Sunny Isles Beach Real Estate is selling – even in a stressed economy

An exclusive interview with Katerina Brosda, President & CEO of Brosda & Bentley Realtors, a boutique full-service Realty Company in Miami.

By Stephan Boruchin of TransWorldNews (TWN)

Sunny Isles Beach, a barrier island in North Miami Beach, bordered by chic Aventura to the northwest, elegant Bal Harbour to the south and secluded Golden Beach to the north has been compared to Monte Carlo, the glamorous and ritzy borough in Monaco, home to the famous Le Grand Casino and the opulent palace Hôtel de Paris, a member of The Leading Hotels of the World. Fittingly, the new slogan on Sunny Isles Beach’s public service vehicles, official brochures and flags proudly marks the city to be ‘Florida’s Rivera’.

Arguably there are intriguing similarities but as well significant distinctions. Both cities boast the Atlantic Ocean, respectively the Mediterranean Sea as their dramatic backgrounds; also Sunny Isles Beach has its Leading Hotels of the World, the spectacular Acqualina Resort & SPA on the Beach and a casino with poker tables and Las Vegas style-slot machines is only 5 minutes away on the mainland. 

Donald Trump invested heavily in the city, with six luxurious sky rises bearing his name - the Miami Trump Towers being his trifecta.  The Trump Palace and the Trump Royale condos are sensational lifestyle destinations, only available to a selected few and now the city will be flanked by St. Tropez Condominiums, a brand new 3-towers waterfront development at the gateway into the city and adjacent to the planned, futuristic Town Center and City Park complete with amphitheater and pedestrian-friendly parks, water features deluxe shopping and fine restaurants.

Monaco is legendary for attracting the rich and famous - so is Sunny Isles Beach. A stroll on the 2 ½ miles-long stretch of sand beach could occur to spotting the Who’s Who in the World. From Russian pop stars to international beacons of industry, novelist, artists, movie producers, actors and actresses, Congressman and women, Irina Allegrova, Alicia Keys, Enrique Iglesias, George Hamilton and Barbara Streisand who made the Turnberry Ocean Colony famous and even the Clintons, are rumored to own a condo in town, to name but a few. And what greater incidental similarity to Monaco could there be: Grace Kelly, the American Academy Award winning actress who went on the marry Prince Rainier of the Principality wintered at the Golden Strand Hotel in Sunny Isles Beach.

Whereas South Beach is the Mecca for crowds that could be described as young Wall Street successes, socialites, and ultimate-party-goers, Sunny Isles Beach is attracting a more subdued type of resident.

Grocery shopping in Monaco can be stylish – so can it be in Sunny Isles Beach. Epicure, the town’s Gourmet Market and Café welcomes its shoppers with valet service. Browsing through the aisles feels like being transported to a European connoisseur market.   From Caviar to Foie Gras in Port Wine, the best fresh pastries in town to a delectable assortment of fresh produce, exotic meats and luxurious flowers. Epicure’s very own wine steward will make sure that only the best collections are stocked and available for home delivery.

And as Monaco is one of the number one tourist destinations in Europe, Sunny Isles Beach earned the rank to be # 1 of the Top 10 tourist destinations in the US with more than 1 million visitors a year - according to Tripadvisor’s Travelcast.

Q: Katerina, how would you describe the current Real Estate market in Sunny Isles Beach?

A:  Market conditions are certainly different from 2, 3 years ago.  At that time we had 10 potential buyers - colloquially speaking - fighting for each and every unit that was offered pre-construction in a developer’s sales office. Today these units are finished and are being delivered to the marketplace and some people have second thoughts if they can or want to afford a second or third home in Sunny Isles Beach. Thus arises the opportunity for others to jump in and get a great deal on a brand new condo, with pricing models from 3, 4 years ago.  These ‘alternative buyers’ are certainly more difficult to find, as any potential buyer will look at several marketplaces - Sunny Isles Beach being one of them. Of all the cities in southeast Florida, I think Sunny Isles Beach is holding up best during the current economic turmoil. Partially because the city was organically grown and has a good mixture of everything that makes a great community.

Q: What makes living in Sunny Isles Beach different from living in Aventura, Golden Beach or Bal Harbour?

A: There are distinct differences.  You are choosing a home in Aventura when you are a professional or self-employed, you have a family with kids and probably you want to live in Aventura year-round. As Aventura has one of the best golf courses in the country, in your leisure time you hit the greens and your wife engages in some of the finest shopping in all of the USA at the exclusive Aventura Mall. Aventura has a Whole Foods Market and that always is an indication for an upscale demographic. There are people who will not move into an area that will not support their standards of a health-orientated lifestyle. Golden Beach is extremely upscale and consists of estates and beachfront mansions only, no condos. Bill Gates, Ricky Martin and the late Paul Newman maintain homes in Golden Beach. The island is even smaller than Sunny Isles Beach. Eric Clapton named one of his albums ‘461 Ocean Boulevard’ after a house in Golden Beach. The city is very private, very safe with its very own beautiful private beach. Bal Harbour is an ultra-luxurious village. It is the grand dame of luxury living. The newest development is the St. Regis Resort and Condo Residences, right across from the Bal Harbour Shops and incomparable Carpaccio Restaurant. It is like the Café de Paris in Monte Carlo: See and be seen. Sunny Isles Beach is somewhat all of the two cities combined, but most of the buildings and high rises were just recently built so they feature some of the best and most advanced high-rise technologies and conveniences. The ultimate ingredient that speaks for Sunny Isles Beach is that everything is in walking distance. Banks, supermarkets, fine gourmet markets, stylish boutiques, scrumptious 4- and 5-star restaurants, the Sunny Isles Beach K through 8 School and the beautiful beach is Sunny Isles Beach most valued and appreciated asset. Aventura has one of the Top 100 rated Hospitals in the US and is just across the Intracoastal Bridge. Simply put: Sunny Isles Beach is truly paradise.

Q: I gather you are a big proponent of Sunny Isles Beach?

A: No question, I am. It is a wonderful little town and I happen to think it is one of the best places to live in the entire United States. Sunny Isles Beach offers wonderful homes and apartments that are affordable to almost everyone and we also have the $20,000,000 condos for those seeking a spectacular and unique home in the sky in high-rises with amenities and security that are equal or even surpass those of a 5-star luxury resort.

Q: What are you currently offering to prospects or what are the properties in demand by potential buyers calling Brosda & Bentley Realtors?

A:  We interview a new client first and then we will compile a list of available properties fitting their individual needs and or desires. These days it is definitely Jade Beach. A lot of cosmopolitan people hear and inquire about it. This is such a gorgeous property; everybody wants to get into Jade Beach. Developer’s sales office sources have told me that they have closed over 40% in this new SMART building beachfront development. Many of the buyers are cash buyers, not requiring a mortgage.  Trump Royale starts closing on its new condos as well. People have a sense of what to expect from a Trump property. Trump sets a certain standard in condo developments and people rely on his integrity.  The next highly anticipated property will be Jade Ocean. Established favorites are the Ocean One through Four resort condos, the Acqualina Resort condos and the Turnberry Ocean Colony. There is the penthouse up for grasps at the ultra-exclusive Sayan Condo Resort. Lately we see a lot of activity at St. Tropez Condominiums, which are adjacent to the newly planned Sunny Isles Beach Town Center.

Q: But it’s not all picture-perfect in Sunny Isles Beach? The current state of the economy cannot be oblivious to Sunny Isles Beach?

A: No, it is not. Not at all. As I said earlier, we are now dealing with a more discerning buyer, someone who knows how to and is not shy of making demands of sellers – even of a developer.  And as the top real estate experts in this entire region, we know the concessions a developer is willing to make and we know what has been sold for what price and we provide this valuable information to our clients to guide them in their acquisition process. In working with developers we have access to specially priced condos and our clients are appreciative of our efforts. We also have our share of pre-foreclosure or short sales opportunities. If there is a buyer for Sunny Isles Beach properties, he or she will come across Brosda & Bentley Realtors, simply because of our sheer presence in international advertising mediums. We have also employed technology that will bring a specific property suggestion directly to potential buyers, who may not have thought about Sunny Isles Beach, but are intrigued by the stunning architecture and interior designs of the luxurious high and midrise condos, the convenience and safety of Sunny Isles Beach and the sense of community and classy flair which brings about a certain upscale lifestyle.

Q: Who are the buyers these days? Who would want to invest and not wait and see if prices perhaps will come down even further?

A: Good questions. In the beginning of the year we had a tremendous amount of buyers from Canada. The Germans definitely rediscovered southeast Florida; especially during the summer they were present and would buy condos. We have buyers from the United Kingdom, Mexico, Argentina, Venezuela, France, Italy, Spain, Israel even China and India.  Whereas earlier in the year we could truly pinpoint waves of buyers, based on perhaps articles in major newspapers and magazines in a particular country, suggesting ‘the Florida downturn in real estate prices may be worthwhile to look into investing’. Today’s buyer his highly knowledgeable, with cash, credit and a vision and comes from anywhere in the world and knows that even though all industrialized countries currently suffer some form of financial instability and to a degree uncertainty, the U.S. is still the only global safe haven for real estate. They are true bargain shoppers. Think about it: The credit crisis undeniable started here, it will be fixed from here and I have no doubt that this down cycle will see an upswing. When this will be accomplished, however, nobody knows exactly. I cannot predict that but it will not be from one day to the next, either, it will be a gradual process. I know something for sure: I rather own a piece of property in the US, preferably in a metropolitan area - and my personal favorite is Miami of course, than anywhere else. Just recently official data provided by the US Government stated that our recession started in December of 2007. August, September and October 08 have seen consecutive record increases in Florida home and condo sales, with prices down as much as 24% in certain markets. Even downtown Miami and the entire Brickell area have reportedly sold up to 70% of the new condos developed there. The Florida Association of Realtors reported prices are down in year-to-year comparisons, still home values are factually higher compared to 2003 data.

Q: So the south Florida Real Estate market keeps moving?

A: Absolutely. A total of 10,443 existing homes sold statewide in October, up 15 percent over the 9,118 homes sold in October of 2007. In Miami home-sales increased by as much as 23% compared to the year before. According to the National Association of Realtors foreign-born purchases of residential real estate are expected to rise continuously from the significant increase in immigration. Nearly half of the recent increase in the overall U.S. population is due to newly arrived immigrants. Given the strong relationship between rising homeownership rates and the length of time in the U.S., home purchases by immigrants will have a sizable impact on the housing market. Business owners who live and trade both in South America and Miami also maintain and even expand their residences in and around Miami as the business climate and trade between the two continents is further improving.

Q: How does Brosda & Bentley Realtors stand out and what makes it such a successful pillar in your market place?

A:  Brosda & Bentley Realtors is a full service real estate company with knowledge of the ever-changing market conditions and our professional, highly trained consultants are equipped with cross-cultural skills and the tool kit to provide expert advice to domestic and foreign investors and therefore we are one of the leading movers and shakers in current South Florida real estate sales.  We are also an international company and do not limit ourselves to one particular region. We market properties in Central America, the Caribbean and we are actively expanding our efforts around the globe to create strategic alliances. Some of the components of demand for our international real estate services include: relocations into and out of the U.S. by both domestic and foreign transnational companies; U.S. retiree purchases overseas; immigrant home purchase inflows into the U.S.; immigrant purchases of commercial or business properties in the U.S.; foreign investor purchases of U.S. real estate; and U.S. investor purchases of foreign real estate. Statistics from the Association of Americans Resident Overseas indicate that excluding Military personnel, over 4 million Americans live in over 150 countries overseas. Besides corporate employees, other major components of this group include educators, students and retired persons. The growing annual market share lies at approximately 200,000 relocation and housing orders from US citizens.

Q: Sunny Isles Beach Broker .com was reported to be the # 1 community website amongst over 200,000 international Real Estate Agents’ Websites on the Point2 Community Performance Index. Congratulations.

A: Thanks. Yes, that is true. Sunny Isles Beach Broker .com is either in the worldwide #1 position or # 2 positions on the community performance index – changing daily and we are definitely #1 for the United States and Florida. Point2 is a phenomenal Real Estate software development company and the largest Real Estate Syndication Network in the world. Brokers in Russia, in Germany, in France in Italy, in Spain, in Argentina, in Venezuela, in Hong Kong can logon to the listing syndication and practically market our properties to their clients and or prospects. The exposure our listings are receiving is staggering and if there is a buyer out there, he or she will see our properties, as they are potentially on over 200,000 member sites. A great deal of the strength and power of the Point2 Agent Network comes from how much Point2 members are interconnected for advantages in marketing, mentoring, productivity and support. We try to stay on top, after all Real Estate has become so much more global and many of our southeast Florida buyers are found outside the US.

Q: Thanks for your time Katerina and for your insightfulness. Any last thoughts?

A: Miami Beach remains one of the most lucrative neighborhoods in the United States, and that is a statement that can be looked-up on Forbes Magazine Online .com and also according to Forbes Magazine Miami has the cleanest air and the cleanest water of any US city. Mix that with the fact that we have the #1 continuous party in town: South Beach, nearly perfect weather all year round, Florida being the commercial gateway to the South Americas and the fact that Florida has always recovered faster than any other State from an economic setback, I feel it is a pretty good place to live, work and create at any time.