Since the current cycle began in 2011, developers have already announced the development of 400 new condo buildings paving the way to Florida's "condo boom." Over 49,000 units were listed on South Florida's real estate property market, all of which are located east of Interstate 95 in the tricounty South Florida region.
Nearly 74 percent of the preconstruction units that are currently at various stages of development have been announced to attract international buyers in the Miami-Dade County's market.
In this cycle, developers envision building 252 new condo buildings that house 36,000 units east of I-95 in Miami-Dade County. The average condo building in the said area is proposed to stand 23 stories high with more than 140 units.
On the other hand, units in the Broward County were also announced to bring in domestic buyers. Developments in the area rank a distant second in preconstruction activity. Ninety-three new condo buildings with more than 9,000 units are currently in the pipeline. In Broward County, condo buildings are also relatively smaller. An average condo building will stand 10 stories tall with less than 100 units.
Palm Beach County ranks third with 55 new buildings and more than 3,800 units announced. The average condo building in the area is slated to have 13 stories with not more than 70 units.
It is important to note that the actual number of floors and units built may change after construction. This is due to a number of factors including presale marketing campaigns.
Only 8 percent of the condo units announced for this cycle have been completed and 25 percent are currently under construction and scheduled for completion in the next few years.
Many people involved in the Florida real estate market are concerned that the current "condo boom" will suffer the same fate as the 2003 real estate disaster. However, one cannot automatically assume and with higher deposits, a lot of developers are optimistic.
