Banking on Fashion and Fitness

By Helen Hill

The developers of The Flamingo enlisted the Luminarium to entice the Art Basel crowds.

Shopping opportunities in Miami Beach have revved up in time for the winter season with the opening of 500 Collins Ave. The 50,000-square-foot retail center on the corner of Fifth Street features upscale, trendy names such as Zara (in a 10,000-square-foot space), boutique Sabrina Monte Carlo and Spanish fashion design brand MNG by Mango (opening its first Florida location here). There’s also a 5,500-square-foot branch of Commerce Bank at street level, while Equinox Fitness Center occupies 26,501 square feet — the entire second floor. Precious parking is available in 225 spaces.

Billed as the “Gateway of South Beach,” 500 Collins Ave. is owned and managed by New York-based Rabina Properties, a leading private equity investor that specializes in identifying and repositioning properties in advantageous locations. Scott Robbins Companies is the developer, and Miami architectural firm Zyscovich Inc., the designer. Cushman & Wakefield is the leasing agent.

The Art Basel effect

What a week it was! Art Basel Miami Beach not only brought the cream of contemporary art galleries and collectors to the area, it also created a dream scene for real estate developers and agents. The influx of international, sophisticated and well-heeled visitors from colder climates experienced the buzz of South Beach, the range of cultural attractions and the selection of dining choices. And so the sunny, tropical setting was the setting to solicit potential vacation-home buyers.

Unlike other major events such as the Boat Show, Super Bowl, etc., where visitors usually aren’t interested in real estate, Art Basel brings in dozens of potential buyers. According to Kevin Tomlinson, a high-end condo specialist with EWM Realtors’ Miami Beach office, Art Basel is the busiest week of the year. “Many ‘Basel people’ make the decision to buy before they come for the art fair,” he says. “South Beach is still a cool place to buy, although with many sellers holding onto their asking price, the best they can hope for is a ‘fair buy.’”

He identifies the tip of South Pointe as the most exclusive neighborhood within a neighborhood, with units in Continuum selling for $1,000 to $1,300 a square foot and in Continuum 2 reaching $1,500 a square foot — a record for the building. “In a wobbly market, high-end buyers feel comfortable with the best of the best. “The best properties in the best neighborhoods are the last to go down and the first to come up,” he notes.

Mark Zilbert, president of the Zilbert Realty Group in Miami Beach, agrees that many potential buyers wait until Art Basel to come to Miami and follow up on property they have already researched and discussed.

Alan Kleer, a broker with Fortune International Realty’s Miami Beach office, sent me details of the Fox News story that ran last week proclaiming that Florida ranks first in the United States among foreign home buyers, followed by California and Texas. The story cited downtown Miami and South Beach as the main areas attracting these buyers, and Kleer says he has several pending deals for prime waterfront locations with foreign buyers using euros.

Party on

In the celebratory spirit of Miami partying, several real estate projects were the focus of events. How many, if any, sales resulted won’t be evident for a while, but the local lifestyle surely made a good impression!

Some of the happenings, in alphabetical order:

The Caribbean, Miami Beach unveiled the final phase of its designer collection at a VIP private cocktail reception at Casa Décor 07. Christa/Bluerock, developer of the ultra-luxury oceanfront condominium, showed off Calypso by Caribbean, the luxurious residences in the final phase of the Caribbean project. Owners of the Calypso units are offered design consultation, including customized floor plan layouts; a selection of fixtures, finishes and equipment; a selection of décor and accessories; and artwork and lighting consultation from one of four well-known interior designers: Jorge Rosso-Ubarri, Franziska Hinze, Scott Gershon and Cristina Souza.

Cipriani Ocean Resort and Club Residences in Miami Beach hosted a special VIP lounge at its sales center. An “elite group of people” were invited to use the lounge to relax, have a meeting or conduct any business in a serene atmosphere, a contrast to the busy Miami Beach Convention Center. Classic Cipriani dishes and Bellinis were served and two Maserati Quattroporte vehicles provided chauffeur services to Art Basel.

The Flamingo, South Beach installed the illuminating Luminarium on-site, and reportedly six potential buyers headed over to the sales center after visiting the light-dazzling installation. A group of brokers were also treated to a VIP breakfast and lunch, a tour of the North Tower’s themed model units and an exploration of the Luminarium.

Island Gardens, Miami hosted the tony Art Nexus party, an official VIP event of Art Basel Miami Beach, at the waterfront site of the mixed-use development — which includes Shangri-La Hotels and Resorts — on Watson Island, overlooking Biscayne Bay and downtown Miami. The evening under the stars honored artist Haluk Akakçe, the featured Island Gardens artist who presented his future project along with “Shadow Machine,” a video artwork unveiled for the first time. After a private dinner for UBS guests, the festivities continued with a party for a thousand of Art Basel’s local and international art lovers.

St. Regis Resort & Residences, Bal Harbour hosted a brunch on the 228-foot SeaFair Fine Art Yacht, a luxury exhibition megayacht moored at the Miami Beach Marina. After the meal and a presentation to introduce St. Regis Resort & Residences, Bal Harbour to the affluent group, guests could shop for treasures displayed by the international art and antiques dealers on board. Jorge Perez, a major art collector who also happens to be chairman and CEO of The Related Group, which is developing the five-star resort and residential development with Starwood Hotels & Resorts Worldwide, hosted the event.

Homes get hammered!

Residential real estate auctions are becoming regular events as a way of reaching a wider buying public in a market glutted with properties for sale. They’re also a handy option for unloading distressed properties and foreclosures. Figures aren’t yet in for 2007, but in 2006, according to the National Auctioneers Association, more than $16 billion of residential real estate was sold by auction, up 12.5 percent from the previous year.

USHomeauction.com is offering everything from single-family detached homes to condo units and one- to four-bedroom multifamily residential units in a six-day marathon of real estate auctions that start in Miami this weekend and move around the state to Tampa, Fort Myers, Orlando, Jacksonville and Tallahassee. The company says these are all lender-foreclosed residential properties that are being liquidated.

On Saturday, Dec. 15, at the Miami Beach Convention Center, some 230 properties in South Florida are coming up for auction with easy financing — as little as 5 percent down — offered to prequalified buyers.

Will there be fantastic bargains? No one knows until the actual auction, but don’t hold your breath. With the variety of homes available, it should be an interesting excursion into buyer psychology and an opportunity to dream a little. For example, of the four Miami Beach condos listed, a 1,400-square-foot unit at Murano Grande, previously valued at $1.15 million, has a starting bid of $399,000. A 1,225-square-foot condo on the 12th floor of the oceanfront 5001 Collins Ave., previously valued at $515,000, has a starting bid of $139,000.

The clutch of newer single-family homes in Homestead for sale is a sad reflection of current foreclosure problems. Undoubtedly, many of the other properties have human stories behind their sales. But emotion has no place in the auction hall.

Please send news items on Miami-Dade real estate to hhill@miamisunpost.com.

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