SARASOTA SUCCEEDING WITH SPORTS TOURISM

SARASOTA SUCCEEDING WITH SPORTS TOURISM 

We Floridians are the masters of tourism, and our economy heavily depends on it. There are all kinds of tourism, including medical, traditional, and others I am sure. Are you familiar with sports tourism? You should be because if Sarasota is any kind of example (and I think it is) you will be seeing much more of it soon. What exactly is sports tourism? It is when a city schedules sporting events that bring competitors to the area for the given event. Given our great weather, even in the summer, this can be done year round (well maybe sometimes in the rain but still works). But Sarasota smartly scheduled some of these events in the traditionally slower summer months. How did that work out? They recorded $1,000,000 in tourism taxes in the month of May, which is the first time this has ever happened. Tourism is up over 8% for the month and there is a 13% increase in spending by these tourists. Given that they have over 100 different sporting events scheduled this year, don't expect to see these numbers drop anytime soon. Last year they made $71 million dollars from it although that number is expected to fall to $50 million this year due to less international events. So it seems as if Sarasota has figured out how to make money year round with this sports tourism formula. In fact they were rated the top sports tourism destination in the entire country. How long will it be before other Florida cities follow suit and possibly compete for these lucrative sporting events? Irrespective of sports tourism, I am sure you have all noticed a huge increase in traffic in general this summer. The off seasons we used to enjoy with less traffic, people etc. seem to be gone. More and more people are staying here year round which really helps our economy. As long as we don't have any storms, paradise should continue unabated, and Florida will continue to grow. As always thanks for reading and have a great day.

DESPITE LEADING NATION IN FORECLOSURES, FLORIDA HOUSING MARKET POSTS STRONG NUMBERS

DESPITE LEADING NATION IN FORECLOSURES, FLORIDA HOUSING MARKET POSTS STRONG NUMBERS

You would think that since Florida leads the nation in foreclosures that the news is all bad. Not exactly the case I am happy to report. Even though South Florida is the top place for foreclosures, the numbers are quickly dropping. In Palm Beach County they fell a whopping 82% last month. As for new cases, 238 were reported in June as compared with 1,313 a year ago. This has been trending in the right direction for the past 6 months, with the number of pending foreclosures down 24% in Palm Beach County. For some reason Broward County has lagged behind, posting a decline of 13% in pending foreclosures for the same 6 month period. Perhaps the biggest indication of economic recovery can be seen with the number of homes going to auction in Palm Beach County in June. That number is down 38% from one year ago, and marks the first time that number has declined in 13 consecutive months. That is not the case yet in Broward County, where both homes auctioned and as well as bank repossessions continued to increase. But this could finally signal that the backlog of troubled properties is coming to end, or at least a place where all the inventory is on the table. What I mean by that is banks withheld properties from going into foreclosure so as to keep them off their books until the backlog became more manageable. We have all heard the stories of people living in their homes for 3 years without paying anything, but that also had to do with the time each case used to take, sometimes up to 3 years. The new fast track law  that was passed last year must be working. While there is still much work to be done here, it is encouraging that progress is finally being made. As always thanks for reading and have a great day.

WEST PALM BEACH CONSIDERING MEDICAL USE FOR "TENT SITE"

WEST PALM BEACH CONSIDERING MEDICAL USE FOR "TENT SITE"

West Palm Beach is really trying to clean up their City, and this article deals with a big part of that effort. The 2.4 acre site at Okeechobee Blvd. and Dixie Highway known as the "tent site" is slated for redevelopment and the City is considering proposals on it now. It is called that because there was a tent shaped complex there about 10 years ago thanks to a company called International Pavilion. It is very visible and a critical piece of the Downtown area that must be developed. Two developers have stepped up with proposals for the site. The decision on the proposals won't be made for at least 3 months and there is a possibility the City could ask for additional proposals from other developers. Both proposals are advocating medical use for the site. One proposal plans to create a 300,000 medical complex in the form of a 10 story building along with a 4 story garage. The other proposal is larger and much more detailed, envisioning 2 buildings of 13 and 15 stories each that would comprise 500,000 square feet. This developer said that they already have commitments from prospective tenants for 40% of the space (192,000 SF). They went so far as to name the potential tenants: Mount Sinai Health System, Miami Children's Hospital, Jupiter Medical Center, Caron (a drug rehabilitation center), and Fresh Market (the grocery store). There was no such detail for the other proposal. I think that medical would be a good fit there and with the area in general. I think it would potentially enhance the walkability of the area, with area residents being able to walk to the doctor. Hopefully we will soon find out what will become of this important site. When we do it will be blogged about right here. As always thanks for reading and have a great day.

RETIREES COME BACK TO FLORIDA IN FORCE

RETIREES COME BACK TO FLORIDA IN FORCE

It is always easy to wrapped up with the tourism numbers in Florida, which are always impressive and now are at record levels. But an often overlooked but no less important group is also growing again: retirees who move to Florida. Aside from our favorable climate, our tax advantages give Florida a clear edge over other possible retiree havens such as Arizona, Texas and the Carolinas. Specifically, low property taxes, the fact that there is no state tax and a low cost of living. The recovery of the stock and housing markets have fueled the increase in retirees moving to Florida, mostly from colder weather states in the Northeast and Midwest. However the new arrivals are being cautious and trying to avoid areas that had seen massive price drops and swings in the recession. I never have heard of this but these are called "hockey stick markets" where prices fell and rose dramatically. One thing that I find interesting is that retirees do want housing that will be easy to deal with, such as apartments. That type of product is now being built as quickly as possible in the areas where it can be supported. But it is mainly rental product and the retirees prefer to buy. There is no problem with apartment shortage at this point and that would be a great issue to be faced with. But as long at the prices, weather and taxes stay relatively the same in the Northeast and Midwest, Florida can be assured of a never ending stream of retirees coming South looking for warmer and cheaper nests. And they plant the seeds for the next generations of Floridians by having all of their families come here and visit them. In doing they so fall in love with the area and eventually move here which is exactly what happened to me! As always thanks for reading and have a great day.

DELRAY SWAP SHOP TO BECOME LUXURY APARTMENTS

DELRAY SWAP SHOP TO BECOME LUXURY APARTMENTS

It seems like this is the fate of all old, run down sites in decent areas these days. The residential development is back in a big way and Delray Beach is seeing its fair share. Delray is very hot right now in fact, with properties trading hands quickly and for premium prices. This old flea market site has been vacant since 2006. Soon there will be a new apartment building, with lots of people coming and going. It is also a step forward in improving the Federal Highway corridor in Delray and Boynton Beach which has many blighted properties and has been stagnant for development. More retail is coming to East Delray in the form of Delray Crossing, a massive 2 block project that will feature retail and office space. Additionally, a huge retail project is coming up at Linton Blvd. and Federal Highway, which will feature a Trader Joe's. I hope to be announcing a new project in Delray soon where I will be doing the leasing for some space new to the market. So good things are happening in Delray these days and this is certainly one of them. There are no real details on the style of product that will be built here, other than it was approved for 22 units per acre. That information should be released soon now that they are moving forward with designing the project. There are even rumors that West Delray is going to soon see new development, which has been confined to East of I - 95 except for the Delray Marketplace lifestyle center. Once announced we will write about them right here, as you have come to expect I am sure. There is so much going on there now I can't even imagine what it will be like in 10 years, there is so much room for growth there. Exciting stuff for sure, and maybe my future home! As always thanks for reading and have a great day.  

PORT EVERGLADES PLANS TO DOUBLE CARGO WITH EXPANSION

PORT EVERGLADES PLANS TO DOUBLE CARGO WITH EXPANSION

This article is about one of my new favorite subjects, port expansion. This one is all about Port Everglades and their future projections post expansion. Last week a 20 year plan was approved by Broward County's board of commissioners , which is actually an update to a plan that was adopted in 2006 called Master / Vision Plan. The plan calls for an investment of $1.6 billion dollars in improvements and expansion. The return for that investment sounds impressive. In a nutshell, in 20 years they forecast doubling the cargo coming through the port and 40% more passengers from cruise ships coming through. If it sounds far fetched it should be noted that this actually has already happened in the last 20 years so from that perspective it sounds very plausible. Port Everglades is the leading port in Florida for containerized cargo now and it expects to remain so in the future but the largest growth will come from non-containerized cargo. This refers to cargo like steel, cars, and lumber and it is expected to triple by 2033. Petroleum and jet fuel cargo is also expected to increase to 376,000 barrels per day in 2033 from the current volume of 300,000 barrels today. Unlike the uncertainty surrounding the expansion at the Port of Palm Beach, Port Everglades has a sound plan in place and is moving swiftly to carry it out. I have no doubt it will be very successful and will have an amazing economic impact on the entire region. Other ports will be forced to do the same (expand) if they want to remain viable and competitive. So here is some free real estate advice to you all: buy warehouses. And when you need someone to help you find one just let me know. I will be happy to help you. As always thanks for reading and have a great day.

WORK ON NEW BOCA RATON I - 95 INTERCHANGE HAS BEGUN

WORK ON NEW BOCA RATON I - 95 INTERCHANGE HAS BEGUN

Sorry there was no picture associated with this article from the Sun Sentinel. But since it is about the new construction on the new I - 95 interchange in Boca Raton I felt obligated to let you know about it regardless. The construction for the new exit on I - 95 for a Spanish River Blvd. exit has finally begun. It actually began in January but only now can visible progress be seen. Foundations for the multiple bridges and ramps are being erected now with long poles called piles. This long awaited exit will relieve traffic on Glades Rd. by providing direct access to FAU from the new I - 95 exit. In conjunction with the new exit being constructed, I - 95 itself is being widened between Glades and Yamato Rd. There will be one new lane in both directions when the work is complete. To get the work done one or two lanes will closed in both directions every night from 9:00 PM to 5:00 AM Sunday through Friday until July 13. The entire project cost is $67 million dollars and it is expect to be completed in 2016. Once complete, the only real problem with traffic in Boca Raton, Glades Rd., should be resolved. It is very exciting and I am sure that every resident and or person who works in the area of Glades Rd. and I - 95 is counting down the days until it opens. It should be in place before the new Tri - Rail station on Yamato Rd. is done in 2018 but both projects have the potential for reducing traffic. It is very exciting stuff and I am very happy about it! As always thanks for reading and have a great day.

AFTER TOUGH 1ST QUARTER U.S. ECONOMIC OUTLOOK STILL GOOD

AFTER TOUGH 1ST QUARTER U.S. ECONOMIC OUTLOOK STILL GOOD

Here is a well written article from the New York Times that takes a marco look at the economy and where it stands from a historical prospective. And they see good things despite what has happened thus far this year. It shows that historically nominal Growth Domestic Product declines for a quarter when recovering from a recession, something that has happened only 16 times (before this year) since 1947 when they started keeping this statistic. It has happened in every one of the last 7 recessions. It points out the reasons for that happening again are unlikely to repeat themselves, mainly poor weather and low inventory levels. Here is an interesting take on consumer confidence: prior to June the amount of consumers who thought the economy was bad exceeded the amount who thought it was good for 76 months straight. That is the longest period of negative consensus in history. Things seem to be going in the right direction but as we all know economic recovery is regional and quite uneven. It is not uncommon to have one city thriving next to one or two who are struggling mightily. Thinking optimistically, I believe the economy will continue to improve slowly and steadily. There will be bumps in the road and certain events can change everything in a moment. Right now those things are the turmoil in Irag, which has the potential to drastically affect gas prices, and war with Iran, which is looking more possible now that the nuclear talks are failing. Both of these problems are long term so don't expect a wild change overnight but it could happen. One major attack on the right oil field in Irag or a first strike against Iran by either the U.S. or Israel would trigger it. As always thanks for reading and have a great day.

PORT EXPANSION: WORTH THE COST?

PORT EXPANSION: WORTH THE COST?

More port expansion stuff to report on, one my favorite subjects these days. This one is from the Sun Sentinel, and I give them a lot of credit. They had just written a very pro port expansion article recently and now are publishing this one which questions the economic returns that the expansion would bring. That is fair journalism and should be applauded. That being said, the article is much more pro expansion than against. The story is this: all ports in Florida and on the East Coast are rushing to dredge and expand their ports in anticipation of the widening of the Panama Canal which is expected to allow larger ships into the area. That is expected to create jobs, lots of jobs, and economic benefits from the increased trade. But there are economists who question whether the cost will outweigh the benefits, but they seem to be in the minority. Their argument that goods can be moved faster by truck or rail will not be viable once the rail links are added to the Port of Palm Beach and Port Everglades. It is true I am sure that not every port will be happy with amount of trade they get from their expansion, but how can you not take the chance? Even if things do not work out perfectly for port expansion in the long run, at least the aspect of job creation is without doubt. How about these numbers for Port Everglades alone: 2,200 construction jobs, 1,500 permanent jobs and 2,700 spinoff jobs. Florida has 15 seaports. At the end of the day, the prospect of jobs and increased revenue from expanded trade will outweigh any concerns for the environment or otherwise. Remember when this was happening with drilling for oil? Environmentalists fought this and kept the oil companies at bay for the most part. Then very quietly it started happening and no one really protested too loudly because they want lower gas prices. Whether you like it or not this is progress and it cannot be stopped so let's hope it works out well for everyone. As always thanks for reading and have a great day.

PORT EXPANSION: GOOD OR BAD?

PORT EXPANSION: GOOD OR BAD?

Here is a humdinger of a blog, about a very important subject, the deepening of the seaport channel at Port Everglades and the controversy surrounding that. It is also a 2 for 1 blog which shows a stark contract in how our local newspapers see and report this issue. SO fasten your seatbelts! Just look at the titles of the articles which appeared on the same day from the Palm Beach Post and the Sun Sentinel. The Post article is called Army Corps Withdraws Permit Application for Port of Palm Beach while the Sentinel's article was entitled Dredging Law Lauded By All Sides. It is a really interesting situation with starkly different viewpoints. One the one side (The Post) are the people against the port expansion. They argue that it will damage the environment, not be worth the investment ($360 million dollars according to the Post and $88 million according to the Post! That is a huge discrepancy!) and disrupt the way of life for local residents with all the proposed increase of traffic. On the other (The Sun Sentinel) is the argument that it will create jobs, and expand our economy by allowing more trade. That is partially the result of the widening of the Panama Canal. Regardless of what side you take, the fact is that the project is being delayed to further study the environmental impact, as a result of the opposition. Specifically the concerns are partly for the damage to the ocean floor and seagrasses, and also the killing of manatees, and the destruction of coral reefs. That would hurt the businesses that use those things now like fishermen, boaters, scuba divers, snorkeling, etc. They also argue that it would increase the risk of flooding to both homes and businesses in the vicinity of the Lake Worth Lagoon. I think this expansion is going to happen for sure, there is simply too much money at stake and lots of jobs. While politicians need to be wary of opposition from local residents with project, money is ultimately the deciding factor. We will see what happens soon but even if it is approved it will not take place until 2018 at the earliest. As always thanks for reading and have a great day. 

ANOTHER CITY PLACE RESTAURANT CLOSES IN WEST PALM BEACH

ANOTHER CITY PLACE RESTAURANT CLOSES IN WEST PALM BEACH

This is a tough one to write about. After all, before there was City Place there was a drug infested blighted area. But the project has never been successful, struggling like the rest of West Palm Beach. The City Place project, much like the other lifestyle centers in Florida, is seen as dining and entertainment centers. That means people don't go there to shop which means that the retailers struggle and go out of business. But there has been a steady stream of restaurants that have either failed or decided to leave here and that is particularly troubling. Such is the story today with the announcement of Brewzzi's being shuttered. This large bar and restaurant is directly in front of the escalators from the parking garage, so you almost have to pass it when going to the 2nd floor dining area. To have that space be empty will certainly cast an even greater pall on the project. Certainly the competition for customers with Clematis Street has hurt City Place, but with their superior parking it should be no contest. Both areas have faced the same problems, with restaurants and nightclubs constantly coming and going. The building of all the condos in the immediate area was supposed to provide the population to make both venues successful but it just has not happened. There are new residential projects on the way and many more planned so hopefully it can still come to fruition one day. Jeff Green's new proposed project at 550 Quadrille will certainly make an impact but that is years away. Maybe they will get some good news with the spring training stadium on 45th Street which is still pending. At some point the luck must change for West Palm Beach and let's hope that day is coming soon. As always thanks for reading and have a great day.

LONGTIME ABACOA TOWN CENTER TENANT CLOSES

LONGTIME ABACOA TOWN CENTER TENANT CLOSES

This one caught my eye for many reasons. We just wrote about the new developments coming to the Abacoa Town Center, the new 128 room Courtyard Marrriot, the new residential 300 apartment project Allure slated to open in the fall and the CineBowl & Grille which is scheduled for 2015. So the prospect of this project finally succeeding is a real if not certain possibility. That is part of what is so surprising about the closing of Rooney's Public House. Rooney's has been one of the longest standing tenants in Abacoa, having been in business there for 14 years. They also closed their location that was on Okeechobee Blvd. in West Palm Beach recently. Rooney's is owned by the Rooney family, better known for their ownership of the Palm Beach Kennel Club and the NFL's Pittsburgh Steelers. You also might find the name familiar since there is state Representative Pat Rooney R West Palm Beach and Tom Rooney R Okeechobee. So these people have plenty of money and I am sure that they knew what was coming to the area and they still decided to close. Maybe they tried to sell the business and couldn't find any takers? Or was the cost to hold onto the place until the CineBowl & Grill opens next year too great so as to make it not worth it? We will probably never know but I am very saddened to hear about this. I have been to Rooney's many times before and after spring training baseball games and it was one of 2 area institutions (the other is JJ Muggs). It will be interesting to see how all the empty retail space is absorbed there, or maybe it won't be. I am hoping it will be and that Abacoa soon thrives. I would love to live in a place like that and hopefully I will again at some point. As always thanks for reading and have a great day.

Pratt opens new jet-engine center

Pratt opens new jet-engine center

With the U.S. involved in more and more military conflicts across the globe, this is very good business for the companies that make parts and weapons. Many of those companies have facilities in Florida, and Pratt & Whitney is one of those. They just opened a 100,000 SF facility to make jet engines. The $63 million dollar facility is expected to employ 340 workers eventually. These are great high paying jobs with average salaries of $81,110, far above the county average which is $46,000. This is part of a deal Pratt & Whitney signed in 2012 - 2013 with Palm Beach County and the State that provided them with a $4.79 million dollar incentive package. In exchange Pratt agreed to create 230 jobs and retain 531 jobs by 2021. Pratt says they are ahead of those projections now. The existing facilities have been used for the testing of engines, while the new center allows for the manufacture of engines. Workers here are building the F135 engine which goes in the F-35 Lightning II, which is a single engine combat aircraft for the U.S. Army and other foreign markets. Soon they will also begin manufacturing Pure Power commercial jet engines for Airbus aircraft. As production gets ramped up on both products more workers will be brought on to handle the increased capacity. Aside from the new building, what significance does this have to the region you might ask? The answer is $442 million dollars into the local South Florida economy over the next 10 years. Who ever said that there wasn't a bright side to war? As always thanks for reading and have a great day.

ROSENFELD RESTAURANT REVIEW - 32 EAST

ROSENFELD RESTAURANT REVIEW - 32 EAST

Sometimes it is just fun writing a blog, and this is one of those times. In case you haven't noticed, I really enjoy going out to eat, and just eating in general. I could write about food and eating all day and for that reason writing about eating at 32 East in Delray Beach is just a pleasure. While Delray is home to many trendy and constantly changing restaurants, a select few have stood the test of time and have become institutions there. That would be 32 East, who has been there since 1996. I think it has the most interesting and inventive menu, and I love the fact that it changes daily.

On to the food. We started with some mahi fingers which were fried and came in a key lime mustard sauce with some greens and vegetables. We also had the pizza of the day which had oyster mushrooms, spinach, and some sort of tomato compote. They were both awesome and were quickly eaten, mainly by me. For entrees, my daughter got the meal gold medal for best dish ordered. It was a black grouper with potato puree and a mushroom gravy. I had the snapper with vegetables and rice. Wife had the scallops, which were perfectly prepared (well done) and had some sesame seeds on top. I tried those and they were excellent, but the black grouper was amazing. My snapper being a little dry, I got some of the gravy and it really saved the day. Undeterred by no one else having desert, I went with the pear tart, which has almonds in it. It was good, not great. The service here is always fantastic and this night was no different. They also have a large selection of wines by the glass, including desert wines. The interior is a cherry wood, but the natural light from the front keeps the place from being too dark. If you want to try the best restaurant in Delray Beach look no further. I would love to hear about a place you have recently been to that you enjoyed or about your favorite place. As always thanks for reading and have a great day.