The 2018 Coconut Grove Luxury Condo Report

The 2018 Market Analysis for Coconut Grove Luxury Condos for Sale

The 2018 Coconut Grove Luxury Condo Report

Ultra-Luxury Condos are Demanded yet Scarce 

The Coconut Grove condo market is unique in its kind. This niche market, which is currently developing a long-awaited luxury market, performed very well over the last few years. The Grove’s luxury market mainly consists of brand new condos and resale condos such as Grovenor House and Grove at Grand Bay. Newcomers include Park Grove, the Fairchild, and The Markers on Grove Isle.

There has been much demand for Coconut Grove luxury condo living and a very limited supply. In the last few years, the supply side of the market has finally been responding to this gap. The Grove condo market has not seen the same volatile movement we have seen in other markets. The market has been growing very steadily with a slightly slower 2016. In recent years the resale market has also ‘suffered’ from the sales of new constructions. Buyers of luxury condos in the Grove now have a better offering of ultra luxury condos and therefore the sales of the more dated condos cooled down. We still saw great prices being achieved at Grovenor House (where I sold a unit for one of the highest prices per SF) and the Residences at Vizcaya. Nonetheless, we cannot deny that newcomers like Park Grove swept many buyers of their feet and became a preferred project.

2018 shows just 6 sales of condos over $3m and 3 pending sales in the Grove. 5 of these are in Grove at Grand Bay, 1 in Grovenor House, 1 in the Gables Club, 1 at the Cloisters and 1 at Park Grove. 2 of these 9 were sold by the David Siddons Group.

The 2018 Coconut Grove Luxury Condo Report
The 2018 Coconut Grove Luxury Condo Report
The 2018 Coconut Grove Luxury Condo Report
The 2018 Coconut Grove Luxury Condo Report

The Best Performing Miami Condo Market

There is strong demand for good luxury product in Coconut Grove, but it is important to recognize that some buildings perform better than others. Grove at Grand Bay has not performed as well as Grovenor House, yet Park Grove performs the best by far. For specific reasoning on what is the best and why, you can read my blog report: ‘Best Condos in Miami’ or even the specific ‘Best Condos in Coconut Grove’. I explain the intricate dynamic of each of these buildings and what potentially makes one better than the other.

Taking a wider perspective of the luxury condo market in Miami: As a whole, Coconut Grove performs way better than any other condo neighborhood – inventory is lower and prices are generally far more competitive than in other neighborhoods (equal finished product on Miami Beach will often run to double the price of what the Grove asks). With that said, statistically we are coming off the peak of the market, which was over a year ago (see the $ per sqft averages). On the positive side, there is limited supply (only a small strip of waterfront land exists for condos in the Grove). Inventory is in the lower 20s, which means it is a light buyers market (unique for the luxury segment), and is unlikely to move much above that. The big question that hinges for the luxury market in the Grove is going to be the success of the new player in the neighborhood ‘Park Grove’, which opened this year. For details on this project, please read my blogs or watch my detailed videos on this new luxury project.

Advice for Buyers of Coconut Grove Luxury Condos

For the long term, I am bullish on the Coconut Grove luxury condo market. I am rarely bullish for condo markets on the long term, because they tend to oscillate even over a decade due to Miami’s historical love affair with extreme high levels of condo construction. With a legitimate demand (*Buyers in this market tend to be less speculative / investor based and more primary driven) and with the scope of limited inventory for the future caused by limited available ‘Condo’ zoned land in the Grove, we see a great potential in this market for asset appreciation. The Grove provides for unparalleled, yet understated luxury for around $1000 per sqft. If you are looking for a true waterfront luxury condo in a ‘primary’ not touristic Miami neighborhood, then you will find it hard to find comparable values elsewhere (equal product in Key Biscayne will cost $1600 – $2000 per sqft, while Miami Beach will set you back $1800 – $2000 per sqft or even more). I have been a ‘Grovite’ for the best part of a decade, so please contact me today to discuss the best Coconut Grove luxury condos in fine detail. There are some tips and guidance I also have for buyers of pre construction condos!

* Primary markets are markets in which buyers are mostly end-users. You will see less homes for rent or to “Flip”. These are generally more stable markets than secondary markets which are heavily investment based

Advice for Sellers of Coconut Grove Luxury Condos

If you own a luxury Coconut Grove condo and you want to sell it, the time could be now. For those with resale units, the market is becoming more competitive. Park Grove is now closing units in Tower 2 and 3 so if you are holding a unit in Grovenor or Grove at Grand Bay, be prepared for an influx of new competition. The numbers reflect that we came off the peak of the market towards the end of 2015 (see the table), an influx of sales in Grove at Grand Bay pushed the high $ per sqft achieved up in 2017 and then in 2018 sales numbers from this condo started to soften the market again. We may see a bump up again in 2018 created by Park Grove resales but for those owners outside of this condo, expect to see a slightly softer market. In short, do not expect to achieve better $ per sqft figures than we saw in 2017 or even 2016.

Contact David Siddons to know more about the Coconut Grove Luxury Condo Market or for an unfiltered opinion about which Coconut Grove condos are good and which ones are less successful (Which for legal reasons I cannot do in this report). Whether you want to sell or to buy a luxury condo in Coconut Grove, we can help you with insights and an excellent (digital) marketing strategy.

David Siddons | +1.305.508.0899 | David@siddonsgroup.com

David Siddons is a top producing Miami realtor with nearly $100M in yearly sales. He is known as a market analyst and he is the author of many of Miami’s most groundbreaking real estate reports.

FAQ

These are the most commonly asked Google Real Estate Related questions

1. What are the Current Best New Condos in Miami?

If you want to hear in more details our opinions on the best new Miami new construction condos. Please read this article:Best New Construction Condos 2022-2023

2. What is the best New Construction Condo in Fort Lauderdale?

In our opinion, the Residences at Pier Sixty-six are certainly the most interesting and unique. Already well underway this 32 Acre project will be home to the first of its kind Marina where owners will be able to anchor up vessels up to a staggering 400 ft! For specifics of this project see our independent review of this project.

3. How can I compare the new luxury construction Condos to the best existing Luxury Condos in Miami? 

Our Best Luxury Condos in Miami article will prove to be very useful to those looking to compare the existing to the new. You may also want to watch this video which shows the performance of the best Condos in Miami over the last 15 years!

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