Sabbia Beach, the first new high-rise tower in Pompano Beach in nearly a decade, is converting reservations to contracts using a 35 percent deposit structure.
While most projects this cycle have followed the 50 percent deposit structure, Sabbia Beach has used the lowered structure since it launched sales. The project, now more than 50 percent sold, is targeting local buyers, according to Amy Ballon and Lisa Whitaker, co-founders of Hemisphere Sales Group.
Hemisphere is the exclusive sales and marketing for the development.
“What the market has shown is that Fort Lauderdale, Palm Beach and Boca Raton are more end-users, versus the investors that you see down in Miami,” Ballon told The Real Deal. “[Our buyers] are not planning to flip or invest units.”
Earlier this month, the Related Group dropped the required deposits on one of its Brickell area projects from 50 percent to 30 percent. At Sabbia Beach, buyers put 20 percent down at contract and 15 percent at groundbreaking, with the remaining to be put down during closings.
The development, at 730 North Ocean Boulevard, opened its $1 million sales gallery earlier this month, and will break ground during the first quarter of next year. The 68-unit tower was designed by Miami-based Arquitectonica with Interiors by Steven G., and will include an oceanside pool, gym, spa and saunas. Fernbrook Florida is the developer.
“A lot are local buyers, people who are downsizing from Boca Raton, Coral Springs and Weston – empty nesters looking for a lock and leave luxury type of lifestyle,” Ballon said.
Sabbia Beach will feature a 3,600-square-foot social room with a bar, kitchen, games and poker tables, according to a press release. Units range from the low 900,000s to $3.5 million, with penthouses starting at $5 million.