Feature: Looking Up

Kim Fredericks

11/01/2007

The 25-block boardwalk that runs along Miami Beach offers strollers a glimpse into this city’s soul. The white-powder beach and rhythmic ocean waves have long seduced vacationers to this sliver of land bound by the Atlantic Ocean and Biscayne Bay. An international city of 93,535, Miami Beach keeps visitors entertained with an endless barrage of shops, cafes and restaurants, while dozens of nightclubs ensure sleep deprivation.

To see the real action in this town, however, one must simply look skyward. Miami and its environs are besieged with construction cranes, with nearly every other building near the ocean and downtown in some state of pre- or mid-construction unrest. Along the beach, landmark hotels such as the Fontainebleau are being restored, while others are being demolished to make way for the new. The big names, from Ritz-Carlton to Four Seasons, are establishing residences in the area, as are a bevy of boutique hotels, such as the Setai and the Tides.

As of May 2007, there were 4,300 condos on the market in Miami Beach, compared to 2,900 the previous year. Rising inventories have had a sobering effect on sellers, causing them to rethink listing prices, while buyers continue to invest when price and the development’s formula suits their lifestyle. "You hear about the negatives, and there are some negatives," says Paul Boomsma, executive vice president of the luxury portfolio for Leading Real Estate Companies of the World. "Miami is a market that has had more than its share of new construction, but not every developer’s dream and vision is in sync with what buyers want."

Successful developments combine location, design and lifestyle, says Boomsma. "Each new building is more architectural and sculptural than the last, and that’s important to buyers," he says. Having the right name also helps. "Names are the new amenity," says Kevin Tomlinson, a Realtor with Esslinger-Wooten-Maxwell. "Branded projects are outperforming the market." One such undertaking, Canyon Ranch Living mixes its famous name with a beachfront locale and an atmosphere that embraces health and healing. The property will hold 430 condos (priced from $1.4 million to $6 million) and 150 condo hotel suites (priced from $500,000 to $1.2 million). The development also offers a 70,000-square-foot spa, a health and healing center, three swimming pools with personal cabanas, and a restaurant that serves wholesome cuisine.

The technology-savvy will gravitate to Apogee. "Apogee will be the first Park Avenue–quality building in Miami," says Tomlinson. Located at the southern tip of South Beach, the 27-story project offers 67 residences on 22 floors (priced from $2 million to $15 million). Interior spaces, ranging in size from 3,100 to 4,100 square feet, are paired with terraces that add another 1,000 to 2,400 square feet. Crestron smart panels provide one-touch access to valet and spa. Homes are further tailored with Lutron wireless systems for lighting, automated blinds and custom audio/visual systems. Customization also extends to the kitchens—terraces can be fitted with summer kitchens, bedrooms are primed for midnight kitchens, and the main kitchen can be equipped to match the buyer’s lifestyle with three configurations (gourmet, entertainer or connoisseur). Both Canyon Ranch and Apogee also have location on their side. "The majority of negative press about the Miami condo market relates to downtown Miami," says Tomlinson. "Comparing downtown Miami to Miami Beach is like comparing SoHo to Brooklyn—you can’t do it."

In New York, having a Park Avenue address used to be a must for high-end buyers, but that is changing. "The trend away from location in this area started about three years ago mainly due to tightening inventory," says Stan Ponte, president of Coldwell Banker Previews International New York. At the same time, developers were bringing service, security and amenities to other parts of the city. "We had people moving from Park Avenue to Chambers and Broadway," he says. "The city had become more mobile—neighborhoods such as Tribeca now had doormen."

Today’s New York, which saw a 13 percent rise in sales in the second quarter of 2007 (according to Miller Samuel), offers a diverse supply of buildings, and that has kept the market stable, says Ponte. "When a developer is able to choose a couple of lifestyle amenities that appeal to a certain demographic, you have a win-win situation," he says. An example is One Jackson Square in the West Village. The project tempts the environmentally conscious with its registration for LEED certification, low E glass, low-VOC paint, and locally manufactured building materials comprised of recycled components.The curvy glass building, modeled after a rock in a stream, will have 35 units—ranging in size from 450 to 2,800 square feet (priced from $870,000 to $12 million). In addition to a fitness club with spa treatment rooms, One Jackson Square will boast a green, vegetated roof that doubles as a bird and butterfly habitat and as a buffer to keep the building cooler. Other projects throughout the city tout such unique amenities as rooftop dog runs, arcades with golf simulators and programs that cater to oenophiles. "It’s the same concept as living in a golf community," says Ponte.

For those who must have that Central Park view and the prestige that comes with it, the 26 residences at 995 Fifth Avenue on the Upper East Side feature prewar style and the necessities for proper entertaining, including butler’s pantries, formal dining rooms and spacious living rooms. The 4,200- to 8,400-square-foot homes (priced from $12 million) have quick access to the park, museums and private schools, as well as the services of a sommelier, personal trainer and private spa.

In Los Angeles, buyers look to the Wilshire corridor when they want privacy, luxury and location. The Richard Meier–designed 9900 Wilshire, whose development and design will be overseen by London-based Candy and Candy, will deliver all three and tug at buyers’ environmental conscience. Subject to approval by the Beverly Hills city council and scheduled to be the first LEED gold–certified property of its kind in the western United States, 9900 Wilshire will include 252 one- and two-story condominium and loft residences (ranging in size from 1,200 to 7,000 square feet) set in two 12-story towers and two four-story loft buildings. The project is designed to consume 50 percent less water and 25 percent less energy, as well as emit fewer greenhouse gases than comparable buildings. Two-thirds of the eight-acre site will be dedicated to open space and landscaped gardens that will include waterscapes and sculptures.

The "green" at the 22-story 1200 Club View tower comes in the form of unobstructed views of park land at the Los Angeles Country Club. The 35 full- and half-floor residences (priced from $5 million) range in size from approximately 4,100 to 8,300 square feet. "We are secure, exclusive and somewhat low-key," says Tim O’Brien, senior vice president and principal for Fifield, the developer. Although 1200 Club View sits on Wilshire Boulevard, its entrance is on the quieter Club View Drive.

O’Brien believes the project—which he says will have a large staff as well as service on the level of the Peninsula Hotel, catering to its smattering of residents—will appeal to an international audience. "Sophisticated high-end buyers have a long-term view of real estate," he says. "In Los Angeles, well-located high-end properties are selling and are not affected by the current market conditions."

"These buyers don’t flinch at $3,000 per square foot, provided they are getting quality for their money as well as security and amenities," says Richard Maslan, marketing director for Hilton and Hyland, a Beverly Hills–based Christie’s Great Estates affiliate. He expects the residences at the Montage Beverly Hills to garner $5,000 per square foot. Scheduled to open in 2008, the property will feature a luxury hotel and spa akin to their flagship in Laguna Beach, as well as residences. "This is the first hotel in Beverly Hills with residences, and it’s limited to only 20," says Maslan. To make matters more competitive, he says that sales are not expected to officially begin until the project is complete. "They are taking inquiries, but if you are serious, you can always make an offer."

International Marketplace

Backed by a fleet of PDA-touting butlers, the St. Regis is opening several new international properties in 2008. Situated along the majestic Pacific Ocean on Playa Coyol, the St. Regis Costa Rica will have 51 hotel condominium residences (priced from $800,000 to $3.15 million) and 108 whole-ownership residences, including four 7,000-square-foot estate homes. All homes will include plunge pools, oversize terraces and owner access to the 135-room hotel’s Remède Spa. In Bali, a 79-suite hotel will be boosted by 55 condo hotel units (priced from $700,000 to $2.3 million). Set on a 4,400-foot stretch of sugary beach, Temenos Anguilla will feature 115 residences (priced from $1.4 million to $13.2 million) with a Greg Norman golf course, an optional rental program and a 120-room resort and spa. www.stregisresidences.comThe Mandarin Oriental’s Piero Lissoni–deigned hotel and residences on Dellis Cay in Turks and Caicos (2009) will deliver 24 condo hotel suites (priced from $1.6 million to $6.5 million), 17 private stand-alone villas (priced from $5.5 million to $8 million), and 54 beach house residences (priced from $2 million to $3.5 million) backed by a hotel with four restaurants and a 30,000-square-foot spa. 800.644.0533, www.delliscay.com

The Four Seasons Barbados, set to open in 2010, will feature 44 villas that owners can place in an optional rental program. Priced from $5 million to more than $17.5 million, they enjoy a prime west side location and will be serviced by a 107-room resort and spa. On Mauritius (2008), 46 residences (priced from $1.7 million to $5 million) will be designed to blend with the location’s tropical vegetation. The two- and three-bedroom villas, ranging in size from 2,550 to 3,195 square feet, will be part of a mandatory rental program, while owners of the larger four- to six-bedroom villas have the option. All will have access to the resort’s amenities, which include restaurants and an Ayurvedic spa. 800.343.0799, www.fourseasons.com/residences

995 Fifth Avenue, 212.570.9950, www.stanhoperesidences.com
1200 Club View, 310.208.7577, www.1200clubview.com
9900 Wilshire, www.9900beverlyhills.com
Apogee, 305.538.2468, www.apogeesouthbeach.com
Canyon Ranch Living, www.canyonranch.com/living
Montage Beverly Hills, www.montagebeverlyhills.com
One Jackson Square, 212.366.1110, www.onejacksonsquare.com