Category Archives: Investing

In Wake Of Court Ruling, DOL Will Cease Enforcing Fiduciary Rule, Source Says

Fiduciary advocates are hoping for a revival of the U.S. Department of Labor’s fiduciary rule, but as of Friday, the regulation will not be enforced.

The U.S.

from FA News


Tax Snag Causes Huge Outlow At Largest U.S. MLP ETF

The largest exchange-traded fund tracking America’s energy pipelines incurred its third-biggest outflow on record after regulators put a stop to a key tax credit for master limited partnerships.

from FA News–mlp-etf-37691.html

Waterfront Property In High Demand

Vacant waterfront property is nearly extinct. This is causing developers to target older properties, buy out the current owners at premium prices, and then tear it down to replace it with a new luxury tower. This process is also known as condo termination.  

That was the strategy adopted by the Russian developer and businessman Vladislav Doronin, chairman, and CEO of the real estate firm OKO Group, with their newest plans involving a 47-story luxury tower, Una, in partnership with investor Cain International. Una will house 135 residents. Each unit has its private elevator entrance, and they range in square footage from 1,100 to 4,786. Construction is set to finish in 2021. 

While sales of luxury condos have surged, the supply still surpasses demand by quite a significant amount. According to the 2018 EWM Realty International Annual Market report, the current inventory of available luxury properties showed 40.8 months. While indeed a decrease from the previous year, the excess of stock is still far above the desired six to nine month of inventory desired of a healthy market.

“If you have confidence in a market — and we have a lot of confidence in Miami — you have to back it with your equity,” said Jonathan Goldstein, CEO of Cain International, “You’re going against the grain a little bit. You’ve got to have the confidence of your convictions. It’s during the times when other [developers] can’t access the marketplace when you can hopefully do the best. But we would not be averse to third-party financing if it becomes available at the right time.

Developers believe Una’s location and timing will help it stand out among other properties. “This is a very established neighborhood, very private and quiet,” Doronin said. “There has been no new construction here for the last ten years. We were lucky to manage to purchase this site. And for the near-future, no one else is going to build here. We won’t have any competitors in South Brickell.”

While the process of finding these types of properties and turning them into something new is very complicated, other developers will soon be turning to this method – especially with the lack of waterfront properties available on the market.


“This kind of development is a thing of the future: It’s actually here now,” said Edgardo Defortuna, president, and CEO of Fortune International Group. “Real estate in Miami is almost a new game now because it’s very very difficult to find a site that is readily available. Developers have to be creative and figure out a way to solve that issue. And this way of developing is a win-win because the old condo owners are making a nice profit on their property.”

Defortuna’s company is currently working on a new project at the previous site of Playa de Varadero, which was built in 1965.

from BRG International – Feed
via Beyond Realty Group
Waterfront Property In High Demand syndicated from

Norwegian is putting its mark on Miami’s Skyline with New Terminal Plans

The skyline at PortMiami is going to look very different come 2019. Miami-based Norwegian Cruise Line has taken action to move forward with plans to construct a new, luxury terminal.

The plan is still waiting for final approval from the Board of Commissioners. Once approved the project is set to be finished by November 2018. The plans were first announced in May of 2017.

The plans show a new terminal being built east of the current Norwegian location at Terminals B and C. The new terminal will be known as Terminal B, and the current Terminals B and C will combine to become Terminal C. The two Norwegian terminals will have space for two 5,000-passenger cruise ships to be docked at once. This plan is set to complete at the same time as the Norwegian’s newest cruise ship, called the Norwegian Encore (Fall, 2019).

The new terminal has a $100 million price tag for Miami-Dade. It is currently unknown how much of the cost Norwegian will cover. The price tag is well worth it though, with the terminal plans designed to mirror the luxury experience onboard Norwegian’s ships.

“[Passengers’] vacation should start when they arrive, and they go through the facility. It shouldn’t be when they walk onboard the ship, so there shouldn’t be this disconnect of, ‘I’m in a terminal, now I’m in a beautiful ship,’ ” Andy Stuart, president and CEO of Norwegian Cruise Line explained. “People are going to feel the experience start when they enter this facility.”

County officials were initially going with a winning bid for the design of the terminal, but Norwegian convinced them otherwise. They were persuaded to let the company choose both their construction and design firms. Norwegian was worried the county was going to select a bid that was better for the county’s bottom line and had less focus on the aesthetic appeal of the design.

Stuart emphasized the importance of the design and execution as Norwegian expanded their design into South Florida. Norwegian Cruise Line was launched more than 50 years ago, and their plans for this building extend far into their future – so quality is of utmost importance.

“This is a facility that is going to be here for the long term. It becomes part of the Miami skyline. It represents the brand and the company,” Stuart said. Norwegian chose a Miami-based design firm, Bermello Ajamil & Partners, which is drawing up plans for an all glass, 166,500-square-foot terminal. The terminal will be known as the “Pearl of Miami.” The oblong building will heavily contrast with Royal Caribbean’s sharp angular design, which sits right next to the Norwegian terminal.

New technology will bring the terminal to modern times, making arrival and departure of guests seamless and straightforward. The terminals will also be host to a lounge and service area suited for large groups and charters. PortMiami director, Juan Kuryla, said PortMiami would finalize it as the Cruise Capital of the world. The new addition of the Norwegian terminal and Royal’s development closing the deal for them. The port recently broke a world record by welcoming 5.3 million visitors throughout last year (2017). That number is supposed to continue to grow during 2018, with 5.4 million passengers projected.

“We could decide … not to build, but come 2024, 2025, other ports will be bigger if we don’t push these type of developments.” PortMiami director, Juan Kuryla said. He also hopes the new terminals will encourage the competition along the port to want to upgrade their terminals as well.

“This sets the stage for other beautiful terminals along the north side of the port,” Kuryla said.

from BRG International – Feed
via Beyond Realty Group
Norwegian is putting its mark on Miami’s Skyline with New Terminal Plans syndicated from

Miami’s Real Estate Market is Going Strong

According to the Miami Association of Realtors, 2018 started off great for Miami real estate. January showed an increase in the sales of condominiums, single-family homes, and even luxury properties valued at and over $1 million.

Comparing January of 2018 to January of 2017 shows us an increase of 5.1 percent in sales of residential properties in Miami-Dade. Last year’s 1,731 to this years’ 1,820 is a $791.3 million increase in sales. That number doesn’t even include the multi-million dollar properties sold during January.

Another great indication Miami market is going strong is a majority of properties sold at or very close to the initial asking price. This means homes are selling quickly. The average single-family property for sale is going into a contract for just 47 days after its initial listing. The time on the market shows a marked decrease from last year’s average of 61 days on the market before a contract. Additionally, closing deals this year is only taking 98 days instead of the previous year’s average of 113 days.

Apartments are still taking slightly longer than single-family residences, but even they are taking less time than last year, ten days less on average.

The quick closing of properties can be partially attributed to the decrease of properties on sale. January of 2018 has only 6,255 single family homes for sale as opposed to the previous January’s, with 6,590 homes on the market.

The available properties have steadily been dropping over the past 5 months, which is really turning the Miami market into a favorable place to sell. While single-family houses are showing a good promise, apartments in the area have a 14-month inventory. Which is far above the balanced market of six to nine months of inventory.

The largest opposition to the sale of condos is the limitations on finding financing. Only 12 of the 9,307 condominium complexes in Miami-Dade and Broward are approved for financing from the Federal Housing Administration. The limitation on that first-time home buyers loan indeed presents an issue for some potential purchasers.

Prices of homes have been increasing for the past 74 months and show no sign of stopping. The average price of a single-family home is currently sitting at $330,000 in the area. Condos have been following suit, and the area average is $230,000.

While the national sale of homes seems to be decreasing overall, Florida is making its trend, with sales still rising 5.9 percent for condos compared to the previous year. A majority of that number is made up of residential numbers, showing only 9.9 percent in January of 2018 considered properties in trouble, bank owned, or short sale properties. That 9.9 percent is a decrease from last year’s 12.7 percent and a whopping 70 percent in 2009.

Cash sales account for almost half of sales on the real estate market, with 42.2 percent of sales having no mortgage. That number is nearly twice the national average. The high amount of cash buyers attests to the foreign buyers and investors Miami attracts. A majority of condo sales are in cash, due to the lack of financing approved for condos.

The Federal tax reform set a deduction cap for income and sales and property taxes at 10,000. The newly presented cap is encouraging US residents to relocate to states such as Florida – which has zero state income tax, to cut down on cost of living.

from BRG International – Feed
via Beyond Realty Group
Miami’s Real Estate Market is Going Strong syndicated from

Drivers Club Miami: a short drive away from reality

A “country club for cars” is coming to Miami, the Real Deal reports. Developer Carlos de Narváez got the approval from Miami-Dade County commissioners for his $100-million project embracing 160-acre at 20000 NW 47th Avenue in Miami Gardens.

The luxury car entertainment destination will count with a two-mile track, and amenities as maintenance facilities, private garages, a clubhouse and also facilities for local nonprofits, including a government center for northwestern Miami-Dade.

The development, in a county-owned land, will be phased. Narváez will first lease 140 acres for a 30 years’ term; there is an option to expand. The county contract will cost him at least $33.4 million.

De Narváez agreed to bring improvements to the city of Miami Gardens, in exchange for abdicating the competitive bidding and a lease below market, including in the enhancements is a new bicycle course.

from BRG International – Feed
via Beyond Realty Group
Drivers Club Miami: a short drive away from reality syndicated from