After a record breaking 2021 across all Miami Real Estate, there are questions as to whether the boom will continue and whether or not it makes sense to invest in Miami real estate and specifically in condos. Yes, prices are higher, with Miami sales up 81% in 2021 and several Miami buildings and condos appreciating 20%. 30% or more. on the other hand and as we’ve explained before, there are several reasons that provide potential upside for Miami Real Estate to make it an investment worth considering in 2022.
Acknowledging the sustainability of Miami as a global high net worth destination, the question is where to invest. In that regard numerous articles point to high net worth individuals looking for both space and water. In fact it seems clear buyers are willing to concede on everything but water. This is why examining the different Miami beachfront condo neighborhoods is is important and may shed light on how to best invest in miami real estate in 2022+.
Key Biscayne is a small island with roughly 1,200 homes and 5,500 condos on slightly over one square mile.The island is enclosed by a state park and a Miami-Dade county park where it is normal to see fashion photography sessions, music videos and movies being recorded in gorgeous settings. These parks provide access to several miles of beaches and waterfront ocean views. Bill Baggs state park is also home to the Cape Florida lighthouse, dating back to 1825.
Home to CEO’s, investors, conglomerate owners and many families who appreciate the privacy, convenience and sense of community the island of Key Biscayne provides an affluent laid-back lifestyle. Most key residents use shorts year round and walk or bike across the island with many others using golf carts as their means of transportation.
Key Biscayne is an island off the coast of Miami, connected via the panoramic Rickenbacker causeway to Brickell Avenue in South Brickell, by turning on SE 26th Rd.
The usage of the terms “Key” and “Biscayne” typically lends itself to confusion with people not familiar with the island assuming it’s located in the Florida keys or other remote location.
Key Biscayne is actually only a 10 minute drive from Brickell and causeway traffic is much, much lighter than driving to Miami Beach, Bal Harbor or Surfside. Not to mention places like Sunny Isles that require at least an hour traffic or Fisher Island that requires a ferry trip to get home.
Plus, the Rickenbacker causeway is one of the most beautiful roads anyone can hope for, with ocean views all the way home.
Key Biscayne offers a wide range of restaurants from casual to more formal ones and most of them have a history of owners that bring the original flavors of their country to the island. They include three sushi places, four italian restaurants, more than five pizza locations, one Indian, two peruvian seafood restaurants, two Thai/asian, four Argentinian, one Uruguayan and several fast casual ones to. have burgers, tacos, smoothies, etc.
And of course, Starbucks and Piononos, known across Miami-Dade for its famous cakes made fresh daily on premise. Plus the restaurants from the Ritz Carlton and several high end food stores and bakery’s in addition to Winn Dixie and CVS.
In spite of an average appreciation of 16% in 2021 Key Biscayne condos have one of the lowest prices per square feet among Miami beachfront properties as of Q4 2021. Only Sunny Isles beach sold for substantially lower average prices but this is a neighborhood much further out from Brickell and downtown Miami.
Given investors continued desire to own waterfront property in Miami, these are positive numbers for buyers looking to buy a beachfront Miami home in 2022.
Key Biscayne Condos for sale do not last long in the market. In fact, at 71 days, Key Biscayne condos were the fastest selling beachfront condos in Miami during Q4 2021. They were also the third fastest selling neighborhood in the entire Miami-Dade county, regardless of views.
The combination of fast selling times, low inventory and lower average selling prices per square feet seems to suggest there is still upside for Key Biscayne condos during 2022.
While many neighborhoods in Miami still have lots available or properties that can be torn down to make way for new construction, Key Biscayne has no land left. This makes supply fixed at a time where traditional northeast owners and international buyer demand continue to increase.
There are about 5,500 Key Biscayne condos in the entire island. Most of these condos are in beachfront properties with access to the water even though only a small portion of condos have direct water views. There is also a small set of small buildings without direct private access to the beach but can reach it through public access trails. After a record breaking Key Biscayne real estate 2021, these are the three types of waterfront buildings to consider if you are buying Key biscayne condos.
Built in 2014, Oceana is in a league of its own providing a modern exterior of glass and steel, high ceilings, high-end finishes all at prices above $2,000/sf; offering 2 bedroom condos all the way to 11,000sf penthouse.
Grand Bay and Ocean Club is where buyers will find some of the largest condos in Key Biscayne offering a product built in the late 90’s, early 2000’s. Most units, except for Ocean club villas, are 2,500 square feet and larger.
Something interesting has happened in 2021. While traditionally only Oceana and a few condos in Ocean Club and Grand Bay sold above $1,000 per square foot, this year several building sold in that range. In fact, 13 condos sold above $1,000 per square foot in 2021.
This clearly shows buyers willingness to pay premium prices for waterfront views and/or upgraded units regardless of whether the building is old (40-50 years) or newer (20+years).
There are several Buildings that sold in the $500-$600+ per square feet in 2021. These are waterfront buildings such as Key Colony, Towers of Key Biscayne, Commodore club, Sands, Island House and Mar Azul. Of course the lower end of these prices correspond to condos without water views, likely lower floors and limited to no renovation. A special mention goes to Casa del Mar where all units face the ocean in flow through plans and command over $800/sf in 2021.
Call, text or send a Whatsapp to Adriana Montbrun by clicking the buttons if you want to discuss any of the findings in this report, have any questions or simply would like to move forward looking to buy or sell you condo in Key Biscayne.