One of the highlights of my year is the board of directors retreat for the Bergstrom Center for Real Estate Studies at the University of Florida in Gainesville.
This year was certainly no exception. I had a great time doing the latest episode of Fried On Business from the event. It gave me a great opportunity to renew old friendships and meet some new people.
New people like students Macy Trizon, Luke Duffy and Grant Wishner. They chose the UF real estate program because of its reputation for excellence – which is due to the effort of folks like Kelley Bergstrom, instructor Dr. Kent Malone, and dozens more real estate experts from around the state.
Speaking of real estate experts, Robert Given, vice chairman of Cushman & Wakefield’s new capital markets team in South Florida, stopped by to discuss the South Florida multifamily housing market.
There a huge appetite for quality multifamily properties among investors in South Florida, he said, and some core assets have come to market.
Given expects to see some new high-water marks for investment in 1Q 2017. Fundamentals are strong, and apartments are being absorbed.
Expect rental rates to plateau a bit, he said, exhibiting annual growth of 3% to 3.5% in most markets. 4% in some.
Of course, land is scarce for new projects, but assemblages are being done and more redevelopment is starting to take place, Given added. Key areas are Downtown Miami, Coral Gables, Wynwood, Midtown, Downtown Fort Lauderdale, East Boca.
Value-add apartments – built from say 1985 to 1995, are extremely popular investment targets, Given said, but inventory is nearly gone. Cap rates here have actually gone below that of core asset properties.
Domestic firms are still active buyers, he said, but international interest in South Florida is growing.
“We’re expecting to see more trades to the international community in 2017,” Given said.
Gainesville
I still enjoy Gainesville. It’s a city on the move, and it’s growing in ways that benefit full-time residents, not just the student population.
Unlike the days when I was a UF student, new projects are everywhere. Butler Plaza is bordering on 2 million square feet of retail, and a town center there is on the way.
But, more than Gainesville itself, I enjoy being a part of the Bergstrom Center. I enjoy giving back to the people and the institution that have given so much to me.
It’s all about reaching out and helping others achieve their goals – just like so many in this industry have done for me over the years.
Click here to listen to the full broadcast from the University of Florida Bergstrom Center for Real Estate Studies.
