A new survey shows that the majority of South Florida’s real estate community is optimistic about the industry going into the second half of 2015.
Developers, Realtors, investors and financial executives were among those who responded to law firm Berger Singerman’s poll, which covered topics like foreign investment, economic outlooks and the industry’s most important issues.
Roughly 43 percent of those polled said that they believe the commercial real estate market will see some improvement during the second half of this year. Twelve percent were more hopeful, saying that the market will see a dramatic growth compared to the first two quarters.
So which markets are industry members focusing on? The poll shows 55 percent of those questioned believe apartments, condos, townhomes and hotels have the biggest returns on investment. Office and retail trail behind with 10 percent each, with industrial space coming in at 9 percent.
Feeding their optimism is the stock market, ready availability of loans, and Miami’s growing international popularity. In fact, nearly half of the respondents believe that foreign investment will continue to grow. Despite that, roughly 30 percent said that foreign buyers will start thinning out this year.
“Not surprisingly, foreign investment continues to be a major driver within the South Florida real estate market, but this trend is not limited to Miami-Dade County,” said Jeffrey R. Margolis of Berger Singerman, in a statement. “We are seeing investment move north, with Broward County emerging as another hot spot for activity, especially as investors continue to flock to the U.S. seeking a safe place to bank their money.”
Some of the key issues respondents brought up include the uncertainty of global economics and how they might affect Miami’s real estate market, along with difficulties with local government. Oversupply was brought up by many, as well as ballooning land prices. — Sean Stewart-Muniz