Foreign Buyers Show Interest in Orlando Condo Conversions
The recent trends in the Florida housing market mean less foreclosed homes and foreign investors have begun to look at other options. A new Orlando market report shows that condominium conversions drew the most foreign investment during the third quarter of 2013.
According to the “Emerging Market Conditions” report, half the funds that went into these apartments turned condominiums came from international investors. The annual study provides an overview of local market conditions in Florida – excluding the amount of sales.
(This report is released by the Bergstrom Center for Real Estate Studies at the University of Florida.)
“Tempered by what’s happening in Washington, Orlando is really benefiting from the tourism market and record number of tourists coming,” explains Timothy Becker, director of Bergstrom Center. “Of the major markets in the state, Orlando has the lowest unemployment rate. All of that helps drive the market.”
Condo Conversions Show Strong Recovery
Becker also explained how the growth in tourism is not the only factor driving commercial property investment in the Orlando area. Activity reported in the Medical City at Lake Nona has helped to drive further rents and occupancy.
Central Florida’s multi-family units have exhibited the most robust recovery of all the commercial real estate sectors. The apartment-to-condominium conversions with this group attracted serious attention from international investors and real-estate firms.
The rents for these condo-conversions are expected to flatten out over the next year according to the report. At the same time, the average cost of apartment living might hike up slightly. The report showed that apartment acquisitions in Orlando were dominated by institutional buyers.
More Construction Headlines from Florida
Rockharbor Residential picked a construction company from Winter Park to complete Emerson at Celebration, an upscale apartment complex designed to match the new Osceola County development. It’s a $26 million project that will produce 350 new units totaling 347,000 square feet in a three-story frame construction. Units will be available for lease in the spring of 2014.
An $80 million investment will help fuel a Plant City expansion that’ll create 100 local jobs over the next two years. The funding will come from James Hardie – one of the leading manufacturers of fiber cement siding in the world. The city approved a temporary suspension on collecting transportation impact fees – which will give Hardie a fee waiver of $37,300.
The contract to design the interiors of a new dermatology clinic in Orlando was given to Cuhaci & Peterson Architects Engineers Planners. The clinic measures 6,700-square-foot and is expected to be finished early next year.
We’ll keep you updated on the latest news from the Orlando real estate and housing market. If you are looking to sell your home for cash then please take a minute to learn more about how this entire process works.