Michael Nunziata, division president of Central Communities

Central Communities, the homebuilding division of the Miami-based developer 13th Floor Investments, has announced plans to build 225 homes in Tamarac.

The company’s announcement comes days after it purchased the 33-acre site of their planned community for $7.1 million, county records show.

The seller, Landstar Homes, had purchased the property for an unknown amount with plans to build its own housing community. Landstar was in the midst of seeking approvals in 2014, when its plans apparently fell through, according to a press release.

“As homebuyers increasingly come off the sidelines, they will continue to seek new homes close to city centers,” said Michael Nunziata, division president of Central Communities, in a statement. “This most recent acquisition was a natural extension as we continue to meet this strong pent up demand for quality built new homes at attainable prices.”

Central Communities’ newest project will have a pool facility, park for small children and a walking trail around its perimeter.

The company is also building Central Parc and Central Parc South to the east, with a combined 490 single-family homes. So far Central Parc has sold 150 of its 253 homes since it launched sales in June 2014, and Central Parc South is expected to start selling early next year.

13th Floor is in the process of negotiating contract terms to build a huge mixed-use development alongside the Douglas Road Metrorail Station. The company, led by Arnaud Karsenti, has invested more than $1 billion in South Florida, according to its website. — Sean Stewart-Muniz 

Currie Park land assemblage and Jeff Greene

Real estate investor Jeff Greene added to his portfolio in the Currie Park Corridor of West Palm Beach with the purchase of 0.87 acres, according to a press release.

Less than a month after buying 4.5 acres along Flagler Drive for $31 million, Greene spent $1.51 million on five connected residential lots, a sliver of the $1 billion project he could develop, which would include eight 15-story buildings.

Brad Capas of CapasGroup Realty Advisors brokered the deal, according to the press release. The .029-acre and 0.567-acre properties have 290 feet of frontage along the west side of the 2100 and 2200 blocks of Ponce De Leon Avenue in the Currie Corridor redevelopment district.

Greene has bought land to develop condominiums, office buildings and residential space in several areas downtown and in the Currie Park area north of downtown. His downtown holdings include a site on Dixie Highway between Quadrille Boulevard and 5th Street for which the city has approved two 30-story towers. One is slated for Class A office space and the other for a hotel and luxury condominiums.

At Dixie and Datura Street, Greene bought a property that is zoned for 10 to 12 stories and could be turned into a mixed-use project with residential and retail, he said. — Katherine Kallergis

From left: Doug Frye and Jay Hennick

From the New York website: Doug Frye, the former chief executive officer and president of commercial brokerage Colliers International, resigned from his post, according to a press release issued by the company Wednesday.

Several weeks ago, Colliers announced it would be spun off from parent company FirstService Corp.

Frye will be replaced by Jay Hennick, who had acted as the CEO of  FirstService since 1989. Earlier this year, Hennick led the separation of FirstService and Colliers into two separate, publicly traded companies.

Colliers’ Global chief operating officer, Dylan Taylor, will assume the role of president.

“With the recent launch of Colliers International as an independent public company, we’re at an exciting, transformational period in our history, and better positioned than ever to accelerate the success of our clients and professionals, while creating value for our shareholders” said Hennick.

The transition in leadership comes just days after The Real Deal reported that Colliers is expected to acquire fellow commercial brokerage RKF for an undisclosed sum. [Press Release] — Tess Hofmann

The Residences at the Bath Club

1. Bath Club condo owners to get more than developer wanted to give [Daily Business Review]
2. Tax confusion creates ‘serious financial headache’ for South Florida condo developers [Miami Herald]
3. Zyscovich working on a special area plan for Mana’s 30-Acre Wynwood property [The Next Miami]
4. Innovation Tower developer pushing forward amid new Miami proposal [Miami Herald]

— Sean Stewart-Muniz

Current reader favorites:
1. Delta Air president buys Ritz-Carlton condo in Riviera Beach
2. Scott signs law making condo terminations more difficult
3. Rezoning of 205 acres in Wynwood gets first OK
4. Verzasca downsizes Sunny Isles condo design to win approval
5. Bay Harbor Islands historic resource survey faces scrutiny

This September, The Real Deal will host China’s first-ever U.S. Real Estate Showcase & Forum at the Shangri-La Hotel in Shanghai.

The show, taking place from September 10-12, will feature networking events, panels and workshops, designed to give Chinese investors all the information they need to buy into the U.S. market.

Plus, a showcase of 100+ developments from New York, Miami, Los Angeles and San Francisco will promote face-to-face meetings between Chinese buyers and U.S. developers, to the benefit of both.

Chinese investors spent an incredible $22 billion on U.S. real estate in 2014, 72% more than they spent just one year earlier. And, 63 million Chinese have sufficient wealth to invest in international property. Consequently, Chinese buyers represent a tremendous new market for property sellers in the U.S.

We look forward to bringing you more information on this very exciting event. Please check out the hashtag #TRDShanghai for updates via social media.

If you are interested in participating as a sponsor, please contact Ross Fox at rf@therealdeal.com. For editorial inquiries, please reach out to Heather Grossmann at hg@therealdeal.com.

U.S. home prices rose 4.1 percent in the 12 months through March

From the New York website: After 15 years of volatility, U.S. home prices have reached a level of stability and are rising at low, single-digit rates.

Housing prices nationwide rose 4.1 percent in the 12 months through March, according to the S&P/Case-Shiller national home price index – a change of pace from double-digit percentage increases seen in 2013 and 2014.

The market has settled into “a balance in which buyers are comfortable spending what they can afford given their income and savings, but aren’t willing (or able to persuade lenders) to stretch beyond that,” according to the New York Times.

Fitch Ratings calculates that U.S. housing prices are currently 3 percent overvalued – a sustainable situation, according to the firm’s analysis, as prices were 26 percent overvalued compared to economic fundamentals in early 2006 and 7 percent undervalued at the end of 2011. [NYT] – Rey Mashayekhi

Art Falcone

A company affiliated with developer Art Falcone just purchased a vacant lot in Fort Lauderdale for $9.4 million.

Three parcels totaling 1.3 acres were included in a deed filed earlier this week, which transferred ownership to Rescore 2nd Street, according to Broward County property records.

The buyer’s address leads back to the Falcone Group in Boca Raton, which develops and manages properties.

The surrounding area houses a mix of high-rise commercial and residential buildings.  Two are vacant and the third is a parking lot. Falcone’s plans for the property are unknown, but it is likely that his company will redevelop it.

The three parcels at 417 Northeast 2nd Street in Fort Lauderdale

The seller, a company affiliated with developer Ellis Diversified, had plans to build an apartment tower on the site dubbed “Second Street Residences.” Founder Jim Ellis, a former Blockbuster video store executive, started assembling the parcels in 2006 with the largest purchase for $3.6 million. He picked up the final two in 2014 for a combined $650,000, and got site approval for 398 residences from the city, according to the company’s website.

Falcone is in the midst of co-developing Miami Worldcenter, a massive 27-acre project that will break ground later this year. He is also planning to raze the bankrupted Fashion Mall in Plantation and build a modern, mixed-use project on its site.

Edward Owen, David Reich and Justin Thorpe

Edward Owen was appointed manager of commercial portfolio and office leasing for Brickell City Centre, developed by Swire Properties. Owen was most recently based in Chengdu working on Swire’s Taikoo Li development.

The Trillist Companies hired David Reich as director of development. Reich will oversee YOO at Metropica, the a luxury residential project in Sunrise currently being developed by Trillist. Reich is a 20-year industry veteran with experience in leasing, construction management, asset and property management, site assemblage, financial analysis and ground up development.

Miller Construction Company hired Justin J. Thorpe as a project manager. Thorpe is now responsible for managing major commercial and industrial projects for the Fort Lauderdale-based design/build and construction services firm.

Before joining Miller, Thorpe was a project manager with James A. Cummings, Inc., where he managed construction of projects including the 740,000-square-foot Broward County Courthouse as well as Florida Atlantic University’s landmark football stadium. — Katherine Kallergis

Havana, Cuba (Photo: United Nations Photo on Flickr) and Horacio LeDon

From the New York magazine’s June issue: American developers started dreaming about Cuba’s 2,300 miles of undeveloped coastline and its expansive beaches the moment President Barack Obama announced plans to normalize relations in December. [more]

The top three most expensive listings to hit each of the tri-county real estate markets — Miami-Dade, Broward and Palm Beach — over the past week ranged from $3.7 million to $11 million, according to Zillow data. Broward had the priciest property and a home in Palm Beach was on the low end.

Miami-Dade

#1 Former NBA player Peja Stojaković listed his Sunset Islands home in Miami Beach. The four-bedroom, four-bathroom house spans 4,505 feet and is on the market for $8.9 million. Dina Goldentayer and Sladia Stantic with ONE Sotheby’s International Realty have the listing for 1611 West 24th Street, which was built in 1938 and renovated in 2015.

#2 A newly built home at 6801 Granada Boulevard in Coral Gables was listed for $8.5 million. The eight-bedroom, seven-and-a-half bathroom mansion was designed by architect Alfred Browning Parker. It includes an oversized mosaic tiled pool, coral rock deck, private dock and a tennis court. The 9,448-square-foot home was built in 1951 and is being listed by Dennis Carvajal of One Sotheby’s International Realty.

#3 A six-bedroom, six-and-a-half bathroom home at 1889 South Bayshore Drive was listed $5.75 million. The 8,229-square-foot mansion was built in 1929 and renovated in 2014. Rita Freixas Daly of EWM Miami Beach is the listing agent.

Palm Beach

#1 A Palm Beach mansion with a half-acre quarter lot has been listed for sale at $6 million. The 8,261-square-foot home, at 177 Clarke Avenue, has jumped on and off the market since 2012, when it was originally listed for $6.5 million. The two-story home has its own elevator, impact-resistant glass, seven bedrooms and six bathrooms. Its two-car garage is at the property’s rear in an alley. The listing describes it as a “remarkably low price” for the property. Linda Olsson of Linda R. Olsson, Inc. has the listing.

#2 The Meditarranean-style home at 2881 South Flagler Drive in West Palm Beach is up for sale at $3.7 million. The 5,493-square-foot residence was built in 2006, and comes with modern appliances, recently installed impact-resistant windows and doors, and security cameras. The listing describes the property, located across the street from Lake Worth, as turnkey. Kristina Anderson McPherson of the Corcoran Group has the listing.

#3 A Boca Raton mansion, at 17800 Scarsdale Way, has been listed for sale at $3.7 million. Described as a European-style two-story home, the residence has six bedrooms, eight bathrooms and an expansive library. The home sits on a track within the St. Andrews Country Club and has views of its golf course. Its location within the club also mandates that any owner has a membership, which equates to $125,000 along with membership dues every year. The home also comes with modern appliances and a kitchen island, a resort-style pool and a billiard room. Mark Nestler of Nestler Poletto Sotheby’s International Realty has the listing.

Broward

#1 The gated home at 931 Hillsboro Mile has been re-listed after jumping on and off the market since 2010, this time for $11 million. Described as having a “long, meandering canopy driveway,” the 7,415-square-foot house sits on a 1.2-acre lot that stretches from the ocean to the Intracoastal Waterway. It has its own dock along 125 feet of water frontage, a white marble foyer with high ceilings, public rooms facing the ocean and a resort-style pool with an entertainment deck. Premier Estate Properties has the listing.

#2 An oceanfront condo in Hollywood has been listed for $7.2 million. Located on the 34th floor of the Trump Hollywood at 2711 South Ocean Drive, unit 3402 is 5,068 square feet and has five bedrooms and six-and-a-half bathrooms. The unit has a private elevator, white glass floors, modern appliances and large terraces. It also comes with six parking spots, four storage units and a private oceanfront cabana. Ron Haibi of Bridgestone Realty has the listing.

#3 A Fort Lauderdale estate has been put up for sale at $5.2 million. Located on a dry lot at 112 South Gordon Road, the 7,928-square-foot home has five bedrooms, six bathrooms, its own massage room and wine storage area. Outside, it has a barbecue area and a resort-style pool. All doors and windows are impact resistant. The listing describes it as turnkey, and it is being sold furnished. Don Colonello of Optimar Realty has the listing.

Ana Barcelo and 116 Miracle Mile (far right)

A Miami-based jeweler is moving its corporate headquarters from downtown Miami to Coral Gables, the Allen Morris Company announced this week.

Morays Jewelers signed a lease for a 6,500-square-foot facility at 116 Miracle Mile. The store and offices will open during the first quarter of next year. The company has been based in downtown Miami since 1944, according to a press release.

Ana G. Barcelo, a senior broker associate with the Allen Morris Company, negotiated the deal. Fortune International Realty’s Maria de Jose Mendizabel represented the landlord. Terms of the lease were not disclosed.

“The building’s prime location and upgraded finishes were essential elements in selecting this location as the new headquarters for Morays, as the company continues its tradition as one of the premier jewelers of South Florida,” Chairman and CEO Allen Morris said in the press release.

Boan Investments, a company based in the British Virgin Islands, owns the 6,526-square-foot, three-story building at 116 Miracle Mile. The company paid $3 million for the property in October 2013, according to Miami-Dade property records.

Nearby tenants include Alegria’s Brides and Barnes & Noble.

A $20 million streetscape improvement plan is coming to the area. In August, Coral Gables commissioners approved an upgrade plan that called for more green spaces and improved pedestrian areas, such as wider sidewalks, outdoor dining areas and mid-block parks and plazas. The city plans to break ground on certain parts of the plan, yet unannounced, by this fall.

The home at 1611 West 24th Street and former NBA player Peja Stojaković (Credit: Keith Allison)

Peja Stojaković, an NBA retiree with a championship ring under his belt, has put his waterfront Miami Beach home up for sale at $8.9 million.

The former ball player first purchased the property at 1611 West 24th Street for roughly $3.7 million in 2012. He renovated the 1938 home this year, and it now stands at 4,508 square feet with modern appliances, oak floors, vaulted ceilings and smart home technology.

It has four bedrooms, four bathrooms and is listed by Dina Goldentayer and Sladia Stantic of One Sotheby’s International Realty.

Stojaković won his first and only championship during the 2011 finals between the Dallas Mavericks, which he played for, and the Miami Heat.

He also played for the Sacramento Kings, Indiana Pacers, New Orleans Hornets and Toronto Raptors during his career.

Another basketball pro sold his home earlier this month, this time from the opposite end of the court — LeBron James. The former Miami Heat star and current playmaker for the Cleveland Cavaliers signed a contract for his Coconut Grove manse on June 5. Further details about that sale are not yet available in county records.

Eduardo Caballero, vice president of Jaxi Builders, and the vacant land Jaxi sold in Homestead

Jaxi Builders unloaded a 20-acre vacant plot of land in Homestead for $3.5 million, according to a deed filed with Miami-Dade County records on Thursday.

Cedar at Keys Gate, an LLC tied to Miami-based Jaxi Builders, sold the parcel bounded by Southwest 336 Street and Southwest 340th Street to the north and south, and Southwest 170th Avenue and Southwest 169th Avenue to the west and east, to Miami Beach-based Newport Development Partners. Newport lists Alex Meruelo on its corporate records.

The property is zoned for townhouses, according to Miami-Dade property records. The Jaxi affiliate bought the site out of foreclosure for $900,000 in December 2011. Its highest sale price was in May 2004 for $2.1 million, records show.

Jaxi Builders has worked with Codina Partners, Starwood Urban Development, City National Bank and Mercy Hospital, among other companies, according to its website.

The general contracting construction firm is working on projects such as InTown and Merrick Manor. Astor Companies is developing InTown, a mixed-use project that will house 312 condos between two 14-story towers, along with eight townhomes and 18,000 square feet of ground-floor retail.

The industrial center at 2030 West McNab Road in Fort Lauderdale

The Gateway Industrial Center, a 4.6-acre complex of warehouse and manufacturing space, has sold for $5.3 million.

Gateway is a 103,316-square-foot industrial property at 2030 West McNab Road. It was built in 1976, and has a full-building generator, air-conditioned warehouse space, docking bays and forklift doors, plus an overhead crane.

Its new owner, Donovan Marine, is a seller of marine parts that’s headquartered in Louisiana. The company has locations in 11 states throughout the western and southeast United States, including two sites in South Florida — one near the Fort Lauderdale International Airport, just a few miles away from the McNab Road property. Donovan also took out a $4 million mortgage on the property with Iberiabank, according to Broward County property records.

Christopher Kallivokas, founder and head of RER Ventures based in Coral Gables

Gateway was most recently purchased two years ago for $3.3 million by investment company RER Ventures, headed by Christopher Kallivokas.

“Mr. Kallivokas has been actively involved in the acquisition and turnaround of opportunistic real estate and loans secured by real estate for investment purposes,” according to the company’s website.

Kallivokas said in a statement that he’s continuing to look throughout South Florida for “value-add properties” to purchase.

Larry Genet, Tom O’Loughlin and Harry Tangalakis from commercial brokerage CBRE represented Donovan for the sale. On the buyer’s side, Randall Walker of The Industrial Group and John Dohm of Florida Transatlantic Holdings brokered the deal.

“Broward County’s industrial market continues to exhibit robust growth, but is still somewhat constrained by the limited availability of quality product for owner-occupiers,” said Larry Genet of CBRE in a statement. “This transaction is a good example of how demand from owner-users seeking to purchase multi-tenant buildings vastly exceeds supply. As a result, users are willing to accept significantly lower returns and greater leasing risk than a traditional investor.”

An aerial view of Palm Beach County

It’s all about cash in most Palm Beach County housing transactions. The county ranked second in the nation for the portion of all-cash home sales at 59.9 percent as of March, according to a CoreLogic report.

That trails only Philadelphia at 60.7 percent. Three other Florida counties stood right behind Palm Beach: Sarasota at 59.5 percent, Lee at 59.3 percent and Miami-Dade at 58.3 percent.

So why does Florida lead the way, especially Palm Beach County, when it comes to cash?

“First, unlike other hard-hit markets like the Southwest and California, Florida’s housing market was slower to rebound,” Molly Boesel, senior economist for CoreLogic, told The Real Deal. “That’s because it is a judicial foreclosure state, which means it has taken much longer to clear the distress.”

And it’s distress investors who tend to pay in cash.

But Peter Zalewski, principal of Miami-based consulting firm Condo Vultures and TRD columnist, sees it differently. “Distressed sales east of I-95 were over in 2010,” he said.

Zalewski agreed with Boesel’s second explanation: that financial woes in foreign countries, especially Latin America, drove investors from those countries to South Florida real estate. And foreigners tend to pay with cash.

After the South Florida housing market crashed in 2007-10, financing for mortgages dried up, so buyers purchased in cash. But prices are now much more attractive in Palm Beach than Miami-Dade, Zalewski notes.

In the first five months of the year, residential properties cost an average $1.08 per square foot in Palm Beach compared to $2.80 per square foot in Miami-Dade. “Foreign buyers are jumping to the North — Broward and Palm Beach,” Zalewski said.

But both he and Brown expect the percentage of all-cash purchases in South Florida to slip. Indeed, in Palm Beach, the March figure of 59.9 percent already represented a substantial decline from 65.7 percent a year earlier.

The booming dollar, which has hit multiyear highs against a range of currencies in recent months, will help push foreign, hence cash, buying down, Zalewski said.

Already condo and town home sales dropped 6 percent in Miami-Dade during the first five months of the year, though they gained 3 percent in Palm Beach, thanks to a smaller percentage of foreign buying and lower prices.

An early rendering from a draft of the Lincoln Road Master Plan

1. Proposal revealed for Miami Beach’s Lincoln Road walkway [Miami Herald]
2. David Cassidy’s home in Fort Lauderdale [Sun Sentinel]
3. Homewood goes up as it expands south [Hotel News Now]
4. The Falcone Group has the right property for you – in life, and in death [South Florida Business Journal]
5. Landmarked villa sliced from 1924 mansion sells for nearly $7M [Palm Beach Daily News]

— Sean Stewart-Muniz

Current reader favorites:
1. Scott signs law making condo terminations more difficult
2. Rezoning of 205 acres in Wynwood gets first OK
3. JDS affiliate brings combined South Beach portfolio to $42M
4. Art Falcone buys Fort Lauderdale development site for $9.4M
5. Former NBA player puts Miami Beach home up for sale

From the New York June issue: Attorney Kate Kalmykov flew to China every other month last year to drum up EB-5 business. This year, her travel schedule includes new stops in countries including Vietnam, Brazil, Mexico and Dubai.

“Vietnam is probably in the same place [economically] that China was 10 years ago. There’s a class of people that has rapidly gained wealth,” said Kalmykov, who works at Greenberg Traurig. [more]

2501 Northwest Fifth Avenue in Miami and Ben Bernstein, RedSky Capital principal

Brooklyn-based RedSky Capital added to its Miami portfolio with a building in Wynwood, according to Miami-Dade County records.

RedSky purchased the 13,245-square-foot property at 2501 Northwest Fifth Avenue for $6 million last week. The single-story building, which fronts Northwest Fifth Avenue and Northwest 25th Street, is one block west of the Wynwood Walls, Warby Parker and jugofresh.

This year, RedSky and London-based JZ Capital Management purchased the building at 35 Northeast 40th Street in the Miami Design District, which housed the popular Oak Tavern restaurant, for $28 million. The same buyers also acquired a nearby building at 1 Northeast 40th Street for $29.25 million.

Cheun Ho Im and Hea Cha sold the latest property, an 11,821-square-foot building, constructed in 1955. A previous sales price was not available in county property records.

In Wynwood, RedSky and JZ Capital in January paid $11 million for a 0.3-acre site at 2407 Northwest Second Avenue across the street from Panther Coffee, property records show.

The recent acquisition is zoned for light manufacturing, and although property owners and developers are currently required to file individual applications to change industrial designations in the neighborhood, that may soon change. The city of Miami Planning, Zoning and Appeals Board unanimously approved a slate of changes to zoning and land use designations that would allow denser residential developments on roughly 205 acres in Wynwood at a meeting last week. The recommendations still need to be finalized by the city commission.

The board also recommended approving Wynwood as the city’s first Neighborhood Revitalization District, which will encourage builders to create wider sidewalks, pedestrian walkways within large projects, provide financial incentives to developers who preserve warehouses, and make it easier to construct affordable housing.