Here is some old fashioned progress taking place in Pompano Beach. I am not sure why they are calling Atlantic Blvd. and A1A Ft. Lauderdale! There are tons of old, dilapidated hotels, motels and the like that are just begging for renovation or better yet demolition along Atlantic and also A1A. This is a story of exactly that, and it should be the sign of more to come. Anywho, an old crappy HOJO (that is short for Howard Johnson’s) has just been demolished and soon the palatial Paramount Ft. Lauderdale Beach will take its place. That is going to be an 18 story luxury condo (that is right, not a rental) building offering 95 apartments ranging from 1,934 – 3,493 SF. Pricing starts at $1,000,000 and the property will be completed in 2016. The former HOJO was bought out of bankruptcy by Cignal Corp. from Maryland for $23 million. The deal fell through and the property went to the next bidder in line, Chieftain Holdings, for a nice $3 million discount at $20 million. They partnered with an experienced residential developer, Daniel Kodsi, to do the project which will take 18 months to build. As the economy improves more of these redevelopments will take place, but it takes almost 4 years or more to make it happen so it is hard to tell what is happening until a sign goes up or an announcement is made. In lean times the signs didn’t mean much, as the developers couldn’t reach the required levels of pre-sales to get the financing to build the projects. That is no longer a problem as the housing market is rebounding, especially for the high end residential market. There is only so much new product being built with water views and it is going to sell, insurance problems or not. This is great for the whole area, who will see the values of their properties rise as a result. If I had lots of extra cash I would invest in some residential here which could be resold in a few years for a large profit. Even better would be to buy one of the older buildings that are well located and then redevelop it into similar product or possibly a hotel. If you need a good broker for that just let me know!
Former Howard Johnson hotel demolished in Fort Lauderdale
http://www.bizjournals.com/southflorida/blog/2014/02/former-howard-johnson-hotel-demolished.html?ana=e_sflo_rdup&s=newsletter&ed=2014-02-20
Orin Rosenfeld
President
Rosenfeld Realty Advisors
9858 Glades Rd. Suite 209
Boca Raton, FL 33434
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