High-rise Foreclosures Targeted by Investors

Investors.com reports that investors are swarming the South Florida market targeting condo foreclosures.  The Miami condo market was severely overbuilt during the bubble years with waterfront luxury high-rise projects.  The “smart” money circling these towers is attracted to prices well below replacement cost.

“A lot of eyeballs are focused on Miami,” said Adam Cappel, president of CondoReports.com.

Cappel says Miami’s rising status as an international hot spot has made bargain-seeking investors more interested in the area than in past downturns, and more interested in it than other Florida locales.

“There’s capital from every corner of the world circling. It’s not just Venezuelan money trying to flee,” he said.

Here in Southwest Florida, there is no word on the street about whether or not Related Group is trying to unload in bulk the virtually empty Oasis I tower.  This project received national acclaim when it was reported that just a single tenant had taken occupancy in the 32-story high-rise building.

There are some interesting investment opportunities in the Fort Myers high-rise foreclosure market.  Currently, there is a 3/3 foreclosure at Beau Rivage on the market for $177,800 ($119/SF) and a 2/2 foreclosure at St. Tropez on the market for $179,900 ($105/SF).