One of the most prized pieces of waterfront land in
Florida will soon come alive with Resorts World Miami, a Destination Resort featuring
iconic skyscrapers sporting designs inspired by a coral reef and serving as the
centerpiece of a new three-mile Baywalk that will activate the city’s waterfront. Resorts
World Miami, which represents a $3 billion investment by Genting Group, comprises
approximately 10 million square feet of mixed-use development, making it one of the
largest development projects in Florida history.

“Resorts World Miami will accelerate Florida’s evolution as a global destination at the
crossroads of the Americas,” said Mr. KT Lim, Chairman and Chief Executive of Genting.
“Most importantly, Resorts World Miami will boost confidence in Florida’s economy,
creating 15,000 direct and indirect construction jobs and 30,000 permanent positions on
an ongoing basis, attracting more inbound investment, and substantially increasing the
tax base for the city, county and state.”

Rising from 13.9 acres of bayfront land currently housing the Miami Herald Media
Company, Resorts World Miami is located in the heart of the City of Miami, midway
between Miami International Airport and Miami Beach.

“Resorts World Miami introduces a new vocabulary of architecture to Florida, one that
is inspired by the ocean and Florida’s coral reefs,” said Bernardo Fort-Brescia, Co-
Founder and Principal of Arquitectonica, the world-renown architecture firm based in
Miami. “At Resorts World Miami, building designs echo familiar forms that are part of
our identity, including tropical fish and seashells. When you describe Miami and Florida,
you inevitably come back to the water. We have captured that relationship with Resorts
World Miami’s design.”

Resorts World Miami includes a series of four hotels with a total of 5,200 rooms and two
residential towers featuring 1,000 units. The towers take on sculptural forms that
change from every perspective. Each building is designed with outside balconies
adorned with LED-lit exteriors, creating a jewel-like effect that will illuminate the Miami
skyline each night. The Destination Resort will include a super-luxury hotel, a
contemporary hotel, a convention hotel, and a family hotel, offering a lodging option for
each segment of the market.

The towers sit atop an 8-story podium where guests can immerse themselves in a
double-story, 250,000 square foot luxury retail galleria; more than 50 restaurants,
lounges, bars and nightclubs; a high-tech multimedia entertainment area showcasing
the music and culture of Florida and South America; and 700,000 square feet of
convention and meeting space which includes a 200,000 square foot column-free
ballroom, the largest in the United States. A casino will be included if Florida’s
legislature and governor approve Destination Resort legislation.

Each level of Resorts World Miami is designed with outdoor terraces offering
spectacular unobstructed views of Biscayne Bay, Downtown Miami and Miami Beach.
The podium’s rooftop features a 3.6 acre outdoor lagoon – a size equivalent to 12
Olympic-size swimming pools – and natural sand beaches that will enable guests to
swim from Biscayne Boulevard to the edge of Biscayne Bay, a distance of more than
1,000 feet. Each hotel will also have a private swimming pool.

Resorts World Miami will be the highlight of a three-mile Baywalk beginning at the
Miami River and running north to Margaret Pace Park. The Baywalk will link Bayfront
Park, Bayside Market Place, American Airlines Arena, Museum Park, the Miami Art
Museum currently under construction, the new Miami Science Museum currently under
design, the Adrienne Arsht Center for the Performing Arts and the Omni Center. All will
be connected by new public spaces and pedestrian, jogging, and cycling paths that will
activate this stretch of partially completed Miami waterfront.

Resorts World Miami has been designed – and will be constructed – in accordance with
all applicable zoning codes and regulations, including Miami 21, the City of Miami’s
comprehensive zoning code. The project has been conceived with an emphasis on
sustainability and LEED-certified solutions, including three levels of below-grade parking.

The Genting Group has a 25-year track record of investing in the United States. Its
history of investment in Florida started 12 years ago when it acquired Miami-based
Norwegian Cruise Line (NCL) and spent more than $5 billion building eight new ships
and transforming NCL into the youngest and most innovative cruise line. The Genting
Group currently owns 50% of NCL.

Genting also partnered with Florida-based Universal Studios to build and open the $5.5
billion Resorts World Sentosa in Singapore last year, which includes a Universal Studios
theme park. Within a year, Resorts World Sentosa became the world’s most successful
Destination Resort.

“Resorts World Miami is a continuation of the Genting Group’s long history of investing
in Florida and working with the state’s business community. We are fully committed to
develop Resorts World Miami to maximize the impact of this Destination Resort on
Florida’s economy. Our goal is to transform Resorts World Miami into the most
successful Destination Resort in the Americas,” added Chairman Lim.

 Malaysia-based Genting Group, one of the world’s largest casino operators, plans to develop two new, highrise condo towers with 1,000 units in Greater Downtown Miami.

 The condo towers – part of a proposed $3 billion mixed-use resort and entertainment complex on the current Miami Herald headquarters site fronting Biscayne Bay – could be completed as soon as 2014.

Plans for the proposed 10-million-square-foot project – located on Biscayne Boulevard fronting the Adrienne Arsht Center for the Performing Arts – call for a pair of condo skyscrapers and four hotel towers that share a massive pool deck on the eighth floor of the complex, according to a statement from the Genting Group.  

“The initial plans – which still require governmental approval – for the proposed Resorts World Miami project are extremely ambitious,” said Peter Zalewski, a principal with the Bal Harbour.   “For context, think of the design of Greater Downtown Miami’s largest new project ICON Brickell– three towers sharing a massive amenities deck – and double it for the Resorts World Miami project. On a unit-count basis, the ICON Brickell with nearly 1,800 units would be one-third of the size of the 1,000 condo units and 5,200-hotel rooms planned for Resorts World Miami.”  

The proposed Resorts World Miami project – for which the land has already been acquired for at least $236 million – calls for a casino component combined with retail, restaurants, and convention center space.  

The speed of the Resorts World Miami construction schedule depends on whether the Florida legislature and the state’s Gov. Rick Scott agree in the 2012 session that begins in January to permit three casino sites in South Florida with two properties in Miami-Dade County and one in Broward County as is being currently proposed, according to the Miami Herald.  

  “If nothing happens [with gaming] it would be the biggest tragedy when unemployment is so high and here you have something that could create immediate jobs,” Genting Group’s Chairman KT Lim told the Miami Herald. “I strongly believe this can be the agent of transformation that can turn Miami into a real city.” 

 Genting is not the first development group to plan new highrise condos in Greater Downtown Miami. 

 At least three projects have been proposed – with one tower already under construction – with a combined 700 units in Greater Downtown Miami in 2011. 

 Overall, developers – with the Resorts World Miami condo towers – are proposing to construct seven new projects with nine new towers and nearly 2,350 new units, according to the CondoVultures.com Preconstruction Condo Projects list. 

The new highrise condos are proposed for South Florida despite 5,400 units still remaining unsold from the real estate boom that began in 2003 as of June 30, 2011, according to a recent CondoVultures.com report. 

 In Greater Downtown Miami, the number of unsold developer units totals 2,300 condos in a 60-block stretch from the Julia Tuttle Causeway south to the Rickenbacker Causeway, and Interstate 95 east to Biscayne Bay.
At the current 2011 sales pace, South Florida’s unsold developer units would be sold out in 2013. In Greater Downtown Miami, the unsold developer units are on pace to be acquired by the third quarter of 2012, according to recent CondoVultures.com reports. 

South Florida’s decreasing unsold condo inventory is spurring investment in former development sites throughout Miami-Dade, Broward, and Palm Beach counties. 

At least 11 transactions for vertical condo development sites have occurred in Greater Downtown Miami in 2011. 

In total, nearly 125 development sites exist in the Greater Downtown Miami market that is comprised of the Brickell Avenue Area, Downtown, and the Biscayne Boulevard Corridor, according to the Miami Herald.

Brickell is getting a new park on 1814 Brickell Avenue. The park is estimated to be completed by sometime this Fall. The total estimated cost of the project is more than $1M with funding provided by Homeland Defense Bond Series 3.

The Capital Improvements project consists of constructing a new park on a 35,500 square foot property.

The project includes landscaped areas, an elevated landscaped court, and a children’s play area. The landscaping consists of groundcover, shrubs and mature trees, decorative concrete hardscape, benches, picket fencing, site drainage, irrigation and lighting.

This park is great news for the residents of Brickell and the many families and children we have living here now. BHA President Ernesto Cuesta said. “We have been vocal about needing a park within safe walking distance for a long time, and are thrilled that it is really going to happen.

A very cool video that cruises throughout the streets of Miami at night.   Along the way, you’ll see the Rickenbacker Causeway, Brickell Financial District, American Airlines Arena, Art Deco District, and the MacArthur Causeway.

Miami’s financial district better known as Brickell has long been an international hub for investors and financial institutions. In the past few years, it has also became the epicenter for downtown’s ever evolving luxury high-rise condominiums. Over the course of the last 5 years, the Brickell skyline has been filled with numerous 5 star residences that more so resemble high end resorts. This has literally turned Brickell into an urban oasis where owners and renters flock too on a daily basis for housing.

The demand for leasing a unit in one of these fabulous buildings has sky rocketed with the recent housing disaster that has left many would be buyers unable to qualify for financing.

One major problem that my clients continue to run into is the pet policy that the majority of these luxury high-rises have implemented. Many buildings have created a pet policy where only owners are allowed to have a pet within their condo. A handful of buildings still accept pets for renters but the catch is that they can only weigh 25lbs or less.

So what do you do if you have a medium or large breed dog?

Unfortunately, if you’re set on living in Brickell your choices are extremely limited. As it is now, very few buildings will allow an individual who is leasing to house a large dog. This makes it very difficult for new tenants to obtain the perfect condo due to their pet and the restrictions implied by the condo associations.

Here is a short list of the most prominent buildings in Brickell that still allow big dogs, for the time being…

• Latitude on the River
• Infinity Brickell
• The Plaza
• The Vue
• The Avenue aka 1050/1060 Brickell
• The Mark
• The Jade
• Icon Brickell

At the time of this blog, we have been told by a reputable source from within that the Icon Brickell is seriously considering dropping the weight limit on their pet policy too 25lbs and under.

What I don’t understand is why? What is the difference between a small dog and a big dog? As an avid animal and in particular dog lover who has owned several big and small dogs I can tell you that small dogs make much more of a mess. The fact of the matter is that many small dogs need to be taken out much more frequently. This leads to more waste and accidents on the premises within the building. This in turn forces the associations to maintain the premises on a more frequent basis. So technically, it should cost them more when you think of all the resources needed in order to keep a clean and sanitized living residence. That’s a lot more doggie poop bags and in addition they have to send their maintenance personnel to clean up the mess much more often. All of this increases their overhead and limits their crew’s time to focus on more important issues that are present within the building.

So why? Why can’t we have big dogs in Brickell any more??

This is the question that everyone should be drilling the condo associations with.

I would recommend that you contact your associations, write them letters or do anything in your power to try and influence them to change their pet policies.

Although the Miami market still remains deeply troubled, sales have recently picked up which shows that the market is on the rebound .  From May through December last year, 1,000 new units sold in downtown Miami (Brickell Avenue to Julita Tuttle Caseway).  You can see the report here.  However, the majority of buyers were investors from South America.  And though occupancy in newly constructed buildings in downtown has substantially increased, more than half of the new residents were renters, and 7,000 of the 22,000 new condo units built since 2003 still remain unsold. Most which are in the Brickell area.

The majority of buyers who intend use their unit as a primary/secondary residence are primarily interested in top properties in the best locations.  A big chunk of these sales were made at the Icon Brickell.  By the end of the last quarter in 2009, only 125 condos had sold, with an average price of $543 a square foot.

Over all, condo prices in Miami-Dade County have declined by 51 percent since 2007, when the median price was $275,000.  Last month, 2,381 condos in the county went to contract (twice as many as in March 2009) but the median price had slipped to $135,000, he said.

Still I don’t think the increase in sales may translate into higher prices. With so many investment sales, I believe many units will come back to the market when prices begin to rise, which will keep prices down.  I would say we still have a minimum of 5 years before the market reaches equilibrium

The good thing is that the influx of renters has meant that downtown no longer looks like a ghost town and is bringing a vibrancy that we have never felt here. More lights are on at night, and new shops and restaurants have opened.

According to a Condo Vultures report,  more than 700 new condo units have been sold in Greater Downtown Miami Condos in the first quarter of this year.   A year ago only half of that amount had been sold in the first quarter (370 units) The strong buying activity in a market with very little financing is very optimistic for Miami’s real estate market.  35 out of 82 projects have sold out and an additional 24 projects have successfully sold at least half of their units.

The sales have gone up due to the slashing of prices.  A year ago developers and lenders were still asking for $300/sf for a new condo whereas now they are asking in the $200/sf range which has triggered a buying frenzy.

Greater Downtown Miami is comprised of the Brickell Avenue Area (starting from the Rickenbacker Causaway), the Downtown Area, and the Biscayne Boulevard Corridor.

The project to experience the most sales activity of any condominium is the ICON Brickell which has sold 164 units between January and March of 2010.  Sales picked up after the prices were lowered as low as $216/sf.

In second place, Wind by Neo sold 154 at an average price over $200 per square foot.   Prior to the projects fire sale, the average closed sales price in the project was more than $370/sf.

Other projects that experienced large sales were 500 Brickell condominium with 72 sales,  and 900 Biscayne condominium with 46 sales.

On a submarket-by-submarket basis, 79 percent of all of the new condos in the Biscayne Boulevard Corridor have sold. In Brickell,  70 percent of the new Brickell Avenue condos have sold.  In Downtown Miami, about 65 percent of the new condos have sold.

Residents of Brickell can expect some more green space coming by the end of 2010.  There will be a new park at 1814 Brickell Avenue which consists of a one-acre parcel for $2.6 million.

The opening of the park is coming at a crucial time, as more and more people begin to move into Downtown Miami condos and Brickell condos.  Nearly three-quarters of the 22,079 condos units built in Brickell and Downtown since 2003 are occupied.

The park will most likely  feature a dog park, a tot lot, shaded rest areas, and walkways.  So far $271,000 has been raised for  the park  from bonds.  The commissioner (Sarnoff) is trying to reach out to Brickell residents in order to match that same amount from the private sector.  The funds will be used for improvements and maintenance.

The First American Core Logic mortgage data firm has stated that the foreclosure market does not look good for a recovery in 2010.  3% of home owners who have a mortgage have filed for foreclosure or their homes have already been repossessed by their lender and are now considered REO’s (Real Estate Owned).  The national average of foreclosures are up 2.2% from 2009 and are up to six times that amount in certain cities.

There is an abundant amount of homeowners who are in at least a 90 day delinquency and heading towards foreclosure. Out of the 3.5 million mortgages in the country, around 2 million are in a 180 day delinquency. Being realistic, our foreclosure industry is on the rise this year.

Miami, Fl is by far the worst in the country with a delinquency rate of 28.8%, while th rest of Florida has an average of 16% delinquency rate.  What does this mean?  Inventory is up and available and even the banks are releasing the REO’s (Bank owned real estate) into the market.   The good deals are starting to be released into the market and this is great time to take advantage of Short Sales today.

While the government is making efforts to keep many of these foreclosures from going into REO’s and have tried to help the distressed homeowners try to keep their homes. Great news for the real estate investors was the announcement from HUD that the 90 day title seasoning requirement on FHA, Fannie Mae and Freddie Mac loans was waived which started February 1, 2010 and will continue for one year.

Additionally there are 3,546 unsold Brickell condos which make up 51% of the entire inventory of unsold condos in Miami-Dade county.  The interesting thing is that most of the remaining units are concentrated in only a couple buildings, most notably Icon Brickell condos, Infinity condos, and Mint at River Front condos.