement.

    A partir de $334,900.

     

     

    Si vous souhaitez investir dans un bien immobilier à Miami notre équipe VIAC est là pour vous conseiller en matière d’investissement immobilier mais également pour trouver la maison de vos rêves sous le soleil de Floride.

    N’hésitez pas à nous contacter.

     

  • Looking for Luxury Real Estate in Miami? We Can Help!

    Looking for Luxury Real Estate in Miami? We Can Help!

    So, you have decided that it is finally time to start living your dream and to move to marvelous Miami? Good! We are delighted that you want to be a part of the neighborhood! Do you want to move into a luxurious home, or to find a luxury condo in Miami? You may have even started to look for luxury real estate for sale in the city but it can be a challenge if you’re not familiar with the city, prices, laws, and other important things a home buyer has to take into consideration before making a purchase. No problem! We are here to help!

    We are Viac Luxury Real Estate of Miami,  a high-end luxury real estate agency dealing in homes, condos, villas and new developments for sale in Miami. Our agents have years of experience in these matters, and they are eager to accompany your every step of your purchase-procedures.

    As a first step, we will (if you need assistance) will help you decide what kind of home will best suit your needs. As you already know, you can choose from an array of options, such as family homes, duplexes, condos, multi-family buildings, and the list goes on… Every type has its own advantages and drawbacks and we will point out everything you should know. This makes it a lot easier to choose because there may be some factors you haven’t taken into consideration. 

    As a second step, we can discuss specific features you want to have in your home. This might be the biggest and most important purchase of your life, so it’s imperative you get the most out of it. Although it can be tough to meet all desires and wants (like home size, neighborhood, mortgage options, and other features), we will still strive to help you find a home which will meet all your needs.

    As you can see, there are a lot of things you should consider before making your purchase. Still, this is only a small part of the whole process. Buying a new luxury home can be a stressful experience, but with our help, it will be smooth sailing! Contact us!

  • How Can Foreigners Invest in Miami – a Guide for Florida Investment

    How Can Foreigners Invest in Miami – a Guide for Florida Investment

    Florida real estate has always been attractive to foreign buyers. Luckily, the state has always held opportunities for investing in properties, especially to invest in Miami luxury real estate.

    Come to think of it, real estate in this state was attractive even before the housing crash that depressed prices for both residential and commercial properties. This made foreign investment in Florida a bargain for many buyers.

    This is why our luxury real estate agents are awaiting your call!

    According to the National Association of Realtors, Florida has the largest number of foreign investors in the field in the country, with 41% purchasing vacation homes, 25% making a dual use purchase and 23% are investing in rentals.

    Although, investing in Miami real estate is popular and widely known, there are still a few things investors should keep in mind. For starters, foreign nationals are able to purchase real estate in the country for personal use, on their own or in the name of a corporation or LLC, without any governmental agency’s involvement.

    Foreign investors are also entitled to defer capital gains taxes in the country by purchasing another investment property under Section 1031 of the IRS Code. However, the actual tax treatment may depend on tax treaties between the United States and the investors home countries, if such treaties exist. This can be a rather complicated area, which is why it is advisable for investors to consult with Florida professional real estate agents on the subject before making a purchase or opt for an investment.

    Investment in Private Property

    If you opt to invest in property, foreign nationals who purchase large tracts of real estate in the U.S. must report that purchase to the U. S. Department of Commerce under the International Investment and Trade in Services Survey Act. The reported information must include the names and addresses of buyers, sellers and owners of more than a 50% interest, and financing information like income or expenses and similar info about the property itself. More reporting details are needed for property over 200 acres or property with a purchase price of more than 1 million dollars.  

    Investment in Rental Property

    When it comes to rental property, foreign nationals purchasing Florida real estate for leasing purposes are subject to taxation on rental income. However, foreign landlords have two choices on how to be taxed. The first option is to pay 30 percent of gross rental receipts, or they can pay regular U. S. income tax rates on net income from the property by filing a Form 4224 with the IRS.

    Other Requirements Concerning The Subject

    The state of Florida has certain filing requirements for foreign nationals and legal entities purchasing real estate. Any property which is owned by a foreign business entity or U. S. corporation whose ownership by foreign nationals exceeds 10% must have a registered office in the state and an agent on file with the Florida Department of State.

    If the sales tax on rents is collected, a foreign national must register as a sales tax dealer with the Florida Department of Revenue.

    As you can see, investing in Miami might be a bit confusing, but nothing out of the ordinary procedures from similar matters. If you have any more questions, contact us!

  • Housing: Then, Now, and Future

    Housing: Then, Now, and Future

    Houses have changed a lot over the last three hundred years. Availability of construction materials, development of indoor plumbing and heating systems, advances in architecture, governmental incentives, technology, family size, and a general rise in living standards are a few of the factors that have played a role in the evolution of our homes. These changes have, in turn, changed and shaped family and social relationships. More personal privacy and space have become a reality.

    The first North American homes were very small, one room, one-storey structures that were based on European building techniques, and adapted to the building materials, climatic conditions, and topography of the New World. The majority of these structures had less than 450 square feet of space but were eventually remodeled and enlarged over time. Through the middle years of the 18th century, older houses everywhere were added to and vigorously remodeled, with room heights rising a foot or more. Parlors were added to the homes of well-off farmers and another gentry.

    Some large homes did exist in the 1800s. Ranging between 2200 and 2800 square feet, or about the size of a good-sized suburban home today.

    19th Century

    In cities, small row houses went up in great numbers in the first half of the century. Virtually all of them had parlors. The average urban row house was narrow, usually only 15-20 feet across, and extending back for 30-40 feet. With mounting pressure for effective land utilization, row houses became more narrow and deeper over time. For example, two 25 foot lots were divided into three.

    During the 19th century, different functions of the house were compartmentalized into separate areas. Public and private rooms were kept apart. As with most other rooms, the bedroom was largely an invention of the late 18th and early 19th centuries. Until then, all but the most privileged colonists lived in one or two rooms, and beds stood throughout their homes when not in use.

    Twentieth Century

    Lot sizes began to grow after the turn of the century. Early 20th century bungalows were one-storey or storey and a half dwellings of between 600 and 800 square feet. In most new houses of the early twentieth century, square footage was drastically reduced to compensate for the increased expenses of plumbing, heating, and other new technological improvements. Housing studies also attribute the reduced square footage to a decline in domestic production of goods. There was no longer any reason to have storage places for things such as home-canned fruit and vegetables, dowry linens, and supplies for making the family’s clothes and bedding. People were no longer producers, but consumers.

    Bungalows in the 1940s had lots measuring 60 by 100 feet.

    Electricity and central heating were the domestic amenities that altered floor plans and furniture placement (Volz).These improvements had important effects on domestic social relations, and, in particular, access to personal space and privacy. Older heating and lighting technologies restricted the use of space in the home, drawing household members into each other’s company in the process.

    The physical size of homes continued to grow, as household size was shrinking. The rise of suburbia came about because of high rents, high crime rates, and urban core decay in cities; an abundance of cheap land in the country; a proliferation of cars; and government incentives. All made home-ownership very popular. Houses were also getting bigger. The small house was on the decline throughout most of the century, while the number of people living in a household decreased by 50% in the years between 1881-1991 (Ward). Room space + less people = more privacy.

    We’ve gone from having no bedrooms to having many. The middle-class bedroom has become an ever more private place, with its own television, bathroom, and telephone. The master suite has become a self-contained apartment; some even have small fridges and coffee machines. Many middle-class parents have established an unprecedented barrier that keeps their children separate from them. Similarly, the kids have done the same, and also have their own personal pads. Since the 1960s, the number of larger homes has increased, while the average number of household residents has shrunk quite dramatically. One result is that children commonly have a bedroom each. Most regard this reality an entitlement, not a privilege. The rooms themselves offer a separate place for schoolwork and often include radios, televisions, computers, and telephones, which historically have only been available centrally within homes.

    The novelty of our age is that how we use the space in our homes is continually evolving. And, as we transform these spaces, they transform us. These transformations are the result of demographic, economic, lifestyle, environmental, and technological changes and pressures. Home offices and media rooms are new spaces, while old spaces like living rooms are now being used as computer rooms. Video entertainment, games, computers, and the Internet serve to isolate, and also demand more personal space, separating us from the people we live with.

    Homes are divided into a series of private zones for individual use, and as family members, we share fewer activities. The average new house has expanded in size from about 1500 square feet in the mid-70s to over 2000 (Friedman and Krawitz). People want more space. Family homes have grown by 1/3 in size over the last twenty years. Sizes of average lots are decreasing, as sizes of homes are increasing. The median size for a new single family home in 2003 was about 2300 square feet (National Association of Home Builders). Family size has decreased almost 25% over 30 years, while the size of new houses has increased about 50%.

    It comes as no surprise that houses have grown in size and cost over the years. At the beginning of the last century, the average home was 700 to 1200 square feet. In 1950, the average home was 1000 square feet, growing to an average size of 2000 square feet in 2000. Costs in 1900 were about $5000; $11000 in 1950; and $200,000 last year. An interesting fact revealed in a National Association of Home Builders (NAHB) report is that although homes have grown in size, lot sizes have begun to significantly decrease in size. In 1990, the average lot size was 14,680 square feet. Just eight years later, the average lot size was 12,870. In its profile of a typical new home in 2010, the report suggests that the average lot size will shrink by another 1000 square feet while house size will increase to 2200 or more square feet.

    The new home profile also anticipates more mixed-use communities, neo-traditional designs, and neighborhoods with smaller lots and narrower streets. New communities will also offer more diverse architectural designs. 21st century neighborhoods will be more diverse while maintaining high-quality design standards. They will integrate live/work houses, commercial centers, and be close in proximity to amenities and services.

    Larger homes on smaller lots will be one of many design challenges affecting new home construction in the years and decades to come. When height restrictions are not too strict, the solution is to go up and down. Homeowners could carve out more livable space, which has previously been delegated to storage in basements and attics.

    The Future

    Buyers seem to share one thing in common: most want more living space. The median size of the respondents’ current homes was 1,770 square feet. How much space did they really want? The median response was 2,071 square feet.

    How much land do you need for bigger homes? Less than you might think. In 1976, the median lot size of new homes was 10,125 square feet. Last year, that median size had slipped to 8,750 square feet. While lot size is on the decline, the desire for bigger homes is rising. Homebuyers want one-story homes, but builders have been responding to the demand for more living space by building more two-story homes. More stories mean an expansion of interior space without increasing a home’s footprint and the amount of land it uses. This has become more important as land becomes less available and more costly in many metro areas.

    To know what will happen to housing in the next 300 years is difficult because we just don’t know how technology, culture, environmental changes, and social relationships will evolve and change how we use our homes. One thing is certain: land will be at a premium and expensive. The other certainty is that the population will continue to skyrocket and there just won’t be space for everyone to have large lot sizes for their homes. The other big unknown is energy sources and supplies.

    SOURCE

  • Capitalizing on the shifting real estate markets: Look for opportunities — and always network

    Capitalizing on the shifting real estate markets: Look for opportunities — and always network

    In recent months, there has been a lot of discussion about the oversupply of luxury condos in Miami-Dade County, triggering developers to put some projects on hold. The strong dollar and struggling economies abroad, particularly in Latin America, have caused foreign buyers and investors to tighten their purse strings.

    As a general contractor who started SPACiO Design Build during the last recession, I have learned to look ahead — past current trends — and adapt my business model to not only mitigate the impact of a market correction but also to take advantage of Miami’s fast-changing real estate market. This is a challenge that most businesses in the real estate industry — and in many other sectors — have to wrestle with.

    We started our business at the time when unsold condos in the Brickell area in the last cycle were being converted to rental units, as buyers had exited the market. When many people were seeing doom and gloom, we looked for opportunities amid a paralyzed real estate market. While we were able to grow the company with that business model, we knew we had to keep our eyes open looking for the next trends as the housing market was rapidly recovering. We began to see starchitects, high-end fashion designers, and exclusive brands — unlike in past cycles — descend upon Miami to stand behind some of the region’s most ultra-luxury condo developments.

    Starchitects like Bjarke Ingles, Herzog & de Meuron and luxury brands such as Armani, Fendi, and Porsche have entered the South Florida market to design and develop grandiose projects, attracting some of the world’s wealthiest people to buy a home in Miami. So, we decided to develop a niche in the marketplace, building out complex projects that required a high level of craftsmanship to match the new level of sophistication that the Miami architecture was beginning to experience.

    In this cycle, building and unit designs became more elaborate and complex, transforming the way space is built out. The introduction of imported design-driven materials required SPACiO to invest in artisans that could turn the visions of these renowned designers and architects into reality. So, when the residential market was active, we focused on building out highly sophisticated projects like the Residences at Armani Casa sales center in Sunny Isles Beach and decorator-ready condos in newly built towers such as the Grove at Grand Bay, Oceana Bal Harbor and SLS Brickell.

    But what the recession taught us the most was not to put all our eggs in one basket. We learned to diversify our operations to include high-end commercial spaces, from hotels to restaurants and luxury retail stores.

    Part of the process was transferring skills we had developed in the residential market but, part of it required teaching our staff new skills. The goal was to prepare our company to stay busy when the condo construction market slowed down. A significant part of our jobs comes from individual condo buyers who buy decorator-ready condos in recently completed luxury high-rises. As we started diversifying our portfolio to include commercial properties, we’ve turned our attention to building out hotels and restaurants, such as Nobu Restaurant, Nobu Hotel, Marriott Stanton South Beach and others.

    Business owners who focus on cyclical industries, like the condo market, have to find the time to boost their networking efforts at the first signs of a market slowdown.It is important not only to develop new relationships but more importantly, to leverage the past and current connections. As times get harder, most likely, it will be your connections that will help you with referrals and new business. A majority of our clients have become my friends, and it was them who helped me launch my businesses at the height of the last recession. Investing time to grow your relationships now will pay dividends when the market loses steam. Staying top-of-mind with your clients starts now, not in six months or a year, when the market has turned.

    People always say that change is the one thing that you can count on.

    That statement couldn’t be, and that statement couldn’t be more true to describe Miami’s real estate market and many other cyclical sectors such as tourism and hospitality. It’s up to the small business owner to seek out and capitalize on the opportunities that arise in each stage of the cycle.

     

    SOURCE

  • Why Miami Real Estate investment

    Why Miami Real Estate investment

    Miami Real Estate Investment

    More and more people are turning to rental properties in Miami as a way to diversify their investments and generate steady cash flow in the future. And why not? There are serious benefits of investing in Miami real estate. First, however, it’s important to understand the key advantages of investing in properties in the first place.

    Miami Real Estate Investment – Why Rental Properties?

    There are several factors driving the trend in investing in rental properties and condos in Miami.

    • Many people are not reaping the benefits they thought they would from Certificates of Deposit and other savings accounts.
    • Despite we are not financial advisors low-interest rates have made people cautious of inflation in the future, pushing them away from the bond market. They turn to commodities like real estate which protect them from inflation.
    • People are diversifying their investments.
    • Low-interest rates and condo prices create interest in rental property investing.
    • Miami Real Estate appreciation.

    Now that you understand why so many people are turning to Miami real estate investments, you need to know whether a potential property is worth the investment.

    When determining whether or not a home or condo for sale in Miami is worth investing in, keep in mind these two key formulas:

    Miami Real Estate Investment – The Cap Rate

    The first formula involves calculating the cap rate. If you bought the house in cash, this is the rate of return you would make.

    What is the Cap Rate?

    The cap rate, also known as capitalization rate, is net income divided by current market value.

    Here’s an example:

    • Cost of condo or home = $200,000
    • You rent it out for $1,500/month
    • Average monthly expenses = $500 You spend an average $500/month on expenses (taxes, repairs, maintenance, etc.)
    • Net operating income = $1,000/month, or $12,000/year
    • Cap rate = $12,000/$200,000 = .06 or 6 percent

    Whether or not the 6 percent is worth the investment is up to you to decide. If you find a property in a Miami neighborhood with high-quality tenants, then it might be worth it. On the other hand, if the property is in a not-so-good neighborhood, then 6 percent may not be a great return on your investment.

    Miami Real Estate Investment – The One Percent Rule

    When evaluating a rental property in Miami, the general rule of thumb to go by is this: If the gross monthly rent equals at least one percent of the purchase price, you should look further into the property investment. If not, keep searching for better options.

    Here’s an example:

    If you purchase a condo for $200,000, it would need to rent for $2,000/month. If not, the one percent rule has not been met.

    According to the one percent rule, the property should bring in gross revenue of 12 percent of the purchase price each year. After expenses, the net revenue should equal between 6 and 8 percent of purchase price.

    In general, this is a good return on investment. However, it is important to take into consideration the neighborhood you are investing in. If the property is in a nicer neighborhood, there is likely a lower return; similarly, more questionable neighborhoods often have higher returns.

    Don’t Forget This One Last Thing

    Finally, no matter what percent you are gaining in ROI off of your Miami property investment means very little if the interest is not compounding. Well, what is compound interest?

     

    How does compound interest work and what does it mean for property investment?

    Compound interest is interest that is generated by your principal plus its interest.

    For example, if you invest $100 in the stock market, at the end of the year it will have gained $10 in interest, to equal $110 total.

    At the end of the second year, the interest has grown by another $11, for a total of $121.

    In summary, the extra $1 the second year earned represents the interest that compounded on top of your interest. Each year, the interest will compound on top of the previous interest, which becomes very powerful after 10, 20, 30 years. In order to reap the same of compound interest on your Miami Real Estate investment, you should reinvest the all of the proceeds so that your returns will compound upon themselves.

     

    SOURCE

  • Miami’s Lowest Property Tax Rates Reviewed for Income Properties

    Miami’s Lowest Property Tax Rates Reviewed for Income Properties

    Greetings Real Estate Investors,

    The Miami Herald recently published an article detailing the different property tax rates in Miami-Dade county for various municipalities.  Since it is tax season and that horrible three letter word is on all of our minds we decided to look a little more closely the list.  Specifically we are going to detail the 10 municipalities with the lowest 10 rates and give our opinion in terms of whether or not these areas offer other strengths or weaknesses for purchasing your next real estate investment.

    Here is the image from the Miami Herald’s article, they had more but we are looking at the lowest 10.

    Miami-real-estate
    We will start at the top of the list and work our way down…

    Sunny Isles Beach
    This is a no brainier and an no-go on investment, this luxury enclave of million dollar condos is where you want to live not where you want to invest, the high cost to purchase and the astronomical Condo fees mean that it doesn’t matter how low the property taxes are your bottom line will get massacred!

    Cutler Bay
    The little town that was formerly known as Cutler Ridge has come a long way since it was just a few homes on the way to Homestead.  There are several condo communities that were built within that last decade that provide a lot of bank for your buck.  We would definitely advise taking a look down the road at this community, the low tax rates combine with a low cost of entry to make this a very attractive place to invest.  There is one thing you have to be very aware of, there is a part of the community that is close enough to the giant Miami-Dade County trash mountain that there is a noticeable stench on some days.  This has kept property values low, so you can get a great deal but you also may have trouble finding good tenants who will stay for long.

    Miami Lakes
    You definitely would not want to invest in a single-family home here but there are several condo communities that are very good deals.  The community itself is very much tailored to working families so in general it tends to attract very good stable tenants.  The prices are definitely higher than Cutler Bay but you are getting what you pay for in terms of a very nice and community that also draws commuters because of its proximity to the Palmetto Expressway.

    Palmetto Bay
    Same as Cutler Bay but 10 minutes further north.

    Pinecrest
    Not much to say it’s too expensive to invest.

    Unincorporated County
    This is probably our number one pick on the list because it comprises so many options that are so much more central the work centers and Downtown than Cutler Bay, Palmetto Bay and Miami Lakes.  The only one that comes close is Doral, but as you will see when we discuss it next the cost of entry is much higher.  The unincorporated county comprises areas such as Shenandoah, Westchester, and basically everything West of US1 starting at 57th Avenue.  You can find some great Single-Family homes in these areas that have sturdy construction and access to some of the best spots in the rest of the city.

    Doral
    This is our number two pick, but if you prefer that your portfolio be filled with newer construction then this might be the first place that you want to look for your next investment property.  Most of the properties are townhomes and most were built within the last two decades.  What you need to watch out for the the HOA fees because some communities are much higher than others.  But the low tax rate combines with some exceptional properties and excellent location to make Doral a place you should definitely look into.

    Aventura
    We used to be higher on this city but recently there has been so much development that it feels like the traffic makes it impossible to get around after 9am.  Still there is a definite draw for quality tenants who want to live in a semi-luxury community.  Cost of entry is high but the low tax rate can somewhat offset that, although Condo fees still remain high, so only look here if you really like the mall!

    Bal Harbour
    Pretty much the same story as the Key but there are some condo buildings that are a bit older that can provide a more manageable amount of cash out of pocket.  The area is growing as well with revitalization happening in the famed Bal Harbour shops and the surrounding areas.  Again you should vacation here but probably not invest.

    Key Biscayne
    It is surprising that such an expensive community would have the lowest tax rate in the county but we might guess a reason…good lawyers?  But there isn’t much else to say, while this may be a great place to buy your next vacation property, the high cost of entry means you should probably avoid investing here unless you have very deep pockets!

    We hope that gives you some insight into where you make your next purchase…start in Unincorporated Miami-Dade county if you are looking for Single-Family and start in Doral if you are looking for new construction townhomes.  If you want to have low cost of entry look down the road in Cutler Bay and Palmetto Bay.

    SOURCE

  • Should You Invest In South Florida Real Estate?

    Should You Invest In South Florida Real Estate?

    Quick Hits: If you’re planning to buy a home, do it now, because prices are going up for the next few years. Investments in single-family rental properties have good potential in Broward County. Apartment developments have the best potential in Miami-Dade. Mortgages have higher risk even though prices are rising. Best bets for investments in retail or restaurants are in Palm Beach County, which also needs medical office space.

    With a large number of second homes and condos, South Florida is prone to boom and bust cycles that stem more from investment hopes than housing needs. Add an expanding Latino population and waves of baby-boomers – two million retiring every year – and you get both risks and opportunities. Demand for Florida housing is always growing, but is it growing slower or faster than the supply?

    The percentage of second homes increases as you head north from Miami, to 20 percent in Palm Beach County. This large pool of empty properties is the swing vote in home prices. It can swamp supply during a downturn but also represents the desire of future retirees – and South American investors – to buy while they can.

    The economy of Miami itself is diversified – with an important finance sector – but as you go up the coast more jobs are in retail and services. Healthcare is the largest creator of jobs in all three counties, and growing rapidly.

    Home prices were strong in the last three years – up 40 percent – and I expect they’ll keep rising 10 percent a year. But… How much of that 40 percent was from speculation in foreclosed condos? How much from ‘real’ demand? There are strong reasons to believe that from here on we are looking at prices going higher than they ‘should’ – especially in Broward County – in other words a mini-boom that will fizzle after a few years. If you’re looking to buy for the long-term, do it now. If you’re looking for a short-term investment, be very, very careful.

    Because rents held up better than home prices during the recession, buying a property to rent out is an attractive option despite the recent rise in prices, less so in Palm Beach County, more so in Miami-Dade and Broward. Almost half of households in Miami are renters. With most the new healthcare and retail jobs paying low wages, the renting population will increase. In urban areas it makes sense to buy a single-family house and split it into rental units. Apartment buildings are a good option in Miami – at the right price.

    Mortgages are a difficult investment right now. Because home prices will keep rising the next few years, the equity cushion for new mortgages will grow quickly; on the other hand, prices are almost too high in Broward and Miami-Dade already, which means these mortgages will have a rising risk of default. Just because the last bust is over doesn’t mean a new one isn’t around the corner. Lenders should back away from high loan-to-value mortgages during this period. The same is true for construction loans; new projects should be financed in very careful stages.

    Population is growing at an uneven pace, slower in Miami, faster as you move up the coast. Over the next three years I expect a 10 percent increase in housing needs in Palm Beach County – 30,000 owner properties and 23,000 apartments. I expect 25,000 of each in Broward, and in Miami 30,000 houses and 36,000 apartments.

    The climate for investments in retail businesses and restaurants is best in Palm Beach County, where demand has grown quickly the last two years and average income is the highest. All three counties, but especially Palm Beach will need office space for the growing number of healthcare workers.

     

    SOURCE

  • History of Wynwood Miami

    History of Wynwood Miami

    The Wynwood is a neighborhood in Miami Florida that has been getting a lot of attention recently for its development into a center for art and interesting restaurants, bars and breweries. However, very few people know the full history of this neighborhood that dates back to 1917. While Wynwood nears its 100th year, it is time to share its story of humble beginnings, diverse demographics and modern day gentrification.

    Developed by Miami Pioneers

    The Wynwood area was originally sub-divided and sold by a couple of early Miamians: Josiah Chaille and Hugh Anderson. The land that Chaille and Anderson purchased in 1917 was farmland and part of the Pulaski Estate. At the time of the purchase of this tract of land, the estate was being managed by the law firm of Robbins, Graham and Chillingsworth.

    The land may have also included part of the Waddell and Johnson tract, but it isn’t clear how much of this tract would have been a part of the transaction. Prior to the annexation of this land by the city of Miami in 1913, it would have been a part of North Miami. North Miami was defined as land north of today’s fourteenth street, which was just north of the original Miami city limits. North Miami did not have alcohol restrictions, so it was a haven for saloons and raucous behavior in the early years following the incorporation of Miami.

    What is clear about the Waddell and Johnson tract is that there were already lots sold long before 1917. EA Waddell was Miami’s first real estate agent and was focused on selling lots on this tract as early as early as 1896 to his friends from Key West. Therefore, Chaille and Anderson may have inherited some lots that were already sold and built as part of their purchase in 1917.

    Josiah Chaille Josiah Chaille was the son of a William Chaille who opened up a store called The Racket Store on Avenue D (later named Miami Avenue), after relocating from Ocala to Miami. The Chaille family arrived in Miami in 1900, shortly after the incorporation of the city. Josiah would work with his father in the retail business until his father’s retirement in 1912. Josiah would continue to run the business until 1916 at which time he chose to sell the store to the Burdines and go into the burgeoning real estate business.

    Josiah Chaille may have been best known for his work on the Miami City Council. In 1920, the city council enacted a new street name and numbering system in a plan provided by Josiah Chaille. The modern day street names and numbers in downtown Miami and the surrounding areas are directly from this plan. The plan was adopted in October of 1920 and called the Chaille Plan.

    Hugh Anderson was a charismatic opportunist who went from a hotel clerk in Chattanooga, Tennessee, to a millionaire promoter during boom time Miami in the nineteen teens and nineteen twenties. In addition to being a part of the founding of Wynwood, Anderson also was involved with the development of Miami Shores and the Venetian Islands. He also was one of the builders of Biscayne Boulevard. Unfortunately, Hugh Anderson lost his fortune and died in 1941 at the age of 59.

    The partners took out the first plat in Wynwood on January 7th, 1917. However, the men originally called this area Wyndwood. Three months after the two men took out the first plat, the City of Miami built a park on the northern end of this new area and dropped the “d” from the name. The area became known as Wynwood Park. It wasn’t until much later that people dropped the “Park” and just referred to the area as Wynwood.

    Originally, the Wynwood Park boundaries were defined by NW 20th Street to the south, NW 36th Street to the North, the FEC Railroad tracks to the east and NW 7th Avenue to the West. After the building of Interstate 95 in the 1960s, the Wynwood neighborhood border was unofficially changed. The western border of Wynwood was now considered Highway 95. This unofficial change eliminated a set of small blocks that were east of NW 7th Avenue and west of Highway 95, between NW 20th Street and NW 36th Street.

    Working Class Neighborhood

    Since its inception, the neighborhood became an area for working class families. My grandmother and her family lived just inside the boundaries of Wynwood, on NW 23rd Street and just east of NW 7th Avenue. She lived in Wynwood from 1928 to 1945. The house she resided would have been in the portion of Wynwood that was isolated during the building of I-95 in the 1960s. She, and at least one of my great uncles, graduated from Robert E Lee Middle School in the late 1920s. Also, she worked nearby at Don Allen Chevrolet on NW 20th Street and Miami Avenue. Most of the families in the area would have been considered middle class at that time.

    Josiah Chaille Wynwood became an attraction for commercial residents as well. In 1928, the American Bakeries Company built a plant to make and distribute Merita Bread at NW 32nd Street in Wynwood. Residents would say that you could smell the freshly baked bread for blocks. The plant took up almost a block between the addresses of 561 through 599 on NW 32nd Street.

    Also, Coca-Cola opened up a bottling plant at 301 NW 29th Street in 1926. There was also an Orange Juice bottling plant located in Wynwood around this time. There were plenty of opportunities for working class people to both work and live in the Wynwood neighborhood during its early years.

    The Miami Fashion District

    The boom years of the 1920s saw the beginnings of the garment industry in Wynwood. The Garment District was the southern portion of Wynwood along NW 5th Avenue, between NW 22nd and NW 29th Streets.

    Many Cubans who began migrating to Miami in the early 1960s provided much of the work force for this growing industry. The Garment District consisted of both clothing retailers as well as manufacturers.

    According to an article in the Miami News on October 27th in 1980, the Miami Fashion District was part of the third largest garment district in the country. In 1980, there were 225 businesses as part of this district. Wholesale – Retailers represented about $64 million in sales and manufacturers drew about $125 million in revenue annually.

    As the district got more popular in the 1980s, many of the manufacturers moved out of Wynwood to make room for more retailers. As the value of commercial square footage went up, the manufacturers felt it was better to move to places like Hialeah to be closer to their Cuban workforce. Many of the workers did not have cars and resided in places like Hialeah.

    Over the course of the last 20 years, many of the businesses in Wynwood’s Fashion District have been purchased by South Koreans. Despite the change in rental rates and the change in business ownership, the Fashion District is still a very vibrant business community in Wynwood.

    Little San Juan

    At the end of World War II, there was a big exodus of Wynwood residents to the newly developed suburbs. Commercialization and urban flight took its toll on the neighborhood. The old timers, and younger generation that grew up in the neighborhood, moved away. This trend changed the composition of the neighborhood dramatically.

    The exodus formed a void in the neighborhood that began to be filled with a variety of new immigrants to Miami. In particular, there was a large influx of Puerto Ricans into the area, and the neighborhood began to be known as ‘Little San Juan’ by the middle 1950s. The neighborhood’s demographics represented the first big influx of Hispanics into Miami and it was referred to as Little San Juan over 10 years prior to the area near the Orange Bowl being referred to as Little Havana.

    The impact of the influx of Hispanics, and in particular the Puerto Ricans, began to change the names of many of the neighborhood’s public places. Wynwood Park was renamed Roberto Clemente Park in July of 1974, following the tragic death of the Puerto Rican born baseball player on December 31st, 1972. Clemente died in a plane crash attempting to bring aid to Nicaraguans following a devastating 1972 earthquake in Managua.

    Robert E Lee Middle SchoolRobert E Lee Middle School, at NW 32nd Street and NW 5th Avenue, was closed and later was razed to make room for a new middle school that was named Jose De Diego Middle School. The new school opened in August of 1999. Robert E Lee was closed in June of 1989 due to the age and condition of the building. The school was built in 1924.

    The names of the public service buildings in the neighborhood took on the names of important Puerto Rican figures and terms. The neighborhood service center was named after a Puerto Rican patriot and writer, Eugenio Maria de Hostos. The center is located at 2902 NW 2nd Avenue. A publicly funded outpatient clinic was named Borinquen Health Care Center at 161 NW 29th Street. Borinquen was the ancient name of the island of Puerto Rico.

    Local dining spots were called the La Boricua Coffee Shop at 186 NW 29th Street, and Roberto Clemente Coffee Shop, which was located across the street from the park. These businesses provided an affordable diner which specialized in Puerto Rican cuisine. The churches in the neighborhood were Iglesia Pentacostal Esmira at 36 NW 29th Street and San Juan Batista, or Little Mission Church, at 3116 NW 2 Avenue.

    Wynwood on the Decline

    Over time the neighborhood began to diversify and include blacks, Cubans, Haitians, Colombians, Dominicans in addition to Puerto Ricans. According to a Miami News article in December of 1977, only 33 percent of the Wynwood population was Puerto Rican. The article stated that another one third of the population was Cuban and the final third consisted of all the aforementioned groups. Wynwood had a population of roughly 18,000 people in 1977.

    By the late 1970s, the Wynwood neighborhood was considered lower middle class. Unemployment was 55% and drug trafficking was rampant. Wynwood was considered a “springboard community” for new immigrants. The goal for working class immigrants was to improve their economic standing so they can leave the neighborhood as quickly as possible.

    The unofficial Mayor of Wynwood was Dottie Quintana. Dottie was born in Ponce, Puerto Rico on August 9th in 1909 and grew up in Cuba before moving to the New York in 1927. After getting married, she moved to Wynwood in the late 1950s. Dottie spent her life helping the sick, elderly and children in what became a very tough Wynwood neighborhood.

    For 10 years, Dottie would often drive the neighborhood at night in her old teal Chevy sedan, and make note of the activities of drug dealers and seedy characters in Wynwood. The next day she would discretely drop off her notes to the police station.

    Both Dottie and her husband would collect food from churches to give to Haitian Immigrants when they first started arriving in the late 1970s. She helped the Cuban Refugees that began arriving in the 1980s. She was instrumental in the opening of the Borinquen Health Center and the De Hostos Senior Center. Dottie’s work to help the people of Wynwood was a life-long passion and earned her the nickname “Mayoress of Wynwood”.

    Given all of her work and accomplishment, the community center in Roberto Clemente Park was dedicated to her and is today called the Dorothy Quintana Community Center. It is located on the southeast corner of the park at NW 34th street and NW 1st Avenue. Dottie Quintana passed away at the age of 101 on March 13th, 2011.

    Gentrification of Wynwood

    It may have been the purchase of the former American Bakeries building on NW 32nd Street that represented an early glimpse of what Wynwood would become. By 1980, the bakery was operating as the Flowers Baking Company. In 1981, the company moved out of Wynwood leaving the building without a tenant.

    The former bakery sat empty for 4 years until a splinter group of the South Florida Art Center discovered the building. Driven out of Coconut Grove by high rents, some of the SFAC artists relocated to South Beach, while others chose to stay on the mainland to look for a suitable home.

    Led by Helene Pancoast and Faith Atlas, the mainland group formed a nonprofit organization and purchased the former bakery building. In 1987, the 2.2 acre facility opened as Florida’s largest working artist’s space, and was called the Bakehouse. It still operates at that same location and by that same name today.

    Fast forward to the middle 2000s and the Wynwood art scene got a big lift when Goldman Properties took interest in Wynwood. Tony Goldman, a force behind the revival of SoHo and South Beach, had a knack for seeing thriving, artsy neighborhoods when others could only see urban plight. Goldman, his daughter Jessica and his son Joey, began buying up chunks of Wynwood’s warehouse district in 2006.

    Tony GoldmanIn October of 2009, Tony Goldman dreamed up an open air gallery of murals called Wynwood Walls. The gallery opened a couple months later to coincide with Art Basel. Goldman’s vision was that the entire Wynwood neighborhood would become a canvas for urban street art. It is a neighborhood that provides a monthly art showing called the Wynwood Art Walk, which takes place on the second Saturday of every month.

    Unfortunately, Tony Goldman passed away at the age of 68 on September 11th in 2012. His dream lives on through his children, who continue to run Goldman Properties and invest in the Wynwood community.

    The Wynwood neighborhood has attracted a number of very interesting restaurants, bars, breweries, art galleries and an assortment of other name brand retailers. While it is a neighborhood that is rooted in humble beginnings and evolved into a melting pot community, it is a neighborhood on the rise. There are plans to build condominiums, a hotel and promises of a lot of new restaurants and retailers.

    Some in Miami believe that the Wynwood Neighborhood has already surpassed many other nearby neighborhoods in terms of character and charm. If you haven’t attended an Art Walk or visited any of the great establishments in Wynwood, now is certainly the time.

     

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